Quote:
Originally posted by sgtclub
You may be right for particular drugs made by particular companies, but to say drug companies in general are not facing true markets is ridiculous, and even for those drugs where they have a monopoly, you have not shown evidence of predatory pricing (I am not convinced that because they charge less in Canada they are engaged in predatory pricing in the States).
Setting aside my discomfort with regulating pricing in general, your exchange rate plan is interesting, but presumably would raise prices in the 7 other countries, which could have the effect of lower aggregate demand.
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The pricing plan would apply only to US sales/purchasese by a 3d party/gov't payor.
They're not predatory pricing, they're price discriminating, which is often used to show market power, that is, a monopoly. IF the markets were competitive, there would be no arbitrage opportunities for consumers to bring in drugs from Canada and save money.
It's true it's not about all drugs, but it is about high-priced drugs. Where there's plenty of generic competition, there really isn't an issue. It's where there is no generic competition that prices are high, and monopolisitc.
