Read My Lipstick
3/29/2010
Germany has a new plan in place to save on healthcare costs… they are only going to allow drug companies to charge whatever they need or like for one year. After that, the government will set the prices.
Put yourself in the position of owner of a drug company. You spend billions and years to develop a drug. Your motivation? Probably a combination of wanting to make money, keep your company afloat and maybe somewhere in the mix is a desire to do good and help people, a good feeling about keeping a whole bunch of people working and who knows what else. But no matter what, the bottom line is… the bottom line. You have a responsibility to your employees, your stock holders and those who depend on you. Take away the profits and why do what you’re doing?
So along comes the German government. They tell you to feel free to make a profit the first year, but after that they’ll determine how much you get paid for your investment. Their motivation? Keeping healthcare costs down.
Now, tell me what you are going to do as a drug company? First thing is you’ll probably close up shop in Germany and move to a country that will pay you for your investment, labor, technology and innovation.
Currently the United States is churning out the majority of new stuff, the break-through drugs and cutting edge technology. However, with the advent of Obamacare who knows how much longer we’ll have a free market.
The article continues at ReadMyLipstickNetwork.
