Corporate Welfare for Drug Companies

[unlawflcombatnt]

California Attorney General Bill Lockyer has filed a suit against 39 drug companies for overcharging Medi-Cal (Medicaid) for drugs. I certainly commend Lockyear's action. As expected, the Corporate fascists have come rushing to defend this taxpayer exploitation by pharmaceutical companies. And the arguments always come from the same old broken record -- reducing Big Pharm's taxpayer exploitation will stifle "innovation" and "research."

Here's the link to the story:
http://news.yahoo.com/news?tmpl=story&u=/nm/20050825/ts_nm/california_lawsuit_dc_2

Drug company payment from taxpayer-funded programs is nothing but Corporate Welfare. Drug companies shouldn't be profiteering off of taxpayer's dollars. It's not "free enterprise" when payment for an item comes from a 3rd party payer. There's no supply-and-demand effect whatsoever. The patient receiving the drug doesn't reduce his demand for the drug when the price the State of California pays for the medication increases. So sales of drug do NOT decline from price increases, like they would in a truly "free" market. Drug companies exploit this situation as much as possible.

Prices paid for drugs by government agencies should be tightly regulated, the way doctor's fees are regulated.

The only "innovations" we currently see from pharmaceutical companies are new ways to market old drugs, and "innovative" ways to bend the law and extend patent protection.

Drug companies are making exorbitant profits off the backs of California and U.S. taxpayers. They whine about "onerous" regulations, except regulations that protect their profits.

The truth is that most government regulations are designed to protect corporate profits, not to protect the people. Pharmaceutical company protections are the most egregious example of these Corporatocratic policies.

Pharmaceutical companies spend huge amounts of their "innovation" money on unfairly extending patents, as well as the unethical direct advertising to the public. They have EXCESSIVE money in their coffers. They have more than enough money to finance research. Unfortunately, they squander that money on advertising, lobbying, and attempting to circumvent patent laws.

unlawflcombatnt

[newswolf56]

1. And the pharmaceutical companies will have EVEN MORE MONEY...

once the Bush Administration's Medicare Prescription Drug Lord Benefit goes into effect in 2006. (Its enactment is but another example of how too many Democrats have joined with the Republicans in the war on working families and the poor -- in this instance, war against fixed-income elderly and disabled people.)

[unlawflcombatnt]

2. Medicare Prescription Drug Benefit

I guess the pharmaceutical corporatocrats will receive more money for "necessary research and development." The only extra "research" they'll do is how to outsource more of their production to lower-wage countries and how to bypass M.D.'s and market directly to the public. They'll also have more money to "research" how to extend patents on more of their drugs, and further reduce the entry of generics into the market. Their "research" money will be spent on how to make more profits, not in finding new drugs to treat disease. They'll be able to finance more dishonest studies, in order to further obscure the dangers of new drugs. They'll "research" how to further eliminate competition. They'll have more money to buy out their generic competitors, reducing competition and further enhancing profits. They'll have more money to bribe government officials, and more money to contribute to favorable political candidates.

Oh, and they'll have more money to create new jobs, like they did with the drug "Lipitor," which has all of its production facilities in Ireland. (That really helps American workers, doesn't it.)

In my opinion, the pharmaceutical companies make oil companies look like angels. They are the biggest benefactors of taxpayer-funded corporate welfare. The malfeasance of Big Pharm is second to none.

Pharmaceutical companies are supposed to be part of a "helping" profession. However, this "helping" is confined to "helping" their profits, and "helping themselves" to more taxpayer-funded giveaways.

unlawflcombatnt