But it does reduce the cost of research and development coming out of the company's pocket. That said, in a capitalist society, the production price helps to se

But it does reduce the cost of research and development coming out of the company's pocket. That said, in a capitalist society, the production price helps to set where companies will stop making it. The price is actually set to where profit is highest, meaning it's a function of: how many people will buy at various prices and how much does it cost to produce at various quantities. One of the strong arguments for single payer healthcare, IMHO.