However I think their profit margins in 2017 were almost 40%. I’m seeing gross revenues of 52 billion, and net profits of 21 billion. I guess 40% profit margins aren’t enough. Their R&D spending by contrast were about $7 billion in 2017.
There are easy solutions to high drug prices. Stronger negotiations among public and private providers with medical suppliers. Making it easier to import drugs from overseas and promoting international competition. Making it easier for generic manufacturers to enter the marketplace. patent law reforms. Not only does every other wealthy nation on earth use these tactics, but lots of middle income nations use them too. India and Brazil have much lower drug prices than America.
But none of it will be done in America. Neither political party has any interest in taking on the rich and powerful. So I guess private companies posting 40% profit margins, where a lot of their drugs are invented by the public sector will continue to act like this.
Being an American is so demoralizing.