Part 2
Though they cost an arm and a leg, prescription drugs reduce overall spending on medical care. Although this may sound strange, the explanation is quite simple. Like medical care, drugs cost money to develop and distribute, however, the lasting effects are beneficial.
Here are a few facts you should be aware of:
v Research/development for a prescription drug takes 10-15 years to complete.
v Of every 5,000-10,000 compounds tested, only 5 make it through clinical trials.
v Of these 5, only 1 makes it through FDA review.
Today, we face the threat of government implemented price controls on prescription drugs. Though this may sound appealing, there are some facts we must consider. Research and development can only take place because of the funding provided by investors. If pharmaceutical manufacturers are forced to sell their products at a price below market value, the investment becomes less attractive. Therefore, research and development subsides, limiting innovation.
There must be some disconnect though in the thought process of the current administration: we constantly hear that we must encourage innovation, yet this is from the same mouth that would like to implement price controls.
Consider these facts:
v Over the past decade, life expectancy has risen to an all time high.
Men: 75.4 years Women: 80.7 years
v Nearly 350 new medications have been developed to treat strokes, disease, diabetes, cystic fibrosis, cancer, and other chronic conditions.
v Today, there are more than 2,700 new drugs for 5,000 different conditions providing HOPE (not Obama’s kind) to millions with heart disease, cancer, Alzeiheimer’s, etc.
From 1971 to 2003, the number of cancer medications tripled. In fact, the
All of this is because of research and development. i.e. innovation. President Obama is right; we MUST encourage innovation to thrive as a society. However, price controls are NOT the answer.
True: Prescription drugs are not cheap.
False: Overall medical costs skyrocket because of them.
All facts and figures taken from studies cited in The Top Ten Myths of American Health Care: A Citizen’s Guide by Sally C. Pipes. I strongly urge you to read this book.
Overall, prescription drugs presently make
up 10% of healthcare spending. However, though this percentage is higher than
in recent decades, prescription drugs in fact reduce overall spending on
medical care.
Did you know 6 in 10 Americans have at
least one chronic disease? Nearly 85% of all health care spending is spent on
managing these diseases such as diabetes, heart disease, cancer, HIV, obesity,
arthritis.
In a study by Gerard Anderson, a
professor at John Hopkins, some very shocking figures are presented:
· 82% of hospital admissions and 79% of
all doctor visits are by people with chronic diseases.
· People with 2 chronic diseases cost
the health care system 5 times more than those without.
· Those with chronic diseases are 4
times more likely to be hospitalized.
Why are these percentages so high? The
answer is simple. We are old and fat.
In a country where 2 in 3 American adults are overweight, and 1 in 8 Americans
are over the age of 65, it is no surprise that heart disease kills 1 person
every 34 seconds and diabetes diagnoses have doubled over the past decade.
However, we MUST realize prescription drugs curtail the costs. Drug prices do not drive up health care costs.
Example:
Lipitor is cheaper than heart surgery.
The Journal of the American
Medical Association reported that from 1999-2006 after tracking nearly
45,000 heart patients from 14 different countries, the rate of death from heart
attacks dropped by half. Why? The increasing number of cholesterol-lowering
drugs, blood thinners, stents, and angioplasties did the trick. From 1999-2005,
the proportion of patients developing congestive heart failure dropped from
19.5% to 11.
A 2005 study in Medical Care
found that $4-7 is saved on other medical spending for every additional dollar
spent on drugs for blood pressure, cholesterol, and diabetes. Additionally, a
paper from the National Bureau of Economic Research states that Medicare saves
$2.06 for every dollar spent on medications.
True: Prescriptions cost money, but
cost less than hospitalization and surgery.
False: Drug prices drive up
health care costs.
*All facts and figures taken from
studies cited in The Top Ten Myths of American Health Care: A Citizen’s
Guide by Sally C. Pipes. I strongly urge you to read this book for
more information.
