October 27, 2010
The Heart of the Matter

Generics have cut into profit margins, so drug companies stop making things that allow people to live. This, and nothing else, is why it's so hard to apply markets to health care. If I can't afford the latest TV technology, I watch the one I have, or I read a book. If I don't have the drug I need, I frakking die. Until we manage to unlock immortality, this is where the market hits a brick wall.

Progressives will then climb to the very tip of their bell tower's spire and rain righteous hellfire down on me, but they have a problem too. Immortality is going to be expensive, in ways nobody's really figured out. The only way it's going to happen, the only way, is if the medical industry is allowed to maximize its profits. Seeking social justice now, progressives will doom us all to the grave.

There are no good answers, and anyone who thinks they have them is either insane, or selling something.

Posted by scott at October 27, 2010 08:37 PM

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Comments

I'd comment, but why bother? You ban commenters who disagree with you.

Posted by: a very rare reader on October 28, 2010 07:24 AM

I've been commenting for years and not seen that, so pony up with some actual thoughts.

As to the matter at hand, this article is definitely slanted. While they mention production issues they also fail to note that the FDA is stepping up enforcement, closing plants left and right, etc. Raw materials, most of which come from China, can get shorted due to quality issues. When that happens, the entire market has to step up. Making drugs isn't like normal widgets. There's very long lead times to get a new production line started, intensive testing and certification necessary to get the active ingredients approved, all sorts of FDA-mandated testing to even allow a company to make the drug, etc. If the shortage is going to be temporary why would another company invest all of the money to actually start up a production line?

Of course there are financial considerations outside of that. Those generally play in to whether or not a company even tries to get their generic version approved. Some folks will exit the market, too, if they don't have enough marketshare to make the drug profitably - but that tends to only happen when they've got 10% or less of the share on a low use item. In practical terms that just increases the price of the drugs due to lessened amounts of competition.

I do like how the article blames the morphine shortage (by the way, did you know that the DEA limits the total number of doses allowed to be produced for all C2 meds? So if, in a year, we have a high number of cases where we legitimately need these pain meds but the limits already been reached there's not a damn thing that can be done to get more of them? Article forgot to mention that tidbit.) for two deaths. Not the nurse, pharmacist, or technician who's responsible.

Maybe a journalist should bother to know their ass from a hole in the ground prior to typing. I realize that's expecting a lot from the media, but at least try...

Posted by: Ron ap Rhys on October 28, 2010 08:14 AM

Last point - generics have cut into the profit margins for brand companies only. For hospitals, pharmacies, and nursing homes they increase profits. For patients and the government they reduce costs - drastically.

Posted by: Ron ap Rhys on October 28, 2010 08:16 AM

It's actually very difficult to ban commenters outright with our ancient blog software. It's been so long I can't remember the last time I did it. I do sometimes delete genuinely annoying comments without notice, but lately that's involved some weenie who got a bug up his butt about one of our error messages.

I also regularly screw up regexes trying to stop comment spammers. People always take that very personally for some reason.

Posted by: scott on October 28, 2010 10:43 AM

heheheheh
he
hehehe
hehehe

you said bug. then you said butt.

Posted by: Ron ap Rhys on October 28, 2010 05:18 PM

Don't worry about it, "reader" doesn't have any argument better than "hurr durr doctors who do anything for money instead of out of the goodness of their hearts are evil and must be destroyed before they kill us all." He's just hoping none of us call him on it.

Posted by: tatterdemalian on October 29, 2010 01:40 AM

Funny thing is that the last site I got banned from is hyper-liberal. Never been banned from a conservative site.

Have gotten a 24 hour ban a few times on Fark, though. Apparently they've got some nancies over there...

Posted by: Ron ap Rhys on October 29, 2010 08:21 AM
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