The prices of drugs and medicines are considered to be at levels that produce inequalities as well as inefficiencies. Of particular concern are the variations across countries in the prices of drugs with the same brand, same maker, and same dosage, and price variation locally among drugs of the same type, even among generics. Three solutions are surveyed: having government engage in the production and distribution of drugs, using government procurement, and promoting greater competition in the pharmaceutical industry. Obstacles to competition promotion are likewise discussed.