E-drug: USA drug prices debate flares up (cont 2)
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Giving further thought to the medication costs in the U.S. Yes, the drug
companies spend money in promotion but it's a drop in the bucket. The
fact is that the major drug companies look to America as the place where
they can pay off their huge research and development costs and make a
good profit to fuel the research on the next blockbuster. If they tried to
recoup those costs in Mexico where the average person makes $4,000 per
year they would sell NO product. So they adjust their price to the group
they serve. Take those costs as a percentage of per capita income and
we pay less than most countries. Add to that the fact that most poor people
get their drugs paid for in the U.S, country. The people who are suffering
are the elderly and those without adequate healthcare coverage. To think
that it's the dinners and pens is not to give the problem enough credit.
Many of us know this is not a new topic. For some reason, the media is
latching onto it now with the recent U.S. Medicare legislation regarding
medication coverage. However, it is obviously a topic that warrants all of
our attention. My understanding is that drug prices are higher in the (US)
in part because of the Research and Development costs. I do not
understand why the R & D cost must solely be paid by U.S.citizens when
people around the world are receiving the benefits of US produced
medications. Of course, we have all, at one time or another benefited from
the various perks offered by the pharmaceutical companies. I imagine that
the R & D portion is more responsible, however, for the discrepancy in the
higher prices in the US. Does anyone else have any insight into an
explanation, logical or not, why Americans solely bear the R & D cost in
addition to the actual cost and profit margin of drug prices? (The profit
margin is likely a culprit in this issue as well.)
Blaine Carmichael, PA-C
Bpcarmichael@stic.net (home)
Bcarmich@baptisthealthsystem.org (office)
Moderator, "PRIMARYPA" Clinical discussion List
VP Association of Family Practice Physician Assistants
CME Conference on Rural & Indigent Health Care, Nov. 2-5, 2000
http://www3.ns.sympatico.ca/yngdoc/
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