The comment about drug prices isn't some theoretical supply-and-demand problem. Go to chemistwarehouse.com.au (popular Australian chemist) and just type in the

The comment about drug prices isn't some theoretical supply-and-demand problem. Go to chemistwarehouse.com.au (popular Australian chemist) and just type in the name of your favourite prescription drug. The "private prescription price" is the un-subsidised cost that people not covered by Medicare (e.g. foreign residents) pay. The discounted PBS price is what regular residents pay, the concession price is for people on low incomes or pensions. Even un-subsidised, you're typically looking at a price 80% lower than what people in the US pay. With subsidies, it's closer to 90-95% less. This has nothing to do with manufacturing costs - manufacturing in Australia is more expensive. It's entirely because our government doesn't allow pharmaceutical companies to profiteer from their IP to the obscene extent that the US government does, and we've had a right-leaning government for 19 out of the last 25 years.