Cheap Drugs


Posted by Bruno on July 18th, 2005

This is why you’re supposed to let Medicare negotiate for bulk discounts when buying prescription drugs for seniors:

The economics of the new program depend on the assumption that large numbers of relatively healthy people will enroll and pay premiums, to help defray the costs of those with high drug expenses. Insurers say the new program cannot survive if the only people who sign up are heavy users of prescription drugs.

Oh, and this is also why you don’t let Republicans, in general, expand the welfare state. They stink at it. The legislation that was supposed to cost $400B over 10 years is now expected to cost over $1 Trillion. And that’s assuming that it actually works at all. Talk about fuzzy math. Are these really the guys we want fixing Social Security?


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