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Politics : A US National Health Care System?
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To: TimF who wrote (3053)12/4/2007 4:08:42 PM
From: Road Walker  Read Replies (1) of 42652
 
They spend billions per highly profitable drug that they develop. That investment will be reduced if the profit is reduced, whatever the marketing costs are. To the extent that the marketing cost is very high, than that's even less reason to develop useful new drugs if the profit is limited.


I see, you think marketing is a fixed cost but R&D is variable.

My point is that profits won't be reduced just redistributed. They can't reduce R&D, that is their product. So they would have to pass on the cost...

But even if the pipeline is terrible right now, I doubt that 2002 was a better than average year for the post 2000 period.

I have no idea about 2002... but currently they are blaming the FDA, and they are being very cautious because of all the dangerous drugs and subsequent lawsuits recently.
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