Will Obama's universal health care plan negatively affect the pharmaceutical industry?
Will Obama's universal health care plan negatively affect the pharmaceutical industry? It looks like Obama's health care plan will allow consumers to buy comparable drugs from other developed nations if the prices are lower there. I feel like that could negatively impact the pharmaceutical industry over here. Also, I read that universal health care could deter competition between pharmaceutical companies and, thus, cause them to not develop as many drugs, but I don't know if there is any truth to that. What do you think?
- FlowerLv 79 years agoFavorite Answer
Many seniors were going to Canada and Mexico to fill prescriptions before Part D but only these two countries. That was prior to the Health Care Act anyway. The Medicare Part D does not allow for bargaining down drug prices between Medicaid and pharmaceutical industry. I dont see how everyone being insured and buying more medications could hurt the pharmaceutical industry. How would the Health Care Act do that?
As others have said, the Health Care Act is not what is considered universal care. It is totally based on private insurers as it is now. Universal care would be more like Medicare or the VA care.
- tonalc2Lv 79 years ago
No, since the new health care law is not universal health care. It would be really, really nice if it were, but nope.
Pharmaceutical companies are not the only entities that create new drugs. They're the ones who have the purchasing power to buy the patents on them. They also are developed by universities and biotech companies.
Consumers can already buy drugs from other countries. Ordering drugs from other countries is now effectively allowed under the law if the drugs are clearly for personal use and do not present an unreasonable risk to the individual. With some restrictions, the law also specifically provides an exception for purchasing drugs from Canada. As of October 2006, U.S. Customs officers also suspended their policy of seizing packages of prescription drugs from Canada in the mail and at border crossings. And at least half a dozen state governments, including those in Wisconsin and Illinois, have set up programs to help residents order drugs from abroad.
- 9 years ago
Here's the problem. The US Pharmaceutical develops a new drug for a billion dollars. They need volume to get their investment back. They sell the drug in the US for $100 per dose but that doesn't cover the cost so they sell more of it to the national health system in Canada for $50. (It only costs $3 to make but it cost a billion to develop.) If all Americans buy the drug from Canada, the pharmaceutical simply will not sell to Canada and it also simply will not develop any new drugs.
- MLv 79 years ago
The biggest problem is socialism. With socialism you lose the incentive to create. If you remove the money from the pharmaceutical developers, and make it impossible to develop new drugs, there won't be any. When there is no incentive to succeed, and everyone is treated the same, or you spread the wealth to those who do not produce, people stop producing...period.
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- AMERICA IS DEADLv 79 years ago
We never had a universal health care plan, the closest we have come is Medicaid and Medicare.
- Anonymous9 years ago
He never passed universal health care. He passed a watered down bill that fails on so many levels.
- Anonymous9 years ago
There is no universal health care plan. Do some actual research before demonstrating your profound ignorance.
- 9 years ago
The WRITERS of the law say it was DESIGNED to do those things.
- BrainLv 69 years ago
That failed like a year ago..