countryvoice3 suggests it is a monopoly, not socialism. I would agree you want
to avoid a monopoly. Whether this is one depends on whether drugs from other
manufacturers will remain on the market at IHC and the hospitals IHC partners
with. countryvoice3 also says it is beyond nieve for the DesNews to call this
competition. My thought is, If you are adding products to the market, to compete
against the other products, how is that not competition? The question would be
whether IHC and its partnering hospitals were buying Civica Rx drugs because
they were the least expensive products, or whether they were buying them even
though the competing brands were less expensive. Since Civica Rx is targeting
drugs that are way expensive, the second scenario doesn't seem likely.
Civica Rx should easily be able to undercut them and IHC will then be justified
in buying from its own subsidiary.nyphil suggests IHC and its
partners are the cause of the shortages. I'm not sure how that would come
about. Are they buying them and hoarding them and not allowing them to reach the
market, thus creating a shortage and driving the price up? I guess I doubt
Genuine good news.And note that it is brought to us by free-market,
capitalistic companies, providing things that we value at a price we are willing
to pay....not by a nanny-state mandated program.
Where is IHC getting the money to invest in this new drug company? I presume
from us, their patients. Would another great use for the money be to lower our
health care costs and health insurance premiums?
About halfway in the author writes - “The causes for ballooning costs are
varied.”What follows this sentence is a list of reasons that,
at best, make up maybe 30% of the reason healthcare costs increase at an
historically average rate of three times inflation.The two primary
reasons healthcare costs are soaring (and have been for many decades) is
monopolies on the supply side, and inelastic demand on the demand side.[Inelastic demand simply means that when you or a love one is sick, you will
pay anything to get better. And your opportunities to “shop for the best
deal” are extremely limited.]There is no other industry that
operates under these economic realities.
Spangs.."when the biggest hospital corporations take over the means of drug
production, then 'market competition' is not really accurate. In fact,
there will be no competition. To me, this would be better described as corporate
socialism. "I'm going to agree pretty much with your
analysis but not your labeling. When companies merge like this
it's not socialism it's monopolies. This is just the final step in
what has been a decades long move to consolidation in the health care industry.
It's beyond naÏve for the DN to call this competition,
it's consolidation. It's also a further example of the wrong
headedness of the GOP to keep claiming they are going to kill Obamacare and
bring market competition...no they aren't, the industry is way beyond that.
Only sociallsm can solve the costly health care mess.
Washington Times of 9/6 quoted me on the real story behind Civica Rx. Many of
the same organizations that caused the drug shortages in the first place are
behind this self-serving shell game: https://www.washingtontimes.com.
Intermountain Healthcare is the 100% owner of Intalere (formerly Amerinet), one
of the Big Four hospital group purchasing cartels (GPOs). A Feb. 10, 2104 GAO
report, which was mandated by Congress, identified GPOs as an "underlying
cause" of the shortages. This has been corroborated by other gov't and
independent studies. For a synopsis, read our Wall Street Journal oped of May
8, "Where Does the Law Against Kickbacks Not Apply? Your Hospital." For
more documentation, visit our website, www.physiciansagainstdrugshortages.com.
Civica Rx is like the rogue fireman who sets a house fire, leaves the scene,
then returns to rescue the occupants and is declared a hero!
This sounds wonderful, and it is noble of IHC to be doing such a good thing.
Spangs suggests it is socialism. My thought is that it is not. If GM or Ford
were to decide car parts were too expensive, so they were going to make their
own, would that be socialism? A free market does not dictate that you have to
buy components and services, but leaves you free to make and provide your own.
I cannot wait for Civica RX to get off the ground, so we can see how much
it will affect prices. All America should be excited.
In Germany the government doesn't allow price increases on established
drugs unless significant improvements or changes in manufacturing have been
made.Arbitrary price increases simply aren't allowed. The
government needs to behave as a counterbalance to corporate greed.
I like the spin that this drug company will bring 'competition' to the
market. I guess in a sense it does, but when the biggest hospital corporations
take over the means of drug production, then 'market competition' is
not really accurate. In fact, there will be no competition. To me, this would
be better described as corporate socialism. Indeed, the definition
of socialism is that the means of production, distribution, and exchange are
owned or regulated by the community as a whole. Doesn't this sound like
what's happening? I am not trying knock the formation of this
drug company. I think it is absolutely necessary and a positive step in the
right direction. But instead of mislabeling this as 'competition,'
how about we instead say this a 'good healthy shot of socialism' and
acknowledge the benefits of this approach?
The de facto monopoly that has been granted to pharmaceutical companies through
the FDA and Congress is responsible in great part for the current problem of
unaffordable drugs. Regulation is necessary, but it must not suppress
competition. Intermountain Health Care is forward thinking in their initiative.
As long as people are misinformed that drugs are the answer to our health care
problems, costs will continue to rise. Americans are suffering and dying from
diseases of diet, something that medicine is slow to acknowledge and accept,
because it destroys their practice of prescribing pills and doing procedures
that merely treat symptoms, and don't cure any of the chronic diseases
crippling the western world. But, medicine and Big Pharma remain very
If out bloated bureaucracy will only allow this to happen. A more open health
insurance situation seems to be bringing lower cost insurance options.