Buy WILLisms

XML Feed

Featured Entries

The Babe Theory Of Political Movements.
Mar. 21, 2005 11:50 AM

Iran's Sham Election In Houston.
June 20, 2005 5:36 AM

Yes, Kanye, Bush Does Care.
Oct. 31, 2005 12:41 AM

Health Care vs. Wealth Care.
Nov. 23, 2005 3:28 PM

Americans Voting With Their Feet.
Nov. 30, 2005 1:33 PM

Idea Majorities Matter.
May 12, 2006 6:15 PM

Twilight Zone Economics.
Oct. 17, 2006 12:30 AM

The "Shrinking" Middle Class.
Dec. 13, 2006 1:01 PM

From Ashes, GOP Opportunities.
Dec. 18, 2006 6:37 PM

Battle Between Entitlements & Pork.
Dec. 21, 2006 12:31 PM

Let Economic Freedom Reign.
Dec. 22, 2006 10:22 PM

Biggest Health Care Moment In Decades.
July 25, 2007 4:32 PM

Unions Antithetical to Liberty.
May 28, 2008 11:12 PM

Right To Work States Rock.
June 9, 2008 12:25 PM



Blogroll Me!



July 2008
June 2008
May 2008
April 2008
March 2008
February 2008
January 2008
December 2007
November 2007
October 2007
September 2007
August 2007
July 2007
June 2007
May 2007
April 2007
March 2007
February 2007
January 2007
December 2006
November 2006
October 2006
September 2006
August 2006
July 2006
June 2006
May 2006
April 2006
March 2006
February 2006
January 2006
December 2005
November 2005
October 2005
September 2005
August 2005
July 2005
June 2005
May 2005
April 2005
March 2005
February 2005
January 2005
December 2004

Social Security Reform Thursday.
March 13, 2008

Caption Contest: Enter Today!
Due: July 29, 2008

The Carnival Of Classiness.
Mar. 14, 2006

Quotational Therapy: Obama.
Apr. 4, 2008

Mainstream Melee: Wolfowitz.
May 19, 2007

Pundit Roundtable: Leaks.
July 9, 2006

A WILLisms.com(ic), by Ken McCracken
July 14, 2006


Powered by Movable Type 3.17
Site Design by Sekimori

WILLisms.com June 2008 Book of the Month (certified classy):

The WILLisms.com Gift Shop: Support This Site


This Week's Carnival of Revolutions: carnivalbutton.gif

Carnival Home Base: homebase.gif


« Trivia Tidbit Of The Day: Part 414 -- Medical Malpractice Costs. | WILLisms.com | Social Security Reform Thursday: Week Seventy-One -- We're Getting Robbed. »

Trivia Tidbit Of The Day: Part 415 -- Socialism Kills Medical Progress.

Policies Have Consequences-

We live in exciting times. Medical breakthroughs are helping people live better and longer lives than ever before in human history. In a generation, at the current exponential pace of technological advancement, life will be even better than we can probably imagine.

Unfortunately, if our new socialist overlords get their way, that progress won't continue exponentially. Sure, we still may see improvements in science and medicine, but not at the rate mankind deserves.

Let's look at some pertinent numbers.

Major brain drain out of Europe:

“in 1990, the . . . pharmaceutical industry still invested 50% more in Europe than in the US . . . today, the same industry is investing 40% more in the US compared to Europe.”

Europe is no longer the place for prescription drug development:

"In 1992, 6 out of the 10 top medicines in worldwide sales were European, while in 2002 this figure had fallen to just 2.”

A visual of that figure:


In the meantime, America has added market share:

While in the late 1980s only 41% of the top 50 innovative drugs were of American origin, in the late 1990s the U.S. percentage climbed to 62%.

What might have been, meanwhile, had OECD countries not implemented price controls and other market distortions?

Well, here's a pretty good answer (.pdf):

"... 10-13 extra drug launches per year-- a 50 percent increase. In addition, there would potentially be 110-140 additional drugs overall in the global pharmacopoeia, of which 35-40 would likely be in new drug classes. In the United States... there would be 20-30 thousand extra R&D jobs (with even greater increases overseas), 15-20 thousand extra pharmaceutical jobs, and a further 55-65 thousand extra jobs elsewhere in the economy."

Meanwhile, because of volume and price controls, people are denied access to innovative drugs for quite a while (.pdf):


And even after medicines do become available in OECD countries, their use remains relatively muted, as the OECD countries continue using older drugs (.pdf):


The costs of subsidizing drugs and/or mandating lower prices are high indeed. Countries around the world can only "afford" (superficially) to manipulate the pharmaceutical market, because the United States government does so relatively little manipulation. If pharma is not profitable-- if pharma has little or no cash flow-- what would happen to these trajectories (.pdf):


And yet, Democrats now want the Federal Government to negotiate drug prices for consumers, which would produce the following results (.pdf):

• ...reduce pharmaceutical research and development investment annually by $5.6–11.6 billion, with the most likely effect at about $10 billion per year.

•This reduction in research and development investment will result in a loss of between 6 and 12 new medicines per year, with the most likely reduction at about 10.

•This reduced flow of new and improved medicines will cost Americans about 5 million life-years annually, which can be conservatively valued at about $500 billion annually, a figure far in excess of total
annual U.S. spending on pharmaceuticals.

This is the same philosophy that is driving our domestic auto industry in Michigan out of business. This is the vision Democrats have for America. We cannot let them succeed.


Previous Trivia Tidbit: Medical Malpractice Costs.

Posted by Will Franklin · 8 February 2007 06:33 PM