CAN WE STOP THIS MADNESS?
Gilead, the Pharmaceutical company selling the Hepatitis C cure Sovaldi, is tiering prices for the 3 month course of the drug: $84,000 in the U.S. $55,000 in Canada, $66,000 in Germany, and reportedly around $2,000 for a generic version that may be licensed to several Indian companies. Sovaldi costs about $130 to manufacture, reinforcing how outrageous its pricing is.
Gilead justifies its pricing by suggesting that it reflects the value of Sovaldi to the overall health care system because of downstream health savings. If you accept that logic, then you should be paying $10,000 for a penicillin prescription for a strep infection instead of $8. Or one step further in that logic - Should the charge for an appendectomy reflect the value of the patient's life earnings from that point onward?
The pricing of Sovaldi is the perfect illustration of how pure unfettered capitalism has no morality or ethic. It looks like any effective new drug treatment is going to be priced at what the market will bear, even if it bankrupts individuals and government programs. Yes, you need a profit incentive for the companies to develop these drugs, but allowing such wanton extortion from seriously sick people makes me feel ill also.
Gilead, the Pharmaceutical company selling the Hepatitis C cure Sovaldi, is tiering prices for the 3 month course of the drug: $84,000 in the U.S. $55,000 in Canada, $66,000 in Germany, and reportedly around $2,000 for a generic version that may be licensed to several Indian companies. Sovaldi costs about $130 to manufacture, reinforcing how outrageous its pricing is.
Gilead justifies its pricing by suggesting that it reflects the value of Sovaldi to the overall health care system because of downstream health savings. If you accept that logic, then you should be paying $10,000 for a penicillin prescription for a strep infection instead of $8. Or one step further in that logic - Should the charge for an appendectomy reflect the value of the patient's life earnings from that point onward?
The pricing of Sovaldi is the perfect illustration of how pure unfettered capitalism has no morality or ethic. It looks like any effective new drug treatment is going to be priced at what the market will bear, even if it bankrupts individuals and government programs. Yes, you need a profit incentive for the companies to develop these drugs, but allowing such wanton extortion from seriously sick people makes me feel ill also.






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