Standing in line at the pharmacy. Watched a man pay $900 for a monthly prescription. Must absolutely need that medicine. Wondered what sacrifices he and his family make to pay that much.
That was my wife’s experience last week.
Data shows such situations to be regular occurrences. Republican Sen. Chuck Grassley of Iowa posted that 58 million American adults can’t afford prescription drugs; that 34 million American adults know someone who died because they couldn’t afford treatment; that nine in 10 U.S. adults report that the costs of prescription drugs are "usually much higher" (69%) or "tend to be somewhat higher" (20%) than what consumers should be paying.
As families struggle, pharmaceutical companies rake in billions. That seems far out of balance.
Former President Donald Trump thought so. On Dec. 7, 2016 he said, “I’m going to bring down drug prices.” He told Time Magazine, “I don’t like what has happened with drug prices.” His 2016 health care plan stated, ““Congress will need the courage to step away from the special interests and do what is right for America…. Though the pharmaceutical industry is in the private sector, drug companies provide a public service.”
He was unable to find enough congressmen, mostly Republicans and some Democrats, with such courage.
Now that ball is in the Democrats’ court. President Joe Biden’s Build Back Better omnibus would address some drug costs. But no Republicans and not all Democrats are on board. The provision may get kicked out in the Senate.
The radical changes needed to improve drug pricing don’t ever seem to get on the table.
Think free market capitalism. Then look at the monopolistic practices of this government subsidized industry.
The National Institute of Health pumps billions into basic pharmaceutical research. R&D tax credits provide billions. 20-year patents on developed drugs provide monopolistic control with no restraint on pricing.
We’re talking about really big money here. In 2020 worldwide total revenues topped $1.2 trillion with profit margins about double that of large non-pharma companies.
This anti-competitive process has led major drug companies to all but abandon low-margin but still life-saving drug production. Examples: research into vaccines lagged until COVID-19 hit and the government issued a blank check for new vaccines; drug-resistant diseases kill hundreds of thousands annually but research to find new antibiotics has been scant.
Yet there is plenty of money to hire lobbyists. A recent report showed the industry with nearly 1,500. Just during the 2016 congressional elections the industry spent $62 million on lobbying. Such expenditures helped defeat Grassley’s Prescription Drug Pricing Reduction Act of 2019.
And there is plenty of money to pay billions for TV and Internet advertising. A study by the Journal of the American Medical Association found the number of ads increased from 79,000 in 1997 to 4.6 million in 2016.
Without action prices will continue to escalate.
Medicare last month announced an increase Part B costs to pay for the controversial new Alzheimer's drug Aduhelm by Biogen. It costs $56,000 annually. Novartis’ new gene therapy drug Zolgensma will cost $2.125 million.
“And if you make a sale to your neighbor or buy from your neighbor, you shall not wrong one another” – Leviticus 25:14.
Crawford is a syndicated columnist from Jackson.
20 comments:
China man say: "You dig your grave with your teeth."
"Healthcare" is not how to describe our current system of care.....it should be called "Sickcare" to reflect how the industry wants you to be perpetually in need of their medications that do very little, and perpetual visits with your doctor $$$$.
Eat right, get regular physical activity (anabolic & aerobic), and pursue what makes you happy.....these are the future determinants of your health status.
I liked it when Trump pressured pharmaceutical companies to compete and give us same price they give other countries. Especially the insulin. I’m not opposed to companies turning a profit but not by government contracts that charge more than they charge other places. I’m not a republican or a democrat both parties have allowed us to be screwed by big pharma!!! you should look at the players in the pharmaceutical industry and who they donate to in terms of trump or Hillary. It was her by a long shot getting the Wall Street money and pharma money.
Wow. What fake news. This is such a poorly written, researched and biased article.
The writer clearly doesn’t understand the role of PBMs, GPOs and providers that add to the problem. Just blame the drug companies. OK.
Everyone thinks reimportation, price controls and other anti-free market approaches will fix things. Wrong.
Go down the road of socialized medicine and see how many new therapeutic options come to market.
This guy uses antique thinking and liberal talking points. Nothing more.
