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Politics : PRESIDENT GEORGE W. BUSH -- Ignore unavailable to you. Want to Upgrade?


To: Neocon who wrote (528324)1/23/2004 4:00:13 PM
From: AK2004  Read Replies (1) | Respond to of 769667
 
re: Why would anyone sell below cost for any length of time

there is a fixed and variable cost - one would not sell below variable.

re: The government is just another bulk buyer, in the case you mention.

not really, it is just as bulk buying as imposing tariffs. It is not just subsidizing drugs because reduced health care cost would affect the cost of anything and everything that is produced in the country. And on our side it would increase the cost of anything that is produced here.

re: The drug companies themselves can front- end development costs, and refuse to sell for less.

unfortunately that does not work like that. In a free market we would still see products sold above variable but below true cost based on optimization models - example might be the prices of computer hardware in 3rd world countries vs western countries. That type of deep discount is very healthy as it helps economies to recover. When pricing above variable cost is negotiated by very wealthy country by a government of that country then it becomes a problem.

re: Check on survival rates for various serious illnesses and medical procedures, for example.

improved procedures and improved overall health would affect outcomes \greatly - I am an actuary.

re: Check on the link between infant mortality

infant mortality was improved but it was addressed as a separate matter and as such should be treated separately

re: Check on the trend of earlier and more accurate diagnosis.

that is more of a result of technological developments rather than flexibility of coverage

re: If we are getting a bigger bang for the buck, what is there to complain about?

it is like saying that 500 KHz computers are so much cheaper today than they were in 80s, is not it?