In our opinion: This Utah drug company brings a much needed shot of competition to health care

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  • John Jackson Sandy, UT
    Sept. 13, 2018 3:18 p.m.

    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 nyphil.

  • RiDal Sandy, UT
    Sept. 13, 2018 11:17 a.m.

    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.

  • JMerrill Provo, UT
    Sept. 13, 2018 8:45 a.m.

    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?

  • Tyler D Prescott, AZ
    Sept. 13, 2018 8:39 a.m.

    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.

  • countryvoice3 Salt Lake City, UT
    Sept. 13, 2018 7:48 a.m.

    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.

  • marxist Salt Lake City, UT
    Sept. 12, 2018 11:15 p.m.

    Only sociallsm can solve the costly health care mess.

  • nyphil New York, NY
    Sept. 12, 2018 2:50 p.m.

    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!

  • John Jackson Sandy, UT
    Sept. 12, 2018 1:05 p.m.

    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.

  • UtahnAbroad Sandy, UT
    Sept. 12, 2018 11:54 a.m.

    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.

  • Spangs Salt Lake City, UT
    Sept. 12, 2018 10:53 a.m.

    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?

  • Owl Salt Lake City, UT
    Sept. 12, 2018 9:21 a.m.

    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.

  • kranny utah, UT
    Sept. 12, 2018 6:50 a.m.

    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 profitable industries.

  • What in Tucket Provo, UT
    Sept. 12, 2018 6:28 a.m.

    If out bloated bureaucracy will only allow this to happen. A more open health insurance situation seems to be bringing lower cost insurance options.