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What's behind the huge price jump for some generic drugs? [from $20 to $1,849]
Los Angeles Times ^ | October 20, 2014 | David Lazarus

Posted on 12/17/2014 7:48:23 PM PST by grundle

They cited the example of the asthma drug albuterol sulfate. The average cost for a bottle of 100 pills was $11 last October, the pair said. The average charge by this April was up to $434.

The antibiotic doxycycline hyclate cost $20 last October for a bottle of 500 tablets, the congressmen observed. By April, the price was $1,849.

Experts say generics are growing more expensive because of reduced competition among manufacturers and shortages of raw materials. However, that might not explain triple-digit price hikes for some drugs.

"Most generics are increasing in price by an average 10% a year," said Bryan Birch, chief executive of Truveris, a New York company that monitors prescription drug costs. "But we've seen some popular drugs increase by more than 650% in the last year."

He cited simvastatin, the generic equivalent of cholesterol drug Zocor, and clomipramine hydrochloride, the generic version of antidepressant Anafranil. Prices for each rose more than 650% from June 2013 to this June, Birch said.

Geoffrey Joyce, a professor of pharmaceutical economics at USC, said he's seen the cost of some generic meds rise as much as 1,000% in recent months. He called these increases "obscene."

"The question is why," Joyce said.

Each of the experts I spoke with cited industry consolidation as a key reason for rising prices. Rather than the half-dozen or so competitors that many economists believe are necessary to lead to lower prices, only two or three manufacturers now make some generic meds.

(Excerpt) Read more at latimes.com ...


TOPICS: Culture/Society; News/Current Events
KEYWORDS: genericdrugs; huac; husseins; medical; medicine; obamacare; obamalegacy; profiteering; unaffordablecareact
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Generic drug makers don't spend money on research and development. These recent huge increases in price seem odd. I don't think these kinds of price increases have ever happened with generic drugs before. Hopefully these high prices will encourage new competition to enter the market and bring the prices back down.

Funny how this happened right after Obamacare took effect.

1 posted on 12/17/2014 7:48:23 PM PST by grundle
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To: grundle

One word: the feckless fool on the hill. Sorry, that was more than one word.


2 posted on 12/17/2014 7:52:19 PM PST by Fungi (There is more to Fungi than the eye can see.)
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To: grundle

But I thought Obamacare was going to solve all problems. /s


3 posted on 12/17/2014 7:52:40 PM PST by The Ghost of FReepers Past (Woe unto them that call evil good, and good evil; that put darkness for light..... Isaiah 5:20)
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To: grundle

obie and ObieCare>

the poor jerk OBIE....is already the least loved President in History ..but by the time we FINALLY learn of the utterly insane evil mess stuck in that ONE BILL....he will be forced to walk the streets yelling out UNCLEAN..UNCLEAN!!


4 posted on 12/17/2014 7:53:15 PM PST by MeshugeMikey ("Never, Never, Never, Give Up," Winston Churchill ><>)
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To: grundle

Obamacare’s fault.


5 posted on 12/17/2014 7:55:02 PM PST by Salvation ("With God all things are possible." Matthew 19:26)
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To: grundle
My pharmacist increased his credit lines to buy as much as he could before cost shifting took place.

He blames it 100% on Obamacare, which allowed big pharma to increase prices to consumers in order to lower costs to Medicare and some insurance plans.

Add in increases in copay and deductibles, and consumers that play by the rules get whacked again by the Obama team.

6 posted on 12/17/2014 7:55:13 PM PST by texas booster (Join FreeRepublic's Folding@Home team (Team # 36120) Cure Alzheimer's!)
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To: grundle

The easiest way to make anything ridiculously expensive is to tell Congress to make it free.


7 posted on 12/17/2014 7:55:45 PM PST by Sooth2222 ("Suppose you were an idiot. And suppose you were a member of congress. But I repeat myself." M.Twain)
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To: grundle

Get millions of people whose drug costs are being subsidized by the government ... You’re going to get some VERY expensive drugs!


8 posted on 12/17/2014 7:57:20 PM PST by JennysCool (My hypocrisy goes only so far)
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To: grundle

Probably some clause in the massive Obamacare bill that was read and understood only by the generic drug industry and the congresscritters they paid to put it there.


