Many patients need prescription drugs for their health. But why are drug costs increasing? Here’s why and how you can buy cheaper medications.
Did you know that global health expenditure is expected to reach over $10 trillion by 2022?
Whilst we would all pay a high price to provide a healthy life for ourselves and our loved ones, drug treatment and medical care is a business that is only getting bigger and more expensive.
If you have noticed that drug costs are rising, you are not alone. Why are prices going up? And how can you find cheaper medications?
Lack of Competition
One reason that the price of drugs is soaring is that they are protected against generic competitors due to patent.
We know that patents are in force to protect intellectual property and the inventors of products. However, patents should not be permanent.
The unnecessary extension of patents, for perhaps many years, prevents competitors from creating similar treatments. These extensions allow the first company to control the market and the price the treatment is sold for.
This process is known as “Evergreening”. According to one report, 80% of the best-selling drugs have extended their patent protection at least once, with 50% doing this more than once.
This lack of effective competition allows companies to name their price when marketing drug products.
Lack of Information Regarding Value
It would be naive to think that medicines are sold at a lower price with the common good in mind. However, it is a little shocking to find that the opposite is true.
The cost of drug treatment is often calculated by researching the maximum price that enough people are willing to pay for the drug. This, of course, accepts that a large number of people will not be able to pay for the drug at all.
This top-down calculation method counts on a single fact: that consumers do not know how much their treatment originally costs. Further that they are desperate enough to pay far more than the true cost, partially out of ignorance.
The Business of the Pharmaceutical Industry
Drug companies are businesses that are subject to the same economic influences as every other business.
As economies rise and fall or the market is affected by external influences, this, in turn, affects the price presented to the customer. For instance, it was noted that price hikes of up to 20% are placed on medical care after mergers take place.
Cheaper medicines: How to find Them
If you are a resident of the US and are affected by rising drug prices, you may be wondering what you can do.
Fortunately, there are a small number of pharmacies that are based outside of the US drug market that you may be able to benefit from. These trusted experts provide the same legitimate products as your local pharmacy, but, in many cases, at a fraction of the cost.
Drug Costs and Much More
Drug costs are just one of many things that cause anxiety. Here at Curiousmind.com, we look to get under the surface to find out the real reasons for situations that affect our lives. This covers all topics that affect your mental, emotional or physical health.
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A professional writer with over a decade of incessant writing skills. Her topics of interest and expertise range from health, nutrition and psychology.