3 ms·

My scenario includes profits in all possible choices, the issue is that some choices have less obscene profits. What would happen is maybe some immoral people w

My scenario includes profits in all possible choices, the issue is that some choices have less obscene profits. What would happen is maybe some immoral people would change jobs to the ones that maximizes profit/work done. I understand that say a business man that is not a researcher will want to put his money into researching the thing that gives him the most amount of money back so there is a risk that all billionaires will leave the big pharma and invest into homeopathic products but maybe we could find a solution, date I say, tax the obscene profits and use the money into research of important stuff?

gruez 5y ago
>My scenario includes profits in all possible choices, the issue is that some choices have less obscene profits. What counts as "obscene profits"? Purely from a % point of view? What if the drug has high R&D costs? What if they drug have a small patient base to amortize fixed costs over? What if the drug was a moonshot project with little chance of succeeding? >What would happen is maybe some immoral people would change jobs to the ones that maximizes profit/work done. But don't we want that? If we want rare diseases cured, we shouldn't depend on the efforts of altruistic researchers alone. Promise of high drug prices allows companies to attract more researchers, both altruistic and immoral/indifferent ones. >tax the obscene profits and use the money into research of important stuff? I don't get it. So you're okay with obscene profits, as long as they're taxed appropriately?
- simion314 5y ago
  >I don't get it. So you're okay with obscene profits, as long as they're taxed appropriately? No, this was a possible solution >What counts as "obscene profits"? Purely from a % point of view? What if the drug has high R&D costs? What if they drug have a small patient base to amortize fixed costs over? What if the drug was a moonshot project with little chance of succeeding? I included all of this. My issue is with this law of economics "prices should be the maximum possible" so if you notice the R&D, risks are not part of the price, is all about maxing it out at any costs (lives, environment,some laws etc). Of course you should make enough profit to recover your R&D, risks and all the other costs the problem is the economic people will tell you don't stop. Btw there are people that are not obsessed by making more money, especially by harming others, but I seen a lot of "how to get rich fast" books,webinars etc where some dude will teach you how to sucker others and make a lot of profit.
  - gruez 5y ago
    >My issue is with this law of economics "prices should be the maximum possible" so if you notice the R&D, risks are not part of the price, Risks are not part of the price, but the max price you can charge (either by caps imposed by governments, or your customer's purchasing power), market size, risk, and R&D costs factors into an overall equation that determines whether a drug project can be funded or not. > is all about maxing it out at any costs (lives, environment,some laws etc). Of course you should make enough profit to recover your R&D, risks and all the other costs the problem is the economic people will tell you don't stop. okay but what what counts as "enough profit to recover your R&D, risks and all the other costs", and who decides? currently it's decided by the market. you guess what the costs are, and decide whether or not to develop the drug accordingly.
    - simion314 5y ago
      >okay but what what counts as "enough profit to recover your R&D, risks and all the other costs", and who decides? currently it's decided by the market. you guess what the costs are, and decide whether or not to develop the drug accordingly. The correct price would be IMO the price you would have is there would be competition, so if there would be 10 others creating similar medicine(or CPUs,phones) and what price you would use to be competitive but still profitable ? That would be the correct price. What happens is if there is not enough competition you max it up 10 times

gruez 5y ago

>My scenario includes profits in all possible choices, the issue is that some choices have less obscene profits. What counts as "obscene profits"? Purely from a % point of view? What if the drug has high R&D costs? What if they drug have a small patient base to amortize fixed costs over? What if the drug was a moonshot project with little chance of succeeding? >What would happen is maybe some immoral people would change jobs to the ones that maximizes profit/work done. But don't we want that? If we want rare diseases cured, we shouldn't depend on the efforts of altruistic researchers alone. Promise of high drug prices allows companies to attract more researchers, both altruistic and immoral/indifferent ones. >tax the obscene profits and use the money into research of important stuff? I don't get it. So you're okay with obscene profits, as long as they're taxed appropriately?

simion314 5y ago
>I don't get it. So you're okay with obscene profits, as long as they're taxed appropriately? No, this was a possible solution >What counts as "obscene profits"? Purely from a % point of view? What if the drug has high R&D costs? What if they drug have a small patient base to amortize fixed costs over? What if the drug was a moonshot project with little chance of succeeding? I included all of this. My issue is with this law of economics "prices should be the maximum possible" so if you notice the R&D, risks are not part of the price, is all about maxing it out at any costs (lives, environment,some laws etc). Of course you should make enough profit to recover your R&D, risks and all the other costs the problem is the economic people will tell you don't stop. Btw there are people that are not obsessed by making more money, especially by harming others, but I seen a lot of "how to get rich fast" books,webinars etc where some dude will teach you how to sucker others and make a lot of profit.
- gruez 5y ago
  >My issue is with this law of economics "prices should be the maximum possible" so if you notice the R&D, risks are not part of the price, Risks are not part of the price, but the max price you can charge (either by caps imposed by governments, or your customer's purchasing power), market size, risk, and R&D costs factors into an overall equation that determines whether a drug project can be funded or not. > is all about maxing it out at any costs (lives, environment,some laws etc). Of course you should make enough profit to recover your R&D, risks and all the other costs the problem is the economic people will tell you don't stop. okay but what what counts as "enough profit to recover your R&D, risks and all the other costs", and who decides? currently it's decided by the market. you guess what the costs are, and decide whether or not to develop the drug accordingly.
  - simion314 5y ago
    >okay but what what counts as "enough profit to recover your R&D, risks and all the other costs", and who decides? currently it's decided by the market. you guess what the costs are, and decide whether or not to develop the drug accordingly. The correct price would be IMO the price you would have is there would be competition, so if there would be 10 others creating similar medicine(or CPUs,phones) and what price you would use to be competitive but still profitable ? That would be the correct price. What happens is if there is not enough competition you max it up 10 times