5 ms·

I'm all for solutions that lower drug prices in the US. Wouldn't mass-importation from Canada encourage drug companies to raise Canada's pricing to match US le

• CoolGuySteve 7y ago
  Based on the high level of regulatory capture in the mining and telecom industries in Canada, it doesn't seem like it would be particularly expensive for drug companies to lobby the federal government for stricter export restrictions on drugs.
• Scoundreller 7y ago
  Canada’s pricing basically works like this: manufacturers are allowed to charge the median price of industrialized countries.
  • e1ven 7y ago
    I understand that's their current policy. If the US began importing high quantities of drugs from Canada, what prevents Pharma companies from insisting that Canada pay current US prices? If Canada declines, the companies could stop selling in Canada. I would think in many cases the profit from selling in Canada at all is less than what they'd lose from allowing them to be imported to the US.
    • Scoundreller 7y ago
      Then Canada goes back to its old system before the current one: Compulsory Licensing. Anyone can manufacture any patented drug and just pay the patent holder an x% royalty. It works ok for playing songs on the radio.
      • e1ven 7y ago
        Sounds reasonable to me. I'd be in favor of such a system. I think if the US were importing large quantities of drugs, they would be forced to move to that system. But if you think that there is the political will to do so, I think that could work out rather well. Thanks.
        • Scoundreller 7y ago
          The best part about the system is that it uses big corp’s Hollywood accounting against them. Oh, per your US tax return, we see that you earned 0.4% profit on your US sales last year. You’d be fine with a 1% royalty after we sell it for half price, right?
          • mirimir 7y ago
            That would be awesome.