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08.15 RIDE FOR THE OVERRIDE

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09.28 Life is richer when we talk to strangers

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09.28 Earth 'Locked Into' Hitting Temperatures Not Seen in 2 Million Years: Study

09.28 South Australia storms: entire state left without power after wild weather – live

09.28 New York City accelerates emissions efforts in face of daunting sea level rise

09.28 Lots to lose: how cities around the world are eliminating car parks

09.28 No fracking, drilling or digging: it’s the only way to save life on Earth

09.28 Greenland's receding icecap to expose top-secret US nuclear project

09.27 Germany Has the World's First Hydrogen-Powered Passenger Train [could aviation use hydrogen too?]

09.27 China tops WHO list for deadly outdoor air pollution

09.27 Can the aviation industry finally clean up its emissions?

09.27 US emissions set to miss 2025 target in Paris climate change deal, research finds

09.26 Africa's portable solar revolution is thwarting thieves

09.26 Time for Congress to Stop Hollering at CEOs and Take Action [The U.S. is the only 'advanced country' without healthcare price controls]

09.26 The Impact of Minimum Wage Changes on Infant Health

09.26 New Record Low Solar Price in Abu Dhabi – Costs Plunging Faster Than Expected [maybe Middle East wars will stop now]

09.25 Want to Slow Climate Change? Stop Having Babies

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09.28 Lester Holt Asks Zero Questions About Poverty, Abortion, Climate Change

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US Politics, Policy & 'Culture'

09.27 The Trump Files: Donald's Creepy Poolside Parties in Florida [bunga bunga' parties like Berlusconi]

09.27 This week: Shutdown deadline looms over Congress

09.27 Murders up 10.8% in biggest percentage increase since 1971, FBI data shows

09.27 Clinton stays calm while Trump loses cool during first presidential debate [videos]

09.26 The Lying Game

09.26 Why Donald Trump Should Not Be President

09.26 The government wants more offshore fish farms, but no one is biting

Justice Matters

09.28 Wells Fargo executives forfeit millions, CEO to forgo salary amid investigation

High Crimes?

09.28 Amnesty calls off launch of Thai torture report after police warning [something sick is brewing here]

09.26 African elephant numbers plummet during 'worst decline in 25 years’

09.26 Russia accused of war crimes in Syria at UN security council session [videos]

Economics, Crony Capitalism

09.23 Wells Fargo's toxic culture reveals big banks' eight deadly sins

International

09.28 Killing People, Breaking Things, and America's Winless Wars [war profiteers rake in huge profits, but countries never “win” wars]

09.28 Syrian troops launch ground offensive against Aleppo rebels [video of devastation; will there be profit from fossil fuel we cannot use?]

09.27 Saudi Arabia cuts ministers' pay by 20%

09.27 Thousands of Saudis sign petition to end male guardianship of women

09.25 Syria conflict: UN chief 'appalled' by Aleppo escalation

09.25 The Natural Gas War Burning Under Syria

09.25 Panic sweeps Calais camp as refugees await the bulldozers [an “empathy wall” blocks acceptance of children]

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  Big Pharma Wins Big in Health Care Reform

COMMENTARY:

Big Pharma Wins Big in Health Care Reform

by James Ridgeway
First published in his blog Unsilent Generation yesterday, 22 March 2010
To a large extent, the “debate” over health care was a show debate, an extended round of Washington smoke and mirrors. The administration early on cut its deal with Big Pharma, and pretty much stuck to it throughout the process.

The Republicans look a sour lot this morning, but the pharmaceutical industry, which helps foot the campaign bills of a sizeable chunk of members of both parties, is delighted with the legislation, and with its Democratic friends in the White House and on the Hill.

Members of Congress in both parties generally have lined up behind the insurance and pharmaceutical industries from the get go. So it should come as no surprise that the Democrats, who long ago gave up any pretence of opposing corporate power, found a way to accomodate the pharmaceutical companies on the way to its tepid reform. To a large extent, the “debate” over health care was a show debate, an extended round of Washington smoke and mirrors. The administration early on cut its deal with Big Pharma, and pretty much stuck to it throughout the process.

