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Yes, and in the second arm of the scam, the drug companies will send out their army of salespeople to convince doctors and hospitals to prescribe the more expen

Yes, and in the second arm of the scam, the drug companies will send out their army of salespeople to convince doctors and hospitals to prescribe the more expensive version. Because of small differences between the drugs (maybe the liquid version is easier on the stomach) they will decide that the solid generic is not equivalent to the liquid. Then the patients will all buy the expensive version, as ordered by their doctors, and charge it to their insurers. The insurers will look at the cost going up and will raise insurance rates. If you have been paying attention to what has been happening to insurance rates for the past several years you can easily see the result.

tathougies 7y ago
I mean, the obvious answer there is to educate doctors on what is actually scientifically proven. If doctors (who ought to be one of the most scientifically minded professionals engaged with on a regular basis) are susceptible to salespeople selling them false science, then we should probably not allow them to be doctors anymore. The lack of critical thinking in that profession then ought to alarm us, and ought to be the first thing that's fixed. On the other hand, if it is actually a superior product, then I don't see what the issue is in it costing more. Doctors would know about the cheaper version and prescribe it if the patient wanted it? Of course, given that insurance for everyday needs screws up the pricing dynamics, I do think the alienation of pricing from the consumer, thus reducing demand for the lower priced versions, is a valid criticism.
- hristov 7y ago
  It is not that much about education. Currently there exists a complex system of various incentives to convince doctors to prescribe more pills and to prescribe certain types of pills. The pharma companies have installed their people in hospital management and various medical boards all over the place, and they are constantly pushing for more drugs and more expensive drugs. The pharma companies can make it worthwhile for a hospital group to prescribe more drugs. The hospital group management can in turn incentivize their doctors to do it. It is even in the insurance companies benefit, because there really isn't a competitive market for medical insurance. Insurance companies actually welcome higher costs, because they raise their rates accordingly, which actually make their profit dollars go up. It is only us ordinary users of medical services that are paying the bill. The underlying problem is that there isn't any mechanism for a cost benefit analysis in the doctor patient relationship. The modern medical insurance system was set up to assure the customer that he would get the best medical care he needs without worrying about cost. It is a perfect system for gouging and everyone has started gouging.
s1artibartfast 7y ago
It is a tough problem, patients expect doctors to prescribe the best possible care, and doctors think it is amoral to take financial impact into account. Ideally, the doctor would be able to help the patient understand the trade off and make an informed decision.

tathougies 7y ago

I mean, the obvious answer there is to educate doctors on what is actually scientifically proven. If doctors (who ought to be one of the most scientifically minded professionals engaged with on a regular basis) are susceptible to salespeople selling them false science, then we should probably not allow them to be doctors anymore. The lack of critical thinking in that profession then ought to alarm us, and ought to be the first thing that's fixed. On the other hand, if it is actually a superior product, then I don't see what the issue is in it costing more. Doctors would know about the cheaper version and prescribe it if the patient wanted it? Of course, given that insurance for everyday needs screws up the pricing dynamics, I do think the alienation of pricing from the consumer, thus reducing demand for the lower priced versions, is a valid criticism.

hristov 7y ago
It is not that much about education. Currently there exists a complex system of various incentives to convince doctors to prescribe more pills and to prescribe certain types of pills. The pharma companies have installed their people in hospital management and various medical boards all over the place, and they are constantly pushing for more drugs and more expensive drugs. The pharma companies can make it worthwhile for a hospital group to prescribe more drugs. The hospital group management can in turn incentivize their doctors to do it. It is even in the insurance companies benefit, because there really isn't a competitive market for medical insurance. Insurance companies actually welcome higher costs, because they raise their rates accordingly, which actually make their profit dollars go up. It is only us ordinary users of medical services that are paying the bill. The underlying problem is that there isn't any mechanism for a cost benefit analysis in the doctor patient relationship. The modern medical insurance system was set up to assure the customer that he would get the best medical care he needs without worrying about cost. It is a perfect system for gouging and everyone has started gouging.

s1artibartfast 7y ago

It is a tough problem, patients expect doctors to prescribe the best possible care, and doctors think it is amoral to take financial impact into account. Ideally, the doctor would be able to help the patient understand the trade off and make an informed decision.