Quote Originally Posted by MMI View Post
The prices of medicines are maintained at artificially high levels for far too long, supposedly to recoup R&D costs. Frankly, I don't believe it. I think competition under capitalism exists only for as long as it takes for a tacit cartel to come about, where the chemical companies do not sell their drugs below a certain price level to cushion their profits, although they might compete with each other above those prices.
I worked for a pharmaceutical company at one time, a small one, and I can assure you that the R&D costs are astronomical! Even minor medicines went through many months, if not years, of development and testing, and not all of them were successful. So when you are paying those high prices for the drugs that let you lead a comfortable life, you are also having to pay for the research for other drugs which never made it to market.

Add to that the high cost of manufacture for those drugs, too. From the top of my head, every raw material which was purchased for production had to be rigorously tested to meet FDA standards. Every step in the production process had to be tested, repeatedly. Repeated sterilizing of equipment, relatively high cost of training production personel, as compared to average factory workers, added to the cost. Testing continued through the packaging process and even sampling from the warehouse.

That's not to say that the drug companies don't pad their prices, but after seeing the process in action, I can't fault them too much.