Significant lobbying of these groups’ organizations has been performed against the board based on the argument that the patients may have limited accessibility to the drugs and also it may have a deterring impact on the pharmaceutical innovation. The article emphasizes how the interest groups determine the prescription drug pricing landscape, where the industry resistance remains the biggest hurdle before the boards’
In the case of Abbott Laboratories v. Portland Retail Druggists, the respondent brought an antitrust action against Abbott Laboratories claiming that they had violated the Robinson-Patman Act. The pharmaceutical manufacturers had sold drugs to not-for-profit hospitals at lower prices then to the commercial pharmacies (Showalter, pg 452). The Robinson-Patman Act of 1936, which was an amendment to the Clayton Antitrust Act (Elfand, n.d.), had made it unlawful to discriminate by placing a pricing difference between buyers of similar goods, when “the effect of such discrimination may be substantially to lessen competition” (Abbott Laboratories v. Portland Retail Druggists, 1976). As the petitioners, Abbott Laboratories claimed that the price
I will discuss the historical significates of the Davis-Bacon Act as well as the present day implications of the Construction Wage Rate requirements Statue. During the great depression the lack of representation and enormous discrimination of minorities provided an unfair advantage to white unionized workers. The Davis-Bacon Act was a direct reflection of this ideology, according to Institute for Justice, “with the specific intent of preventing non-unionized black and immigrant laborers from competing with unionized white workers for scarce jobs…” (Bullock). The Davis–Bacon Act of 1931 is named after, James J. Davis, a Senator from Pennsylvania and Representative Robert L. Bacon of Long Island, New York and was passed by Congress and signed
These all led to the beginning of the end for the patent medicine
During the post-World War II era, the U.S. was in the midst of the Cold War, a period marked by the intense rivalry between the democratic West and the communist East. As the Soviet Union expanded its influence of communism across Eastern Europe and Asia, the U.S. became increasingly concerned about Soviet aggression. American legislators considered potential legislation in response to the Cold War. Ultimately, American immigration policy between 1945 and 1955 was significantly influenced by the social and political efforts to combat communism in the face of the Cold War. America’s immigration policy directly shifted as a result of its changing views on immigrants from communist nations.
As a result of this ruling, it promotes competition and reduces
Thereby, the world of politics became polluted with mass corruption and senators who cared too little for the interests of their constituents. This prompted many to push for the passing of Sherman’s Antitrust Act to limit the undue influence of big business on politics. The lack of comprehensive legislation to regulate trusts and monopolies, such corporations were
These also help limit the monopoly power from being abuse within the
Competition is good for business because it places emphasis on product or service offerings and keeps it alive. While reviewing all the different videos I have found out that the reason pharmaceutical companies are making the money that they do is because they will do whatever it takes to make that bottom line dollar, even if it means to cause detriment to a patient’s health. This horrifies me, and I am so glad that the federal government is finally stepping in and acknowledging and stopping kickbacks, the over pricing of medication, and place more emphasis on consumer protection. There is still a long way to go but this is a good start. (Fortenberry, J. L.,
Globalization and shifting research with emergence of new super powers like India and China offering preclinical and clinical services at lower costs, industry started exploring new avenues to optimize R and D costs. Socioeconomic factors: As the health care costs are increasing globally, there is increasing challenge with industry to address the issues. Aging population -Baby boomers: This is a new opportunity for the pharmaceutical industry. Baby boomers will need more medical care, including medication. These pharmaceutical industries have a scope to help these baby boomers to continue active lives into old age.
”(A History of U.S. Monopolies. The Sherman Antitrust Act wasn't working very well if Rockefeller was able to create a new Monopoly off his company’s waste. So the Government needs to take stronger actions to prevent and shut down these monopolies. The Government needs more restrictions on Monopolies because they still exist today, one being
In a similar manner, these companies were attempting to monopolize their industries, as others were being excluded from the playing field. This led to the development of trusts leading to the passage of the Sherman Antitrust Act, which the federal government laid claims over via their ability to regulate interstate
Monopolies and major players more likely to counteract for this
Scientists who deal with these issues concluded that the valuation of intellectual property is much more an art than science and a skill. The costs of creating new ideas often depend on the extent to which innovators can take ideas from others, or to what extent they can continue on the basis of previous contributions. Securing exclusive rights to appropriate intellectual creations, consumers are brought into disadvantaged position, compared to the scenario in which when competition is allowed. This is manifested primarily through major monopolistic price-protected products and limited choice.
Hence we assume this to be a situation of duopoly. The 2 companies sell products which are very close substitutes and are constantly fighting for greater market share. A person may buy a Coke product instead of a Pepsi one, and vice versa. The objective of both is to maximize their profit.