The cost of bringing a new drug to market has risen exponentially as the FDA now charges the drug companies for all testing. It costs billions to run the trials that rarely result in a new blockbuster drug that has patent protections. How does the industry respond? By acquiring other drug companies that have drugs still on patent or in late stage clinical trials to have the hope of a cash cow. The top drug companies have increasing revenue and profits in the last decade from acquisitions, not newly developed drug sales. This is absent the Covid emergency approvals and sales. The result is fewer drug options, monopolistic behavior, and $1,000 epi pens. Get used to it.
“And there is plenty of money to pay billions for TV and Internet advertising. A study by the Journal of the American Medical Association found the number of ads increased from 79,000 in 1997 to 4.6 million in 2016.
Without action prices will continue to escalate.”
The same can be said for the insurance industry but Crawford stays silent on this market dynamic. Every third commercial on TV these days seems to be for health insurance.
This guy is clueless.
12:40
Anti-free market? The current contracts with our government aren’t free market. The best description is crony capitalism at best. Free market would be great. Unfortunately it’s not that though. I’m guilty of it as well with government contracts in my line of business also. Free market yes. Current system no!
It is too the point where one cannot afford to die in good health!
@ 1:05
The right to try act that was under Trump did wonders for many on medications that have been buried by the FDA and Government mandates that kept it off the shelves for those that need it. Let’s not forget lawsuits and trial lawyers role in this.
This is such a poorly written, researched and biased article.
No specific refutation.
Fake comment.
Start testing the new drugs on attorneys. They're part of the expense.
Trump tried to take on BIF Pharmacy, but Congress cut his legs out from under him.
Big Pharma owns both Democrats and Republicans.. ... I worked for them at one time
Drugs shipped to Canada from the same warehouse costs much less than the drugs shipped
to your local drugstore .....ask your independent pharmacist about it
Listen to the podcast series "hooked" produced by Apple. Check the campaign finance reports for your state and federal elected officials. Big Pharma is not your friend.
Docs take kickbacks/incentives from big pharma. You can search docs here to learn how much: https://projects.propublica.org/docdollars/
I have lived in Italy and Saudi Arabia and in both locations I walked into a pharmacy and told the pharmacist what my ailment was, and he filled the appropriate prescription, WITHOUT seeing a doc.
I never paid more than $15 equivalent for any medication, ever.
Comparing the overall health of western Europe to the US it's obvious that we pay a great deal more for a great deal less effective healthcare. But I guess when you consider that everyone gets in the same line to wait YOU might consider the high cost worthwhile.
10:26 - I can see you now...dressed in a Burka holding a fully loaded Supreme pizza.
Absent leadership from the right more government involvement in healthcare is inevitable.
The right likes to gripe and complain, yet implements little solutions. We could reform drug patenting to reduce (not eliminate) but reduce the patent exclusivity of a drug and otherwise ensure that drug manufacturers are not inappropriately extending their market exclusivity. We could reform state Certificate of Need programs to allow the market participants to decide when and where to invest (offering more supply and...lower prices in the market). There are things we can do to make our system better than government-run healthcare, but we are failing to do so.
Government-run healthcare is not the panacea that it's made out to be, but every day more and more folks (R voters, nonetheless) are convinced that the status quo ain't working due to very high premiums or actual prices. These voters are eventually going to outnumber the voters that like the status quo.
@10:22
The status quo is a joke. While I am for corporations turning a profit, I am against all out greed. There is no reason for insulin prices to be batcrap crazy in our country. There is also no reason that citizens should wind up financially destitute for medical care. I once was against "socialized" medicine, but not anymore. I have no problem with social medicine, and also the ability for individuals to pay additionally for insurance for added perks/benefits/etc from doctors/hospitals. The rich basically have access to medical treatments and concierge services that the rest of cannot obtain. Medical care should be available to all needing it. Friends and acquaintances across western Europe really look down on our medical system. As other commenters have stated, our elected politicians have sold us out for "donations" to continue the status quo.
Independent apothecaries are what we need! Screw the "doctors" who "practice" medicine already. I can practice on myself at my own discretion. IF I need a doctor, I'll pay for one.
Read ‘Empire of pain”. About the Sackler pain pill pharmaceutical dynasty to better understand the advertising, detail men and girls, doctors and staff lunches every day. Etc. The whole racket is covered. Patents, lobbyists, tv ads, etc.: what a fleecing of the public and a mockery of how best to choose the best drug for each patient. The first indepently wealthy politician who runs on fixing this issue will win in a landslide. This issue of drug prices affects every American family and people have had enough.
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