Democrat Wants To Give Americans Access To Cheaper Prescription Drugs In Canada
I see that Byron Dorgan is on a kick again to allow Americans to buy prescription drugs in Canada at lower Canadian prices. Now, on its face, this may sound like a good idea. Even a solidly conservative idea, given the free trade ramifications of it. Why would people like myself, who feel that the inclusion of cheaper foreign goods in our markets is good for our overall economy, oppose the opening of Canadian pharmaceutical markets to American buyers?
Well, the fact that Byron Dorgan is in favor of this should give you a clue (amazing how Byron wants free trade on Canadian prescription drugs but can’t stand the idea of free trade involving Mexican truckers, but I digress). The Canadian pharmaceutical market isn’t a free market.
Canada has a nationalized health care system. The bureaucrats who run that system have “negotiated” (in the coercive, “do it or we’ll make you do it” manner of government) caps on prescription drug prices. Meaning that drugs aren’t cheaper in Canada because drug companies are being unfair to Americans. Drugs are cheaper in Canada because the Canadian government is being unfair to drug companies.
And this brings us to one of the big lies in the debate over health care in America. We’re often told how expensive our health care system is, and now much cheaper it could be if nationalized, but one of the reasons why our health care system is so expensive is because our nation acts as a safety valve for all the countries with nationalized health care.
Take the prescription drugs, for instance. Canada has mandated low prices. But the drug companies, that invest decades and tens of billions of dollars into bringing even one drug to market, must recoup their money somehow. So Americans, who live in a free market system, pay not only for their share of the drug industry’s overhead but Canada’s share as well. And Great Britain’s share. And Australia’s share. And Japan’s share. And on and on.
It also works that way with health care in general. When Canadians need to flee the rationing and delays in their nationalized health care system, where do they go? America. When Mexicans need to flee the near-collapse of their national health care system where do they go? America. Same, again, with Great Britain and Australia and on and on.
We are the international release valve for all the foolish nationalized health care systems in the world. At least, for the people who can afford that we be their release valve. Those who can’t afford to opt-out in Canada or Great Britain are stuck with what the government decides they should get.
But what all of this does is drive up the cost for health care here in America. It creates artificial demand, and artificial shortages, that wouldn’t exist otherwise.
And imagine what would happen if we went the same route as a Canada or Great Britain. The people in those countries had better hope we don’t.