In fact, the Dems actually made the drugsters look good, celebrating the industry’s generous “concessions” and “discounts” while ensuring that no real threat to Big Pharma’s profits would make their way into the final bill.

The industry’s main goal from the very beginning has been to fend off any government power to negotiate or seriously regulate drug prices–and this they did.

Big Pharma’s second big win was to prevent any measure that would have opened the way for American consumers to buy less expensive drugs abroad, especially from Canada.

At the same time, the supposed give-backs by the drug industry are projected to more than pay for themselves. The much-lauded discounts on brand name drugs for seniors in the Medicare prescription drug program, for example, are good for Big Pharma because they discourage oldsters from switching to generics.

And more insured people simply mean more money coming into the coffers, for Big Pharma as well as for the insurance industry.

Confirmation of the industry analysis came early in the day from the stock market, where drug stocks initially remained level; there certainly was no rush to dump shares, which is what would be expected if the bill actually represented any threat to profits. And by 1 p, EST, CNN Money was reporting a rally in health care stocks.

“I was unable to find anything in there that would cause me to have anxiety if I were a shareholder in a pharmaceutical company,” Ira Loss, a senior health-care analyst at the research firm Washington Analysis, told Dow Jones. According to the ticker story:

Billy Tauzin, who led the industry’s negotiations on health care with lawmakers, said overall drug makers fare well. “While we’re not totally happy,” Tauzin began, “we generally feel like it tracks with our principles.”

Sanofi-Aventis SA (SNY) Chief Executive Christopher Viehbacher said in an interview that the impact of the legislation will be neutral to slightly negative “but better for the industry than if healthcare reform didn’t pass.”

Tauzin, head of the Pharmaceutical Research and Manufacturers of America or PhRMA, and Viehbacher said getting protection for brand-name biologics is among the important provisions for the industry. Drug makers pushed hard to get 12 years of exclusive market protection while the White House and some lawmakers wanted to lower the protection to seven years.

Despite fees and rebates imposed by the legislation, “analysts say drug makers will end up recouping those costs through new customers: The bill would provide insurance coverage to an additional 32 million Americans.” The Dow Jones story continues:

Chalk up another good round for Pharma and Biotech in health care reform,” began a note to clients Friday from Concept Capital, a research firm.Ken Tsuboi, co-manager of the Allianz RCM Wellness Fund, sees the impact of bill, and its $90 billion in concessions over 10 years, as relatively minor in an industry that has annual global sales of about $750 billion, with about $300 billion in the U.S., and margins close to 30%.”I think that it is actually a pretty good deal for Pharma,” Tsuboi said.

The GOP, which purports to be the party of big business, ought to be applauding at least these portions of the health care reform—and perhaps when the cameras go away, some of them will quit bitching and count their blessings. As for the obnoxious Tea Party gang, if they start threatening the real power in this country, which is vested in corporations, they may well find themselves whipped and isolated.


Born in 1936, James Ridgeway has been reporting on politics for more than 45 years. He is currently Senior Washington Correspondent for Mother Jones, and recently wrote a blog on the 2008 presidential election for the Guardian online. He previously served as Washington Correspondent for the Village Voice; wrote for Ramparts and The New Republic; and founded and edited two independent newsletters, Hard Times and The Elements.

Ridgeway is the author of 16 books, including The Five Unanswered Questions About 9/11, It’s All for Sale: The Control of Global Resources, and Blood in the Face: The Ku Klux Klan, Aryan Nations, Nazi Skinheads, and the Rise of a New White Culture. He co-directed a companion film to Blood in the Face and a second documentary film, Feed, and has co-produced web videos for GuardianFilms.

Additional information and samples of James Ridgeway’s work can be found at JamesRidgeway.net and at his newest web site, Solitary Watch.

This article is republished in the Baltimore Chronicle with permission of the author.



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This story was published on March 23, 2010.
 



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