I always thought a simple solution to this would be that you cannot sell your drugs in the US for any higher than the lowest negotiated price the drug is sold for to the other rich western countries.

For example if Drug A is negotiated to be for sale to the socialized medicine systems in Canada and France for $30 it cannot be sold for more than that here.

This allows the company to set whatever price they think is reasonable but without the US subsitizing their costs. It also allows the companies to sell their drugs at low prices to developing economies so that the people living there can still have access to lifesaving treatments.

Not sure why this doesn't get voted up more... The money has to come from somewhere. If 90% of the countries are basically just squeezing the drug company, then they have to raise prices where they can. The U.S. subsidizes the rest of the world.