Pharmaceutical Cost Pricing

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Everybody reaches out of pocket to pay for different prescription drugs. Parents for children, elderly for health conditions, and pet owners for pets, but there is one extensive concern; the price and outcomes. Transiently, it may be common for someone to come out of pocket for some prescriptions, but when people draw out of pocket every time just to pick up a prescription drug, it becomes annoying and upsetting. Pharmaceutical companies like CVS and Walgreens collect over $1,000,000 dollars just from gouging people for medications. According to David Belk (M.D.), Pharmacies buy medication in mass from pharmaceutical corporations and suppliers, then sell for a profit. What everyone is trying to ask the companies though is why. Why would a top-producing company like CVS or Walgreens sell expensive medications to a group of people like the elderly for profit?

Martin Shkreli, CEO of Turing Pharmaceuticals, made a decsion in 2015 that many indiviudals would call unethical. In September 2015, Shrkrali received a wave of criticism when Turing Pharmaceuticals obtained a manufacturing license for the Daraprim, which can be used to treat Malaria. The ethical issue arose when Turing Pharmaceuticals rose the pice from $13.50 to a whopiing $750 per pill, which resulted Shkreli being reffered as the "most hated man in America". The raise in the pricing of the drug benefited all stakeholder such as Retrophin, becuase Daraprim has no alternatives so it had an inelastic demand. Shrkali defend is decison to raise the price of Darphrm said that is was a great business decison and that he had every right to do so

The prices of prescription drugs in the United States are by far the highest in the world. [1] On average, Europeans pay 40% less than Americans for the same medications. [2] Consumers have been resorting to several ways, sometimes putting themselves in harm’s way, to alleviate the burden of high prescription drug costs. Some buy their medications online or cross the borders to neighboring countries so they would be able to afford buying their needed medications. Others have resorted to the illegal act of selling their unused medications in online forums just to recover part of their expenses. Many factors contribute to the increased drug prices in the United States including research and

This intervention would require a great deal of coordination between the patient (or caregivers), the primary care physicians, the nurses, and the insurance provider (both private and public). As with any other intervention, there is also the risk involved in the practice of splitting medication. This risk may produce considerable harm or even result in the death of the patient. This unsafe event can happen if the patient consumes double their prescribed dose after forgetting to split their medication in half. Stafford and Radley (2002) points out that primary care physicians and nurses, to ensure safe practice, should discuss the practice of pill splitting with their patients, evaluate their physical and cognitive abilities in performing

The rise in drug prices is causing the public to ask why this is so and why there isn’t anything being done, or what the reason could be for sky high prices. Some of the reasons include pharmaceutical companies setting their drug prices

Turing Pharmaceutical has been sued for 5,000% price increase of Daraprim drug. The company that was headed by Martin Shkreli faces breach of contract charges. Mr. Martin is claimed to have hiked the prices and also faces charges of defrauding. Later on, he had invoked the fifth amendment during the grill by the concerned congress he has been condemning the politicians and the members of the congress. The company, Turing, also facing charges of breaching the contract (Kevin, 2016). The entrepreneur refused to testify the charges of his unethical acts of raising the prices of the drugs in all his associated drug companies last year. The drug, Daraprim, is essential for many people suffering from AIDS. The patients will have to cater for the higher prices hiked by the entrepreneur. He was arrested in December 2015 after his reassignment. Hiking the price have been referred as “blood money” (Joanna. 2016). The hiking of the prices has been unaffordable. The hiking is said to be 5 000% for Daraprim, that is from $13.50 to $750 a pill (Joanna, 2016). Surprisingly, the hiked prices were done after the company acquired the drugs from another company. The company was expected to provide accurate data on prices which they failed to provide. Martin is said to have been purchasing the medicine from other companies and selling them at abnormal prices. He had promised to lower the cost of the drugs but it

Prescription drug prices are on the rise in the United States. Currently, the United States does not implement a price control on prescription drugs. Every day the supply and demand for prescription drugs fluctuates. Pharmaceutical companies produce drugs that are necessary for survival. Therefore, it is necessary for research and development to continue in the United States. Those suffering the effects of exorbitant prices must do so until a generic form of a prescription drug is produced. Once approved by the FDA, new drugs will make their appearance on the market and patients will no longer suffer financially. Until then, it is necessary for pharmaceutical companies to price their drugs based on the idea of supply and demand. This produces the profit used to fund research. Price controls discourage innovation. If a price control were set in place, of course the price of prescription drugs would decrease. However, the development of new drugs decreases with it. Today’s generation would benefit from lower prices, while future generations would suffer from the loss of drug innovation.

