Understanding the Issues 2008: Health Care

[FRPLG]

Originally Posted by Schneed10

And one of the biggest reasons why healthcare costs have been increasing so rapidly in this counrty is the increase in pharmaceuticals. There are more drugs than ever before, and they all come with patents. McCain is suggesting to make it easier for generics to compete with patented drugs, and increasing price competition through importation. Without these moves, there will be no market factors in place to stop the momentum behind the unstoppable growth in drug prices.

I agree with much of what you say but on drugs we might disagree. The incentive for companies to research and formulate new drugs is all in the profit. I think we can agree that drug companies need to maintain the highest level of motivation and increasing their exposure to generics would seem to drive profits down to me. I am not sure what the answer here is.