Trump to sign executive order he says will slash drug prices by up to 80% (1 Viewer)

[Visbek]

If, for some reason, Trump actually got some mechanism to force the US to have the lowest prices, I can guarantee you the industry response would be to raise prices in the rest of the world.

It might. But that can't happen overnight, as all of those prices are negotiated and set by contracts.

In addition, those nations might tell the pharmaceutical companies to f*** off. Nations may choose instead to go with generics, or alternate medications, or may just say "it's not our job to subsidize American patients."

 

[Visbek]

I can't take anyone who uses the term "Dear Leader" seriously.

Yes, because Donny Boy never uses insulting nicknames. Yes, MAGA is nothing if not respectful of those with whom they disagree.

Anyway.... Your inability to answer the question is noted.

 

[Threegoofs]

It might. But that can't happen overnight, as all of those prices are negotiated and set by contracts.

True. But it will happen, because profits are generated in the US, and the rest of the world is just gravy.

In addition, those nations might tell the pharmaceutical companies to f*** off. Nations may choose instead to go with generics, or alternate medications, or may just say "it's not our job to subsidize American patients."

Oh, definitely. Pharma will be hurt by this. But the hurt would be worse if pharma had to lower US prices.

 

[Slavister]

FYI: Biden already signed a law to allow Medicare to negotiate drug prices; that's how he was able to cap insulin prices.

However, that only covers around 20% of Americans, and has no impact on non-Medicare patients.

The only possible ways to do this legally involve legislation, not EOs. And unless that legislation basically sets up a single payer system, it's almost certainly going to backfire.

I believe most insurance prices are based off of Medicare. In other words, Medicare pricing, in practice, affects drug pricing for most consumers. Disclaimer: I am not expert and could be wrong.

For example, Ozempic costs around $110/month in most single-payer nations, and it's $940/mo in the US. If Congress forces Novo Nordisk to slash its prices by 80%, what happens if they simply refuse to sell Ozempic in the US? That's far more likely to happen if Congress dictates a price, rather than sets up a single payer system to negotiate a price.

By same logic, they could refuse to sell their drug to any country until they pay $940/mo. Clearly, they are satisfied with $110/m for the rest of the world and US is a large enough market to just ignore.

Yes, because the US doesn't have the same negotiating position as those other nations.

Let's say I run a small grocery, and Walmart moves in next door. Walmart is an enormous national chain, thus it has enormous leverage on vendors to cut prices to the bone. But I can't go to my distributor and say "Walmart pays a wholesale price of $1.25 for a jar of pickles, therefore I should also only pay a wholesale price of $1.25 per jar." They're going to tell me to pound sand.

US as a whole would have the power. If done via illegal EO, they could sue. But if Medicare negotiates / sets the price to $110/m vs $940/m, it'll be a big change.

I read it. I see little indication, until this post, that you care about the legality of the EO.

I think you saw some indication in prior posts that I did not care about the legality. But that was not true.

No, it's pretty damned clear. Again, I reject the idea that we have no choice but to bend over because a candidate won a low-turnout election by a whopping 1.5%.

I don't see what choice you have. Trump is taking command of all branches. See my sig.

 

[rhinefire]

30-80%? Chicken feed compared to his latest ranting saying he will find the lowest drug prices in the WORLD and match of beat their prices.

 

[forn]

30-80%? Chicken feed compared to his latest ranting saying he will find the lowest drug prices in the WORLD and match of beat their prices.

I think that is the typical Trump tactic of starting with the most extreme idea as a bargaining point, and then reaching a compromise.

 

[Threegoofs]

I think that is the typical Trump tactic of starting with the most extreme idea as a bargaining point, and then reaching a compromise.

The compromise will be no reduction in price, but lots of his idiot followers will think he did it.

 

[forn]

The compromise will be no reduction in price, but lots of his idiot followers will think he did it.

You don't think the president can make things difficult for the pharmacy companies?

 

[Threegoofs]

You don't think the president can make things difficult for the pharmacy companies?

He can. But he won’t.

Just like last time.

 

[ncguy]

I think that is the typical Trump tactic of starting with the most extreme idea as a bargaining point, and then reaching a compromise.

trump doesn't seem to have much ability to achieve anything requiring work and thinking.
he was going to "fix" our health care system with a new one in..2016. still waiting.

 

[forn]

he was going to "fix" our health care system with a new one in..2016. still waiting.

A weak moment for him, agreed. He wanted Congress to pass something, but they wouldn't, so he basically said okay screw it, let's move on.

 

[Threegoofs]

A weak moment for him, agreed. He wanted Congress to pass something, but they wouldn't, so he basically said okay screw it, let's move on.

He should have just rewritten the ACA, called it Trumpcare, and you would have promoted it as the best healthcare system evah.

 

[Lursa]

A weak moment for him, agreed. He wanted Congress to pass something, but they wouldn't, so he basically said okay screw it, let's move on.

Well he's ignoring Congress now and doing whatever he wants. Where is our "big beautiful healthcare plan?" He can make it happen by delivering that "big beautiful plan" and implementing it the same way he's doing everything else. Where is it?

 

[ncguy]

A weak moment for him, agreed. He wanted Congress to pass something, but they wouldn't, so he basically said okay screw it, let's move on.

very weak. he didn't come up with anything, it wasn't congress's fault, it was his.
he basically said he was too lazy and too stupid to do anything on his own.

not to mention infrastructure week which he failed totally on.

 

[Visbek]

I believe most insurance prices are based off of Medicare.

Sorry, that is not correct.

Insurance companies individually negotiate prices with pharmaceuticals. Medicare is a government entity, and it negotiates prices separately.

Even Medicaid isn't based off of Medicare's prices. Medicaid's prices involve both federal and state governments.

When Biden capped the price of insulin for Medicare patients at $35/month, that had no effect whatsoever on private insurance or Medicaid. Here are some of the caps on state copays for insulin for Medicaid recipients.

Alabama $100/mo
Kentucky $30/mo
New York $0

State Insulin Copay Caps | ADA

Twenty-five states and the District of Columbia have capped insulin copayments for state-regulated commercial health insurance plans. Some states have also included this provision for state employee health plans or also capped copays for other diabetes medications or supplies.

diabetes.org

By same logic, they could refuse to sell their drug to any country until they pay $940/mo.

They could -- but they don't. And that's with markets significantly smaller than the US.

I'm pretty sure key here is that when you're actually negotiating a price, rather than forcibly imposing one, companies are unlikely to walk away as a pressure tactic.

US as a whole would have the power.

There is no "US as a whole."

There are hundreds of private insurance companies in the US. Even the largest one, United Health Group, only has 15% of the market.

By law, they can't unite and negotiate with the pharmaceutical companies. That would violate anti-trust laws.

To put it more simply: The US has completely ****ed over its citizens by insisting on a largely private and for-profit health care system. It results in higher costs, more middle-men, worse care, shorter life spans, higher infant mortality rates, you name it.

I think you saw some indication in prior posts that I did not care about the legality. But that was not true.

Okay then

I don't see what choice you have.

Protest. Donating to entities suing the administration. Communicating with elected representatives. Voting for anti-authoritarian candidates during the midterms. Voting for an anti-authoritarian in 2028.

No one, absolutely no one, is obligated to just go along with the Orange Authoritarian Goon just because he won a national election by a thin margin.