The Financial Times writes, â€œThe answer may be that collusion between companies keeps prices high. But the pricing of medicines in much of Europe is more government-controlled than in the US. Companies may profit from national pricing. In the UK, where there is a freer approach, competition is more intense and discounting heavy. Not enough deregulation may be the bigger problem.â€
Here is the complete Financial Times editorial:
For more discussion of the authorized generics issue, along with an economic analysis of the same, please see:
The conclusion of the Financial Times editorial is spot on â€“ and something we should take to heart on our side of the Atlantic as well â€“ that we must be careful that â€œa consumer-first approach does not become a populist one.â€
And -- when you consider some of the health care rhetoric being bandied about by the Presidential candidates -- thatâ€™s a notion worthy of serious consideration.