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Price caps on drugs
in Economy
Debra AI Prediction
Arguments
What is better, 10 million people being able to buy a drug for $10,000 per bottle, or 1 million people being able to buy the drug for $1,000 per bottle and 9 more millions facing the shortage? That depends on what evaluation scale you choose to use. I do think that the government's evaluation cannot be forced on free individuals, however.
What the government could do instead is abolish the current restrictive copyright/patent system. This way, whenever a company develops a new drug, anyone else can immediately start reproducing that drug and selling it at whatever prices they want. Then the market will set the price at the equilibrium naturally, without any unpleasant side effects. A monopoly dies out as a static concept, the corporations can no longer get away with raking up the prices into the sky due to the hardships of the free market competition, and the technological innovation is pushed to its limit.
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Not much I can add to that. Here's a prime example. If you've been watching t.v. you've seen the ads for the generic Viagra. An online doctor will evaluate you and give you a prescription for it and you buy it from their website. They are selling them for $5 per pill with a subscription. However on goodrx they are around $3 locally vs $60 for the brand name.
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