The Educational Policy Conference has already been an incredible experience for all involved. Here is a taste of a few truths I was reminded of last night at the opening dinner. All quotes and/or ideas taken from keynote speaker: Michael Medved.
What is better? Depending on yourself, your family, and God? Or, Barack Obama and Joe Biden?
Some ideas are so preposterous that only an intellectual could believe them.
--Quote from George Orwell
No one suffers from the creation of wealth. When the rich get richer, we all get richer.
We were created “in the image of God” (Gen. 1:27). God at his essence is the limitless creator. By the same token, we, as His children, can do the same. Therefore, the essence of any productive economy is creating growth.
We cannot have a prosperous economy without decent Christian values. We cannot have decent Christian values without liberty.
You either worship the ‘big G’ or the ‘little g’: God or government.
In approximately 500 words or less, tell us about:
A) The most successful conservative event you helped coordinate or the most outrageous liberal event you helped oppose on your campus this year
B) Your personal experience defending conservativism on campus
OR: Submit a 30 second (minimum) YouTube video of a conservative event you planned or attended, along with a short 100 word description of your experience.
Deadline for submission is May 1, 2010. Include your name, address, school name, phone number, e-mail address, and one letter of recommendation from a professor or mentor at the school you attend.
Mail Essay and info to:
blake@eagleforum.org
OR
Blake Bachman
Eagle Forum Collegians
7800 Bonhomme Avenue
St. Louis, MO 63105
(If submitting a video, make sure you provide the link to your video!)
Visit www.efcollegians.org for registration forms, pictures, resources, as well as our blog. For the most current information, fan us on facebook (Eagle Forum Collegians) and follow us on twitter (EFCollegians).
False.
This post is not about downplaying the problems with access to medical care in America but about bringing to light the necessary facts to lead us to a more reasonable conclusion on the proper remedies for expanding access.
Results from surveys conducted by the United States Census Bureau show that 15% of the American population is in fact uninsured. However, these results hold potential for a very large margin of error. Numbers are likely to be underreported, meaning coverage is likely to be significantly higher, and the individuals may have been uninsured just during the time that the surveys were taken.
Though there are 46 million Americans without health insurance, “lacking access” and simply being “uninsured” hold completely different implications.
Let's look at a break down of the numbers.
Of 46 million uninsured Americans:
· 38% earn more than $50,000 per year.
· 30% are eligible for Medicare, Medicaid & SCHIP but aren't registered.
· 25% are not
The government would like us to believe that the uninsured are simply "down and out." However, in 2008, of $86 billion spent on health care, $30 billion was by the uninsured. Thus, the largest group of uninsured Americans still recieve medical care.
A segment of this group (the largest group of uninsured) is classified as the "invincibles," according to the Commonwealth Fund, and is comprised of Americans aged 18-29. The invicibles category is one of the largest and fastest-growing segments of the uninsured.
The second largest group of uninsured Americans qualify for government programs but are not enrolled. Twenty-seven percent non-elderly Americans are eligible for Medicaid yet not enrolled. During his campaign, President Obama constantly reiterated that nearly 8 million children lack access to health insurance. The truth is nearly 6 million of these children (75% of 8 million) are in fact eligible for federally-mandated programs.
Why are they not enrolled? Finding the answer to this question is critical before we fundamentally change the way people access medical care in our country.
The third largest group of the uninsured, though they can still receive free treatment in the ER, is comprised of people merely living in the
There are a couple of facts worth noting that were not mentioned during all the campaign propaganda:
1. The number of households without health insurance making less than $25,000 year has gone down since 1998.
2. The fastest growing segment of uninsured Americans is actually making more than $75,000 per year.
The problem with the largest group of uninsured Americans is not a lack of access but a lack of planning and responsibility.
The sad reality of all these statistics is that there are still about 4 million poor, continually uninsured Americans that fall through the cracks. Our focus should not be on completely changing the American health care system, but rather focusing on what our system can change in order to provide proper care for these individuals.
True: There are about 4 million continually uninsured Americans.
False: 46 million Americans lack access to health care.
