Drug Prices
Hillary is making the drug business a campaign issue. A recent NYT story detailed how Turing Pharmaceuticals bought the rights to a 62 year old drug called Daraprim. Turing jacked up the price from $13.50 a pill to $700 a pill.
My question was how can that happen? Why wouldn’t another company sell a generic version at a lower price? According to the WSJ the FDA sets high barriers to entry to the market. Turing already owns rights to market the drug but another firm would have to pay up to $20 million just to get approval to make a generic version.
Another case of unintended consequences caused by misguided public policy.