This week, President Donald Trump issued an order, he said, to lower prescription drug prices for Americans. Order would be little effective, but it is a perfect example of government price control, and once compared to socialism and fascism by Trump and his administration.
Trump issued it on Monday Presidential Order Within 30 days, the Secretary of Health and Human Services will direct the Department of Health and Human Services to “inform pharmaceutical manufacturers the most preferred country’s price targets, and rank prices for American patients in relatively developed countries.” Most Favoured Country (MFN) Status means The country is treated the same way in negotiations as those who get the best deal. If fully enacted, Trump’s order means that drug companies must sell drugs to Americans at the lowest prices they had offered to others around the world.
“Trump has not suggested that these price targets apply only to the prices the government pays for the drug.” I’m writing Michael F. Cannon, Director of Health Policy Research at the Cato Institute.
The order also instructs the agency to take action against manufacturers that do not comply with it. “We’ll look into pharmaceutical companies if necessary, especially the countries that do this,” Trump said. I said it on Monday.
in Post on True Social Over the weekend, Trump said that “prescription drugs and drug prices will drop by 30% to 80% almost immediately,” as a result of the order. Monday, he I said It cuts costs by “60, 70, 80, 90%,” but in reality, when you think about it, it’s mathematically even more. The order appeals to “subsidizing drug manufacturers to “deeply discount products to access foreign markets and reduce at very high prices in the US.”
Americans do that I’ll pay a lot It’s more complicated than people in other developed countries, but the reasons for this are more complicated than Trump suggests.
“There are many reasons why we should pay more for previous access to new drugs than our trading partners.” I wrote it Darius Rakdawala and Dana Goldman of the University of Southern California Schaefer Institute of Public Government Government Services. “As the world’s largest drug market, we have found America in a unique position to gain a lion’s share of profitable leon from new drugs. We often recover these additional costs in the form of longer and healthier lives.”
The pharmaceutical company says the price imbalance is due to the costs of bringing new drugs to the market in the US. Usually it runs To billions of dollars.
Trump’s proposals are “lack in some respects,” wrote Rakdawala and Goldman. Pharmaceutical companies can simply raise prices overseas, but can offer rebates that require many foreign laws to be secret. Otherwise, “facing a deep reduction in US pricing or a loss choice for less profitable foreign markets,” companies can simply withdraw foreign markets entirely, and “pharmaceutical manufacturers, future generations who will deliver the same price, lower profits to consumers, are innovating less.”
Moreover, the order imposed the same kind of forced government policies as Trump and his allies, and was once correctly condemned as authoritarianism.
In August 2024, then President Kamala Harris announcement As president, she would support a federal ban on gouging on grocery prices, which she condemned inflation.
“Comey goes to Comey. The only thing that price management offers is shortage and hunger,” said Stephen Miller, now a White House adviser. I’ll post it on x. in Separate postsHe said that price control was “a policy that imposed Marxist policies imposed by the left-wing regimes caused radical inflation, which leads to food and medicine shortages, bread lines, a worse spiral of inflation, and currency destruction.”
“After causing catastrophic inflation, Comrade Kamala announced that he wanted to enact socialist price control,” Trump said. He spoke to a campaign rally at that time. “This is a communist. This is a Marxist. This is a fascist.”
But Trump is currently seeking price control for prescription drugs and does exactly what he warned if Harris wins. We asked how the proposal and presidential plans differ from the White House official Harris. I said National ReviewAudrey Falberg of“What we’re doing here is to lock the market down and allow us to operate in a way that the power of the market is supposed to bring price savings to Americans.”
However, contrary to the staff’s claims, price control is completely opposed to “allowing market forces to operate.” In fact, introducing more “market powers” into the healthcare industry is a welcome change. Medicare and Medicaid Account 45% of all medical expenses in the US.
Instead, the president wants to introduce more governments into healthcare.
