Why drug prices in America are so high (2016)
Drug prices in US go up because of collusion between Insurance Companies and Drug manufacturers.<p>Would I buy expensive health insurance if drugs cost me $100 a month? Most probably never.<p>What if the sticker price for my monthly dose of drugs was $10,000 or $50,000? You bet I&#x27;d go get an insurance that&#x27;d cost $500 a month.<p>With such sticker shock, manufacturer reaps in profits. Insurance companies get to charge higher premiums.<p>Solution:
Fix IP laws for drugs in US. If the drug costs beyond the 2x or 5X of what it costs in India, or than the average of drug prices in a few countries, then that drug loses all its IP protections in US. Manufacturer is still free to charge zillions for that product, but there&#x27;ll be no restrictions on copycats or generic versions from outside US taking over the market.<p>It&#x27;ll help in keeping a sensible profit margin for manufacturers without ripping off Americans.<p>Most problems in healthcare costs in US, are due to insurance companies dictating terms.