'Company hikes price 5,000% for drug that fights complication of AIDS, cancer'

[Sakamoto]

http://www.usatoday.com/story/news/health/2015/09/18/company-hikes-price-5000-drug-fights-complication-aids-cancer-daraprim/32563749/

 

"A drug treating a common parasite that attacks people with weakened immune systems increased in cost 5,000% to $750 per pill."

 

This guy. Raises price of drug to get money. gud idea?

 

Just.

 

No.

 

This pill saves lives.

 

Discuss.

[Professional Map Painter]

Welcome to the world of pharmaceutical companies, enjoy your stay.

[Teeny Tiny Cat]

Welcome to the world of pharmaceutical companies, enjoy your stay.

 

Yeah I don't get why people keep sharing this as if it's new or unique to this douche. Welcome to healthcare as a business.

[silencedotmid]

I warned you about capitalism bro!
I told you dog!

 

Also the CEO who did this (and has been recently buying up + jacking up the prices of other drugs as well) is a notoriously sketchy guy and also he plays league of legends. What an asslord all around.

[polar]

The founder was asked how he could sleep at night. His reply: "You know, Ambien."

[Explosion-chan]

No source, but pretty sure he's being taken to court over it. He did it to another company and the board of that committee is trying to hold him accountable.

[Kevin the Chicken God]

happens all the time, it's really common for large pharmaceutical companies to buy up smaller companies and squash them and whatever they were developing, and there isnt anything wrong with it. It also only impacts the US, in other countries where healthcare is provided you still get the pill for free

so ya know

capitalism 

[Professional Map Painter]

happens all the time, it's really common for large pharmaceutical companies to buy up smaller companies and squash them and whatever they were developing, and there isnt anything wrong with it. It also only impacts the US, in other countries where healthcare is provided you still get the pill for free

 

The Government simply pays for it instead, and if the price increases then less pills can be purchased so less lives can be saved. 

[get miked m8]

To know just how fucked up the US health service is, all you need to know is that a) this shit and b ) here is a world famous tv series where a man must turn to making industrial quantities of highly illegal drugs, in this case meth amphetamine, just to pay off his hospital bills. You might have heard of it, its called Breaking Bad.

[The Penguins]

To know just how fucked up the US health service is, all you need to know is that a) this shit and b ) here is a world famous tv series where a man must turn to making industrial quantities of highly illegal drugs, in this case meth amphetamine, just to pay off his hospital bills. You might have heard of it, its called Breaking Bad.

 

But as ignorant Americans, we trust the media and are blind to this until we get our next hospital bill 

[Python.]

 

 

 

He bought the product, he can do what he wants. Fact.

 

 

Imgur post with sources: 

http://imgur.com/gallery/J2CD6

[Kevin the Chicken God]

The Government simply pays for it instead, and if the price increases then less pills can be purchased so less lives can be saved. 

yeah, but it isnt preying on people's illnesses as much. It's no longer a decision between feeding family vs taking a potentially life-saving pill

[Professional Map Painter]

yeah, but it isnt preying on people's illnesses as much. It's no longer a decision between feeding family vs taking a potentially life-saving pill

No, but I doubt that any Government has an infinite budget. You could die before being accepted for a course of treatment (waiting lists).

 

Obviously the company has to make a profit or at least break even (otherwise it'll go bust), but charging extortionate prices is wrong.

[Teeny Tiny Cat]

The Government simply pays for it instead, and if the price increases then less pills can be purchased so less lives can be saved. 

 

That's not strictly true in a lot of cases, our govt has access to a lot of generics that are restricted in the USA. Doesn't apply in all cases (and likely not in this one) as this kind of issue arises when a company owns the patent on a drug for a certain number of years, which is why they can charge whatever they want - no competition as no-one else can make it.

[NotWarlizard]

I agree with the fact that this guy is a terrible human being and this is wrong, but to the people blaming capitalism: don't.

 

This isn't the fault of capitalism, this is the fault of a human in specific that is extremely greedy.

 

If you blame capitalism then just look at how well North Korea is doing without capitalism.

