3 ms·

If this is in fact true it means the rest of the world is freeloading off the US system. Not saying I'm convinced it is true. I'd like to see a deeper unbiased

by api 8y ago

If this is in fact true it means the rest of the world is freeloading off the US system. Not saying I'm convinced it is true. I'd like to see a deeper unbiased analysis.

Alex3917 8y ago
> If this is in fact true it means the rest of the world is freeloading off the US system. Sort of. We also export our definitions of diseases, and since the market for new diseases is a lemon market it makes sense that other countries should pay less for the treatments. E.g. if people in other countries can't really be sure whether or not hysteria is really a real disease that affects women, it makes sense that they would be less willing to pay the full price for cure. It's just like how consumers in the U.S. probably wouldn't pay full price for a pill to prevent fan death. Overall though the U.S. probably comes out ahead by exporting its medical model.
dogma1138 8y ago
Define true, it is true that the US spends more on medical research than the rest of the world combined, and produces more drug patents than the rest of the world combined. https://assets1b.milkeninstitute.org/assets/Publication/ResearchReport/PDF/CASMIFullReport.pdf https://assets1b.milkeninstitute.org/assets/Publication/Rese... This btw went up fairly recently especially since Indian generics became accepted world wide in the late 90’s and early 2000’s. The US used to produce 20-30% of the world’s drug patents now its peaking at 60%.
- JAlexoid 8y ago
  Probably has something to do with the research facilities in US becoming better and better with time. Since you don't really need to be in US to create drugs for US market.
  - dogma1138 8y ago
    The US always had the best facilities, biomedical research started in the US the Rockefeller University was the first one in the world iirc. This doesn’t explain it really what could explain it is that as the cost of developing a drug became higher more and more players dropped out of the game especially as the revenues started shrinking due to Indian generics becoming popular around the world.
krupan 8y ago
"In Europe, drug prices are set by governments, not by pharmaceutical companies the way they are in the U.S. On average, the difference between the price of one drug in the U.S. and the same drug in France, Germany, Italy, Spain and the U.K. was 50 percent, an analysis by the consulting firm McKinsey has found. “U.S. consumers are in fact subsidizing other countries’ public health systems, at least with respect to drug pricing,” Jacob Sherkow, an associate professor at New York Law School, said." https://www.ibtimes.com/how-us-subsidizes-cheap-drugs-europe-2112662 https://www.ibtimes.com/how-us-subsidizes-cheap-drugs-europe...
fzeroracer 8y ago
I would say it's more likely that the rest of the world has realized that collective bargaining allows them to set prices far lower than countries like say, America where they're free to gouge the money right out of your wallet. If you don't play ball with a government, you're denying yourself a lot of potential customers. A single person? A fraction of a fraction of a drop in a bucket.
tripzilch 8y ago
> If this is in fact true it means the rest of the world is freeloading off the US system. It would be if the US system was in fact efficient and good. But it's not. It doesn't work for the people. It's a huge beast that is out of control and costs billions. It will happily "research" identical drugs, worse drugs or unnecessary drugs if it means it can milk patents for a few years longer. As it currently stands, it's more accurate to say that drug research in the rest of the world is suffering because it's being dominated (because part of the billion dollar budgets go to marketing) by the US pharma industry, including everything that is broken about it. If we were freeloading, wouldn't we just take the useful results of your research?? But we get the bullshit too, because yes, your pharma marketing budgets are so huge they do in fact reach overseas.

by api 8y ago

If this is in fact true it means the rest of the world is freeloading off the US system. Not saying I'm convinced it is true. I'd like to see a deeper unbiased analysis.

Alex3917 8y ago

> If this is in fact true it means the rest of the world is freeloading off the US system. Sort of. We also export our definitions of diseases, and since the market for new diseases is a lemon market it makes sense that other countries should pay less for the treatments. E.g. if people in other countries can't really be sure whether or not hysteria is really a real disease that affects women, it makes sense that they would be less willing to pay the full price for cure. It's just like how consumers in the U.S. probably wouldn't pay full price for a pill to prevent fan death. Overall though the U.S. probably comes out ahead by exporting its medical model.

dogma1138 8y ago

Define true, it is true that the US spends more on medical research than the rest of the world combined, and produces more drug patents than the rest of the world combined. https://assets1b.milkeninstitute.org/assets/Publication/ResearchReport/PDF/CASMIFullReport.pdf https://assets1b.milkeninstitute.org/assets/Publication/Rese... This btw went up fairly recently especially since Indian generics became accepted world wide in the late 90’s and early 2000’s. The US used to produce 20-30% of the world’s drug patents now its peaking at 60%.

JAlexoid 8y ago
Probably has something to do with the research facilities in US becoming better and better with time. Since you don't really need to be in US to create drugs for US market.
- dogma1138 8y ago
  The US always had the best facilities, biomedical research started in the US the Rockefeller University was the first one in the world iirc. This doesn’t explain it really what could explain it is that as the cost of developing a drug became higher more and more players dropped out of the game especially as the revenues started shrinking due to Indian generics becoming popular around the world.

krupan 8y ago

"In Europe, drug prices are set by governments, not by pharmaceutical companies the way they are in the U.S. On average, the difference between the price of one drug in the U.S. and the same drug in France, Germany, Italy, Spain and the U.K. was 50 percent, an analysis by the consulting firm McKinsey has found. “U.S. consumers are in fact subsidizing other countries’ public health systems, at least with respect to drug pricing,” Jacob Sherkow, an associate professor at New York Law School, said." https://www.ibtimes.com/how-us-subsidizes-cheap-drugs-europe-2112662 https://www.ibtimes.com/how-us-subsidizes-cheap-drugs-europe...

fzeroracer 8y ago

I would say it's more likely that the rest of the world has realized that collective bargaining allows them to set prices far lower than countries like say, America where they're free to gouge the money right out of your wallet. If you don't play ball with a government, you're denying yourself a lot of potential customers. A single person? A fraction of a fraction of a drop in a bucket.

tripzilch 8y ago

> If this is in fact true it means the rest of the world is freeloading off the US system. It would be if the US system was in fact efficient and good. But it's not. It doesn't work for the people. It's a huge beast that is out of control and costs billions. It will happily "research" identical drugs, worse drugs or unnecessary drugs if it means it can milk patents for a few years longer. As it currently stands, it's more accurate to say that drug research in the rest of the world is suffering because it's being dominated (because part of the billion dollar budgets go to marketing) by the US pharma industry, including everything that is broken about it. If we were freeloading, wouldn't we just take the useful results of your research?? But we get the bullshit too, because yes, your pharma marketing budgets are so huge they do in fact reach overseas.