Attention Economy


Tuesday, August 23, 2016

EpiPen – An Example of Market Barriers and US Healthcare Dysfunction

How entry barriers (often created by a ridiculous patent system) restrict competition in US healthcare sector and lead to exorbitant prices.

Update –
MYLAN CEO happens to be a US Senator’s daughter:
“Members of Congress are in an unusual position as they demand an explanation for Mylan NV’s 400 percent price hike for the EpiPen and focus attention squarely on its CEO: Heather Bresch.
If lawmakers follow the usual script, Bresch could get called up to Capitol Hill next month to explain her company’s justification for raising the price on the life-saving allergy shot. But that could be awkward, since she’s the daughter of Democratic Senator Joe Manchin of West Virginia....
The Mylan controversy fits a similar pattern. Mylan has increased the price of its EpiPen from about $57 a shot when it took over sales of the product in 2007 to more than $600 for two auto-injectors. But the company’s EpiPen is a more mainstream drug used to treat life-threatening allergic reactions from bee stings, food allergies or other triggers, which could give the issue a larger constituency.”

Related:
http://www.theatlantic.com/health/archive/2016/08/epi-pens/497126/