Quote Originally Posted by Crazed Rabbit View Post
Definitely.

One thing about your scenario, what's to stop companies from simply producing the drug as well? And why does the druggist refuse to be paid later? Why does he not consider that charging the maximum people will pay is not always the most profitable way? IN a free market, other companies would have seen the economic profit the druggist was making and entered the market themselves.

It's a very arbitrary scenario. Also, the druggist didn't charge ten times what it cost him to produce the drug; the drug was only ten times as expensive as the materials. Labor, various overhead costs (lab equipment, power, infrastructure, etc.), would have made the drug more expensive than $200 to produce.

CR
I copy and pasted the scenario, but you can apply it to the real world. People cannot afford the healthcare, because the pharmacies charge people more money than they can pay (obviously upper middle class and above can pay). So Heinz cannot afford the drug, and the companies have it patented (don't forget about that), simply don't care, as they want to get as much bang for their buck as they can.

Especially when you see the drug prices in America, compared to lets say Canada. Because Canada forces the companies to stop ripping people off, the companies end up selling it for far cheaper in Canada, because they can still get the profit.

As much as your intentions for a free market you have idealised to occur, the world doesn't work that way. People are greedy and selfish and they don't care if Heinz dies in a ditch along with his wife. The corperate CEO shrugs his shoulder and brags about his profit margins.

While you may feel I am an idealist, in many ways, I am and accept that. Unfortunately, your Free Market dream in many ways is more of a pipe-line. The reason we have regulation on corperations is to stop their immoral (sometimes arguably amoral) practises. Yes, this means the economy isn't a good as it should be, I sure we could have a far higher GDP by paying $5 a week wage to employees and mass selling our products elsewhere, like they do in India, but it is because we value human life and standard of living, that we don't. One of the perks of living in a Liberal Democracy, we are not treated as as those employees elsewhere in the developing world.