9 posted on 12/17/2014 7:58:41 PM PST by Rainier1789 (My Constitution has a 2nd and 10th Amendment)
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To: Fungi

One word —

Yeah, I know the one word you wanted to say...


10 posted on 12/17/2014 7:58:52 PM PST by Scrambler Bob (/s /s /s /s /s, my replies are "liberally" sprinkled with them behind every word and letter.!)
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To: MeshugeMikey

I’d prefer the criminal be exiled.


11 posted on 12/17/2014 8:06:01 PM PST by ogen hal (First Amendment or reeducation camp)
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To: grundle

“Hopefully these high prices will encourage new competition to enter the market and bring the prices back down.
Funny how this happened right after Obamacare took effect.”

Passing the FDA inspections takes a long time and a lot of money. If it were easy, Walter White would have made antidepressants and hypertension drugs instead of meth-amphetamine.


12 posted on 12/17/2014 8:07:48 PM PST by VanShuyten ("a shadow...draped nobly in the folds of a gorgeous eloquence.")
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To: grundle

Looks like another success for Barry’s Marxist plan. Bankrupt the middle-class with high premiums, high taxes, high prescription costs.


13 posted on 12/17/2014 8:09:10 PM PST by purplelobster
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To: ogen hal

I wonder if the french would be interested in giving us a good deal on Devils Island?....


14 posted on 12/17/2014 8:11:42 PM PST by MeshugeMikey ("Never, Never, Never, Give Up," Winston Churchill ><>)
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To: grundle

Just after the Medicare Prescription Drug passed in 2003, my generic prescription cost almost doubled.

In 2006, Walmart introduced the $4 generics. That shook up the pharmacy industry.


15 posted on 12/17/2014 8:17:42 PM PST by TomGuy
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To: grundle

And generics are exempted from product liability lawsuits (even though technically they are selling “similar” knockoffs to the name brands) and insurance companies are insisting that enrollees use generics where available.

http://www.freerepublic.com/focus/news/3040748/posts
U.S. justices block generic drug liability lawsuits (Supreme Court)
Reuters ^ | June 24, 2013 | Lawrence Hurley and Bill Berkrot
The U.S. Supreme Court ruled on Monday that generic drugmakers cannot be sued under state law for adverse reactions to their products, a decision that consumer advocates called a blow to patient safety...


16 posted on 12/17/2014 8:18:14 PM PST by a fool in paradise (Shickl-Gruber's Big Lie gave us Hussein's Un-Affordable Care act (HUAC).)
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To: grundle

Something strange is going on with drug prices. I just started on Medicare. Fortunately, I am very healthy and only have one prescription, HCTZ for slightly elevated blood pressure. Normally I paid through BCBS of Massachusetts $15 for 90 days of a generic. With Medicare I just paid $3 for 90 days at CVS. While I pay $3, Medicare (and us taxpayers) pays via my Part D provider, Aetna, $50. More bemusing is that at Costco HCTZ costs $11 for 90 days. This stuff drives me nuts and I plan on pushing the issue with my new Congressman.


17 posted on 12/17/2014 8:20:15 PM PST by bjc (Show me the data!)
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To: texas booster

“Obamacare, which allowed big pharma to increase prices to consumers in order to lower costs to Medicare and some insurance plans.”

:::::::::::::

The medical industry takeover plan, Obamacare, was designed for this purpose -— not really for optimization of medical care, as we now know without any doubt. This piece of the deceitful plan is to help pay for it and is just the tip of the iceberg to this horror story. Obama and his ilk are doing a complex plan to keep attention off of it.


18 posted on 12/17/2014 8:24:34 PM PST by EagleUSA (Liberalism removes the significance of everything.)
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To: grundle

There is something wrong here and I smell a democrap universal “health” plan.

When I was a wee lad in 1976 I used to order brand name Vibramycin (doxycycline) made by Pfizer at my clinic for about $500 for 500 capsules.

Now the generic version made in some bathtub in Mumbai is $1830/500.

This makes no sense which means that fedgov is involved somehow.


19 posted on 12/17/2014 8:28:55 PM PST by 43north (BHO: 50% black, 50% white, 100% RED.)
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To: grundle

“Funny how this happened right after Obamacare took effect.”

Funny how drug companies found the perfect smokescreen.


20 posted on 12/17/2014 8:36:46 PM PST by The Antiyuppie ("When small men cast long shadows, then it is very late in the day.")
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