[Gent♥]

I agree with the fact that this guy is a terrible human being and this is wrong, but to the people blaming capitalism: don't.

 

This isn't the fault of capitalism, this is the fault of a human in specific that is extremely greedy.

 

If you blame capitalism then just look at how well North Korea is doing without capitalism.

 

Dictatorship =/= All "not-capitalism"

 

This guy is a dick. He's also a good businessman. Those things kinda go hand in hand.

 

I'll just watch and try not to smirk from the UK. And we think the NHS has problems, ha...

[Teeny Tiny Cat]

I'll just watch and try not to smirk from the UK. And we think the NHS has problems, ha...

 

You're looking at our future if you keep voting tory

[fgsfds]

>Martin Shkreli

 

That's one of the jewest names I've ever heard. No wonder.

[The Penguins]

Update: http://www.msn.com/en-us/money/companies/turing-to-roll-back-massive-price-hike-of-daraprim-after-outrage/ar-AAeEQiB?li=AAa0dzB

 

Looks like public outrage worked 

[Hyperqube]

This isn't the fault of capitalism, this is the fault of a human in specific that is extremely greedy.

 

I'm not saying captialism is inherently bad or something - but there are loopholes. And this is one ...

 

This is how it goes:

 

(1) private company spends money to research medicine (which is a big investment)

 

(2) for a limited time (50 years IIRC) the company then holds the copyright of that medicine

(this law is created so the company can get the return on investment)

 

not applicable: (3) after that period of time, other companies can produce that medicine too (genertic medicines: it's the same thing, just not the brand)

 

Monopoly 101: if there's no competition (in this case, there's no alternative medicine) you can set the price.

 

As you can see, the laws to protect the posibility of capitalism (number 2) remove possible compedators, create the opportunity to raise prices (number 3).

 

Capitalism is an economic system in which trade, industry, and the means of production are largely or entirely privately owned and operated for profit -- wikipedia

• Government owned companies wouldn't (well ... shouldn't) abuse the monopoly too much (at least not on the scale of this example)
• While if you remove the profit, the copyrigtht laws of step 2 wouldn't be a thing

[Poorest scrub]

Yep, welcome to healthcare. They know if you need it you'd be willing to get it at whatever the cost(within your power of course). Unfortunate, but true. Kinda like those people that sold water bottles at 8 dollars after hurricane katrina

[MC22]

Companies do not have an intrinsic right to give cheap medicine do they? Oh wait, America is a mix of capitalism and socialism! I can abuse the government to break up their efforts into little companies so they stop making profit!
 

[Hyperqube]

Companies do not have an intrinsic right to give cheap medicine do they?

It's NOT just in america. It's globally. Companies have the job to keep existing. A medical company will have to have the resources to research new medicine - as once the copyright timespan ends, they're left without their 'cash cow'

 

invest in research for medicine

-> medicine

-> money

-> profit & invest in research for other medicine

-> other medicine

-> new money

-> profit & invest in research for yet another medicine

-> ...

 

When you look at the cost of a medicine, you CAN'T only look at how much it costs to create. Unless it's created by a non-profit organisation with no future business plan

[t0night]

i feel like the fact that you have to allow companies to charge their own extortionate monopoly price on a new drug for 5-10 years just to get them to invest in drug development is pretty damning of the profit motive as an all-powerful all-perfect incentive.

[NotWarlizard]

Yep, welcome to healthcare. They know if you need it you'd be willing to get it at whatever the cost(within your power of course). Unfortunate, but true. Kinda like those people that sold water bottles at 8 dollars after hurricane katrina

Because the money to pay the salaries of scientists who take years to develop the new medicine, as well as to pay for studies to get approved, as well as running a full functioning company, as well as many other costs comes out of thin air....

 

So your claim to blame healthcare is of an ignorant person. Usually it costs millions if not billions to develop a medicine and that money comes from investors which then need to make their money back. So it's not them ripping us off, it's them taking initiative to make a new medicine and getting their moneys worth.

 

There is a saying that says something along these lines: It costs billions to make the first pill, but only cents to make the second.