If there were a true free market in pharmaceuticals, there would be no shortages. Government interference through regulations and other means is at the root of the problem. No business can create shortages or monopolies without government collaboration. This is why big business and big government are such great buddies, contrary to what libs say. They feed off each other and we are the ones who suffer for it.
“If there were a true free market in pharmaceuticals, there would be no shortages”
Yes, hospitals with foresight to ensure their supplies could use this as a competitive advantage.
What is not stated is the effect of consolidations due to low medicare/medicaid reimbursement rates that do not allow for two manufacturers - or even one domestic manufacturer to exist for certain drugs.
the “everyone gets everything and someone else pays” model breaks down when the “someone else” is not willing to pay the cost and there is nobody to shift the costs to.
Thats what causes this.
I think you hit it on the head. There may be no “official” regulation of prices in this industry, but there is defacto regulation via medicare, etc.