4 ms·
Isn't the whole issue with drugs the fact that they have a huge upfront cost in terms of research, and then they are basically free to produce? If you just do
by marcell 6y ago
Isn't the whole issue with drugs the fact that they have a huge upfront cost in terms of research, and then they are basically free to produce?
If you just do cost plus, then the research can't get (retroactively) funded.
This is similar to software, where the marginal cost is zero.
- apendleton 6y agoSure, that's what patents are for: to guarantee exclusivity to whoever bore the R&D cost so they can charge a lot for long enough to recoup their investment. This service is selling generics, though, so they'll be off-patent at this point.