As the data reported, the mean cost of production of a cancer medicine is around $720 million. The mean money generated from sales is around $2.7 billion. In a year the sum of generated money on the first five medications present on the list such as prostate, leukemia, lymphoma and colorectal cancers is enough to cater for the sum of money used on research and development.
The well-known fact that was believed beforehand was that $2.6 billion and another ten years added is what it takes to create and land a new product into the market. The above estimate was a released study from 2017 from Tufts center for study of drug and development with a great record of testing above 100 drugs that includes some cancer medicines. This report was able to aggregate time and money spent on animal trials and clinical trials. Although, the study was lacking in specifics of the drugs that was used to get their data and the distribution rate on all types of drugs used. A newly released research work was more concise and precise in that details of the ten drugs used was clearly emphasized.
https://www.bloglovin.com/@teddyredwings/new-data-show-that-cancer-drugs-cost-less
Fee-for-value in the pharmaceutical industry: a policy framework applying data science to negotiate drug prices
In 2013, Valeant Pharmaceuticals, a
specialty pharmaceutical company, received the intellectual property
rights to a lead poisoning treatment
known as Calcium EDTA as part of a $2.6 billion deal to acquire Medicis
Pharmaceuticals. Prior to the acquisition, the price for Calcium EDTA
was stable at $950. However, by the end of 2014, Valeant had increased
the price of the drug in the USA to $26,927, a 2700 per cent increase in
1 year.1
Meanwhile, 500 miles away, over 8000 children in Flint, Michigan, were
suffering from one of the worst lead poisoning crises in history, caused
by the city's decision to opt out of receiving water from Detroit and
instead draw it directly from the Flint River in April 2014 in an effort
to save money.2
At the same time, Mylan, a global pharmaceutical company, increased the
price of the EpiPen, an emergency epinephrine autoinjector to treat
anaphylaxis, from $100 for a two-pack in 2007 to over $600, or six times
the original price, by 2016.3
The EpiPen isn’t subject to price sensitivity; like insulin for
patients with diabetes, it's a life or death drug. Patients simply don’t
have the choice to go without it.
Pharmaceutical price
gouging isn’t limited to a few drugs or corporations. From 2009 to 2015,
30 medicines with sales of $1 billion or more per year underwent price
increases of over double the rate of inflation as measured by the
consumer price index, even when estimated discounts negotiated by health
insurers and pharmacy benefit managers were taken into account.4
The average annual increase in retail prices for prescription drugs was
9.4 per cent, six times the general inflation rate of 1.5 per cent. For
brand name drugs, it was 12.9 per cent, over eight times the rate of
inflation.5
The United States pays more for drugs than any other country, leaving
economists and ethicists worried that 300 million Americans are
subsidizing drugs for the rest of the world.6
No comments:
Post a Comment