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Week 6 Discussion(Economics of Healthcare)


Are Canadian Pharmacies the solution to America’s high drug prices?  reason.com, Jan 2018

Every day for the last three years, I’ve started my morning with four prescription pills that cost roughly $11 each. I say “roughly” because the price fluctuates. The last time I filled a 90-day prescription, the full cost was $4,037. Sometimes, a 90-day refill costs hundreds of dollars less. But it’s always expensive enough for one of the pharmacy techs at my local Rite Aid to let out a whistle when I tell them what I need to pick up.  About a year ago, someone suggested I check out the prices for this drug in Canada. My medicine, which is called Lialda, turns out to cost 
thousands of dollars less just 500 miles north of D.C. Global Care RX, a Canadian online pharmacy, sells a 90-day supply of Lialda for $710, while Canadian Pharmacy King sells it for $734.

Buying prescription drugs from a Canadian website isn’t legal, but many Americans do it anyway because of the government’s unofficial “non-enforcement policy” for 
personal imports.  The policy basically says the Food and Drug Administration (FDA) will focus its enforcement efforts on unapproved imported drugs intended for commercial markets here in the U.S., and that patients who order personal amounts of non-controlled substances from foreign pharmacies will generally go unharassed.  


Discuss on each of the following statements, state your opinion whether you agree or disagree, give example of a situation, and why it matters. 

a) “The United States government should control pharmaceutical prices more strictly through a network of price and spending controls.” 

b) “Parallel trading in pharmaceuticals should be 
legalized so US citizens can purchase drugs from other countries”

c) “The drugs prices mostly affect the elderly and the lower-income patients, even with the Medicare and Medicaid programs



Use as many economic principles (from the textbook and other sources) as you can in answering the questions.  As a guideline, each of the 
10 points will be derived from the following:

1. Post your answer (400-500 words) to the posted DQ responding to the matter asked, instead of repeating the question or not attending to the question. Substantive answers include making comments using concepts found in the assigned reading materials or offering examples from your experience. Hence merely providing a brief “yes, I agree” or “no, I do not agree” postings are not adequate posts

2. Write in correct grammar; any errors will translate to a deduction in points.

3. Check for the spelling; any errors will deduct points.

4. Your responses must be substantive that include your own thoughts, supported with research (at least two external sources other than textbook, and you must quote these sources).

5. You get one point when you respond to one of your classmates’ posts, also with substantive comments (100-200 words).

6. One more point when you respond to another classmate’s post (100-200 words).

7. One point for collaboration.  It is intended that your involvement in discussions be of a collaborative nature. Collaboration spirit is quite different from confrontation. If disagree, learn to disagree respectfully.

8. Deadline for each DQ will be at 11.55pm on the due date as posted in the modules, but you are free to make your comments prior to that.  One point will be deducted for each day of late submission.

9. Creativity: offer a creative solutions or ideas or impact on the obvious socio-economic impacts of each topic; or a future recommendation or alternative options for the future with regard to the topic in question.

10. Cite your resources; as a rule of thumb, about 20 percent may come from quotes, with 80 percent in your own words.
(Cite two External Sources)

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