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Politics : Just the Facts, Ma'am: A Compendium of Liberal Fiction -- Ignore unavailable to you. Want to Upgrade?

To: Solon who wrote (40403)	9/15/2005 5:24:38 PM
From: Peter Dierks	Read Replies (2) \| Respond to of 90947

"All countries pay for their own R&D. Fortunate countries like the U.S. get 34% or so their costs publicly funded. Their pharmaceutical companies also enjoy virtually tax free status." Companies pay for their own R&D. If the country pays for it, then they have a competitive advantage. Please provide evidence of your assertion that the US government provides 34% or so of the money for research. I disbelieve your assertion. I am not sure what countries you think don't tax their pharmaceutical industry. The US taxes corporations." "Data I have from 1999 show that U.S. and Japan were the two biggest IMPORTERS of pharmaceuticals from the rest of the world. The average tariff is passed on to the consumer adding an additional 12% to the cost. Since 1980, Germany has contributed the largest share of world EXPORTS while Switzerland is second." Import and export is an indication of locus of manufacturing, which may not correlate to the locus of innovation or ownership. "8 of the top 11 drug companies in the world are American." OK. "If all countries paid fairly for drug innovated in other countries drug companies would be a better investment and the drug costs in the US would be much lower. If just a few countries like ones in the EU would pay fairly for innovation US drug costs would be much lower. "drug companies have every right to limit their sales... Why blame other countries for ... willing to sell for? Free Enterprise. Your drug companies set their own prices. And they target all their research toward "wealthy" diseases and those who can afford to be gouged with prices FAR in excess of the manufacturing/R&D costs to market. ... It seems like you are in favor of lower drug costs, but I fail to see how other free countries are supposed to assist you in this??" The market will eventually address the issue. American governmental units reimporting drugs from Canada will eventually cause shortages in Canada as drug companies restrict the unit sales at huge discounts. When Canada pays a fair price, or restricts the reexportation the "crisis" will abate. Enjoy the artificial price discount while you it lasts. Every time governments try to game the market, it causes disruptions and gets corrected.