I loophole created by the government from the regulatory environment the government setup which now needs to be fixed by Whom? The government. Not saying there should be no regulation of drugs. I don't want to go back to the tapeworm diet pill. But the pharma industry is an excellent example of why everything the government gets involved in will eventually be so broken it needs to be trashed and restarted from scratch.
On Fri, Dec 18, 2015 at 9:06 AM Ken Hohhof <[email protected]> wrote: > The guy isn’t “brash”, any of the adjectives I think of are inappropriate > for a public forum. > > Read this interview, or just skip to the end: > > http://hiphopdx.com/interviews/id.2825/title.martin-shkreli-plans-to-bail-out-bobby-shmurda > > Or watch his live stream. > > As far as capitalism, the approach is to find something that is > inexpensive to make and has been around forever and there is only one > supplier because there isn’t enough demand for multiple suppliers. So you > buy that supplier and jack the price up to ridiculous levels until a > competitor can go through getting government approval to compete, which can > take a year or more. Meanwhile, you make a bazillion percent profit, > because of a temporary market failure. > > That isn’t really capitalism. It’s exploiting a loophole. Capitalism > assumes an efficient market, where competition drives prices down to cost > plus a reasonable profit. The pharma market is different for two reasons. > First, there is a lengthy government approval process. Second, the payer > is usually an insurance company, pharmacy benefit manager, or Medicare. > > > *From:* Lewis Bergman <[email protected]> > *Sent:* Friday, December 18, 2015 8:47 AM > *To:* [email protected] > *Subject:* Re: [AFMUG] OT - Captilism (was Martin Shkreli) > > I can't defend his brashness, but the fact remains that pure capitalism is > the best way demonstrated to date to innovate and health care or pharma is > not exempt. Big rewards encourage big effort yielding big results. These > pharma companies have something like 7 years until the exclusivity period > expires. That can be a pretty short time to recover investments. This > particular case may be a bit extreme but to say that capitalism is broken > in America is simply ludicrous. > > I recently attended my sons graduation from Texas Tech on a Friday. > Thursday night at the hotel was $159 and Friday was $269. I don't think > that is price gouging. I think it is a reflection of the simple fact that > there are fewer rooms available on that particular night than are demanded > at $159. The equilibrium was found at $259 where supply and demand come > closer to being equal. At that price I still witnessed people turned away > wanting a room due to their poor planning. I don't think that is price > gouging. Their hotel was full at $269 a night. The next day was $159 again. > Since the hotel was full they probably could have been even higher. > > I really don't understand what people have such a huge issue with the > fundamental theory of supply and demand. Yes I understand that it is a > potentially life saving drug. There are other cheaper treatments. Maybe > they aren't as good, which is why they are cheaper. When did we stop > rewarding people for the value they provide? I know this jerk didn't invent > it but he obviously was willing to reward those who did with a price they > thought fair. Sales over the next few years will prove if he made a mistake. > > Why not force Chuck to sell a unique mount he made for 5% over cost? Heck, > why not only cover his cost? Why not less than cost and force him to > provide his great product for the good of the people? There is a reason it > is named Animal Farm. How many have read this book? While not about > capitalism it does speak to the kind of central control that skulks below > the overt argument for "controlling" this type of behavior. > > I know people might die. I'll put on my really jerky hat and say "so > what?". People die every day for less meaning and in greater numbers. There > is practically a mass suicide movement going on now with texting and > driving. I don't see where people value there lives or others that much > anyway when reading a text or email is more important than life itself. > I guess I am just a big libertarian at heart. Give me the loose framework > of a "fair market", whatever that is, and let the system fight it out. The > word isn't fair, not ever going to be fair, stop trying to warp it to be > that way. > > Have fun with that on a Friday and have a Merry Christmas, Happy Hanuka, > or whatever else gets your boat floating. > > On Fri, Dec 18, 2015 at 8:02 AM Patrick Leary <[email protected]> > wrote: > >> The irony? Your local poor schlub a-hole can be arrested and charged if >> he doubles the price of gas, water, or other life-critical goods after a >> natural disaster – that’s a crime in America. Meanwhile, it’s completely >> legal for a company to raise a life-critical drug by over 5000% -- that’s >> capitalism in America. >> >> >> >> Shkreli is only the most written about example. This “business trend’ is >> all the rage and has been widely employed in the U.S. for a number of years >> now. >> http://news.health.com/2015/09/25/6-insane-examples-of-prescription-drug-price-increases/ >> >> >> >> Patrick >> >> >> >> *From:* Af [mailto:[email protected]] *On Behalf Of *Ken Hohhof >> *Sent:* Thursday, December 17, 2015 8:28 PM >> *To:* [email protected] >> *Subject:* [AFMUG] OT - Martin Shkreli >> >> >> >> Apparently this guy AND HIS LAWYER were arrested today. Everybody knows >> him as the guy who raises drug prices 5000%, but I did not know he live >> streams almost daily to his fans. >> >> >> >> Watch the first video, isn't he just like every annoying, entitled, >> slacker kid living in his parents basement that we have to deal with >> bitching about his Internet? Except he is CEO of a drug company. >> >> >> >> I didn't think it was possible to hate him more, but watch the video. >> >> >> >> https://www.youtube.com/channel/UC8gjB1PSXv_oAUSAQ16S0fA >> >> >> >> >> >> >> ************************************************************************************ >> This footnote confirms that this email message has been scanned by >> PineApp Mail-SeCure for the presence of malicious code, vandals & >> computer viruses. >> >> ************************************************************************************ >> >> >> >> >> >> ************************************************************************************ >> This footnote confirms that this email message has been scanned by >> PineApp Mail-SeCure for the presence of malicious code, vandals & >> computer viruses. >> >> ************************************************************************************ >> >>