Background: Americans pay the highest prices for prescription drugs in the world. Drug costs increased 12.6 percent last year, more than double the rise in overall medical costs. A new Kaiser Health poll shows that most Americans think prescription drug costs in this country are unreasonable, and that drug companies put profits before people.1 Take the example of albendazole which is broad spectrum anti-parasitic drug. In late 2010, the listed average wholesale price for albendazole was $5.92 per typical daily dose in the United States and less than $1 per typical daily dose overseas. By 2013, the listed typical daily dose price for USA market had increased to $119.58. Medicaid data show that spending on albendazole increased from less than $100,000 per year in 2008, when the average cost was $36.10 per prescription, to more than $7.5 million in 2013, when the average cost was $241.30 per prescription2. Albendazole is a very basic medicine but if we take the case of oncology medicines we are going to realize that oncology drugs have become synonymous with extremely high cost. The average cancer drug price for approximately 1 year of therapy was less than 10,000 per year in 2010 and had increased to $30,000 to $50,000 by 2005. In 2012, 12 of the 13 new drugs approved for cancer indications were priced above $100,000 per year of therapy. With typical out-of-pocket expenses of 20% to 30%, the financial burden would be $20,000 to 30,000 a year, nearly half of the average annual

We in America tend to take medications for almost any problem we have, from headaches to gastrointestinal pain, to more serious chronic disorders such as depression and attention deficit disorder. While many of the uses of such medications may be necessary and legitimate, many are not, and due to this fact, many people become dependent on medications, mentally, and or physically. This problem is not simply the fault of the individual; in fact, the blame can also be placed upon the medical community, and the pharmaceutical companies who produce the drugs. How often can one turn on the television to see advertisements for Claritin, Aspirin, Pepto-Bismol, or even Zoloft or Ritalin? The pharmaceutical industry is motivated by monetary

Pharmaceuticals in the United States have been on the rise for years and everyone is trying to find was to get cheaper medication. New generics, 4 dollar lists, and coupons have been a growing force in pharmacies in the past few years. Some might think, “There has to be laws against rising prices, right?” Well, sort of.

One man named Martin Shkreli started this absurd trend. Martin increased the price of Daraprim by approximately 300%. This price increase has raised outrage to those that need Daraprim in order to survive. Alexandra Sifferlin states that “New York–based Turing Pharmaceuticals recently caught flak for buying an old medication (the drug Daraprim, used to treat a dangerous parasite) and dramatically raising its price to make a profit—from $13.50 to $750 per pill. Although Turing reversed course, a health care industry group cites other examples to show such hikes are becoming common”. (pg.12) This price increase is absurd, but what is more absurd is that these companies let people suffer. Daraprim is used to treat HIV, and most patients need

Recently, there has been a debate about the high prescription drug prices in the United States. Accounting for 9.7% of the national health expenditure, $329.2 billion was spent on prescription medications ($931 per person) in 2011 (Linton, 2014). So what exactly is the average American getting with their $931? Well, because there is an extraordinary amount of time, effort, and energy that goes into creating, manufacturing, and distributing a new drug, it’s no wonder the prices are so high. But what other costs are folded into the prices of your prescribed medications? This review looks beyond just the research and development costs needed to take a new drug from idea to shelf by examining several journals and other credible, secondary sources, to shed some light on how much pharmaceutical companies are spending to develop, advertise, and sell their drugs.

There is compelling evidence that individual patients, whole populations and health systems can be harmed by drug shortages, going against the ethical principles of beneficence and nonmaleficence. Individual patients can be harmed if there is no treatment as equally effective as the drug in shortage and their care may be compromised, delayed or prohibited. There is also a possibility of the patient being harmed by taking an alternative drug if the agent has unexpected or unmanageable side effects and risks. Even more, if a physician is forced to use alternative drugs which proper testing and efficacy are not well known, complications to the patient may arise. Institutions and governments may compromise patient safety for access by allowing re-use of single vials, allowing expired drugs to be used, allowing companies to use unapproved manufacturing processes, or expediting regulatory approval of new

The cost of drug testing is often a big worry and the deciding factor of why companies shouldn’t do it. The price of implementing a policy out weights the risks which include, turnover, productivity, absenteeism and high workers compensation claims. According to OHS Health and Safety Services Inc., (2012). The range for drug testing is $28-$42 dollars. Larger companies that roughly administers 5,000-10,000, the cost is lower and companies that administer 50-100 tests, the cost is higher. Drug testing can be costly to employers, but it offers a better caliber of job applicants and reduces the number of employer who use