President Donald Trump said Friday he’s preparing an executive order declaring a “favored nations clause” for drug prices, where the U.S. will pay no more than the country with the lowest prescription drug prices.
“As you know for years and years other nations pay less for drugs than we do,” Trump told reporters on the South Lawn of the White House. “We’re working on a favored nations clause, where we pay whatever the lowest nation’s price is. Why should other nations — like Canada — why should other nations pay less than us? ”
There will undoubtedly be some opposition to this (Because Trump, if nothing else) and I will be watching to see where that opposition comes from.
MAGA.
The left’s treasonous puppetmasters are likely upset.
If Trump wants to be assassinated, phucking with the drug companies may be his best bet. They have budgets larger than 80% of the countries on this planet.
Big Pharma will be greatly displeased.
The US has been subsidizing discount pharmaceuticals in other countries for decades. Big Pharma knows that it can low-ball prices in countries like Canada, because they can recoup those losses by elevating prices in the US.
From a purely economic standpoint, price controls are unsustainable. In this case, the rest of the world has been controlling prices and consumers in the US have carried the economic burden. If this EO stands, it will force Big Pharma and the rest of the world to negotiate realistically when determining prices.
Because healthcare is a relatively inelastic market, some price controls are required to reign in price gouging.
That being said, I presented a greatly simplified explanation of an extremely complex economic sector. This EO is a good first step in unraveling that complexity.
MAYBE if we shitcanned ShitbamaKare (along with a few trillion lawyers… 😡 ) – instead of piecemealing it to death – we might get something BETTER, than half-Shitbamassed results! 😡
where the U.S. will pay no more than the country with the lowest prescription drug prices
And then publish the prices so individual consumers can can make informed buying decisions.
When considering the price of drugs it is helpful to consider all the laws and lawsuit costs that American manufacturers face.
After paying an incredible amount for FDA approval a lawsuit on a par with Mc’ Donald’s hot coffee suit requires a price cushion above other countries.
Like everything else, you can blame the lawyers.
Clearly a signal that Congress, for years, has refused to do anything to help America and all the time the only person we needed was a president that was looking out for us, instead of the drug companies. No wonder the left hates our President and us, they’re on the wrong side.
Big Pharma will just jack up the drug prices to equal the same prices here in the U.S. now. Those countries will just try to jack up tariffs on other imported U.S. goods & create new taxes for their people to subsidize the increases to keep the drug prices low to the people so the people will think their Government is doing something good for them, but in reality these people will be getting screwed over even more than they are now.
Not sure how that can even work. I think Pogo is right. I think transparency is important and could be required, but the free market is what leads to the most innovation and best pricing.
Oh geez, just get Mexico to pay for it.
I think Canada is in the process of changing their costing method however the lower prices have been a function of several things.
One is that the provinces negotiate the price with the manufacturer however the provinces remain in close contact with each other and effectively it’s as if they negotiate together and get bulk pricing advantage. Another way is the the Feds are checking to see if the price offered by the manufacturer exceeds the median price that is charged in a number of European countries (and they are more interventionist) and in the US. Then they’ll intervene (not sure how). Finally, Canada (this may be changing) typically gives three addition years of patent protection to the manufacturer then is offered in most other countries.
I don’t see why the US wouldn’t offer the same terms although I will say that of the US goes the way of most favored rather then united negotiation (Medicare doing the negotiation and the States copy the results) giving huge bulk discounts and maybe easing patent laws a touch you may get better results. The Multinationals would unlikely take to kindly to the US piggybacking off other country negotiations to gut their profits (it;s one thing for a small country like Canada to do that then it is for a huge one like the US). It may cause a litigation nightmare with drugs taking years longer to make it to market and the Chinese swooping in the copy drugs and sell them a cut rate cost and individuals having no option to buy through their pharmacy. I honestly don’t understand why the US hasn’t been using it’s buyer clout coordinated by the government years ago to get lower cost.
From Roman V: “Like everything else, you can blame the lawyers.”
No, you can blame the idiots on the jury. The lawyers present, the jury decides.
From SCR_North: “(Medicare doing the negotiation and the States copy the results)”
Medicare is prevented by law from negotiating prices with American pharma manufacturers. Yes, I know that sounds nutz. It is however the law.