See this article at https://www.garyascott.com/2007/08/03/1757.html
That message pointed out that legal drug companies are billing the U.S. public for at least $1 trillion. The Medicare drug plan fiasco enriches pharmaceutical companies, fleeces taxpayers, and forces millions of older Americans to accept inferior drug coverage — while doing nothing to address the real reasons prescription drugs cost so much.
This problem will only get worse as 50 million of so baby boomers retire and sign up for Medicare’s drug program.
Yet the pharmaceutical companies are not just waiting for the older set. They are getting the kids as well.
Merri and I have some important reason to think about kids.
Here is Garren, our five year old grandson.
And Sequoia. She is almost one!
Plus our daughter Fran and Sam (here is the happy couple) were just married and I do not think our third will be far away!
How will they all handle the pressure, wealth and health wise, that the drug companies are placing on the public?
After the last message on the cost of legal drugs to the US taxpayer, a reader sent this note about the problem:
“ Gary , This is excellent data to disseminate. Good work. A recent St Petersburg Times exposing on the other side of the spectrum shows that the pharmaceutical companies and psychiatrists are destroying not only the financial wealth of US citizens but the sanity of our children.
“The article says: ‘More and more, parents at wit’s end are begging doctors to help them calm their aggressive children or control their kids with ADHD. More and more, doctors are prescribing powerful antipsychotic drugs.
In the past seven years, the number of Florida children prescribed such drugs has increased some 250 percent. Last year, more than 18,000 state kids on Medicaid were given prescriptions for antipsychotic drugs. Even children as young as 3 years old. Last year, 1,100 Medicaid children under 6 were prescribed antipsychotics, a practice so risky that state regulators say it should be used only in extreme cases. Initially billed as wonder drugs with few significant side effects, evidence is mounting that they can cause rapid weight gain, diabetes, even death. They’re also expensive. On average last year, it cost Medicaid nearly $1,800 for each child on atypical antipsychotics. In the last seven years, the cost to taxpayers for atypical antipsychotics prescribed to children in Florida jumped nearly 500 percent, from $4.7-million to $27.5-million. Doctors have been influenced by pharmaceutical companies, which have aggressively marketed atypicals.’”
It appears that the pharmaceutical companies have been perhaps aggressive in more than just marketing as Merri sent me this note:
“Here’s some more news on the Merck front! Serious questions about a conflict of interest arose in Texas where the HPV vaccine Gardasil created by Merck had been made mandatory for young girls. I seems that the same day Governor Rick Perry‘s chief of staff met with Merck executives, the drug company made a significant contribution to Perry’s campaign plus eight other Texas legislators. Merck‘s has a bad track record for drug safety. Vioxx was taken off the market in 2004 after causing heart attacks and stroke. Merck had been aware of these cardiovascular risks for years, but covered them up. There have been hundreds of adverse Gardasil events reported including collapse into unconsciousness and seizures. At Merck‘s urging, the FDA agreed to fast-track the HPV vaccine in February 2006, and it was approved that June even though testing in young girls was limited. Interestingly, Vioxx received a six-month priority review just as Gardasil did.”
In short legal drugs, money and politics are so entwined that it will be harder than ever to separate them. This, in my opinion is really horrible for the health of children, as well as our golden oldies generation…actually everyone.
The point here, however, is that the cost of these drugs (which are sometimes marked up as much as 30,0000 times) is also extremely horrible for the US dollar. The US government continues to spend more money than it has. Guns and butter is proven to be an economic insanity, again and again. Yet our government leaders use both war and social give-aways to buy votes. Plus the money they receive from pharmaceutical manufacturers helps them get elected as well.
So until Merck or some other enlightened drug maker creates a pill that stops “economic insanity by public officials,” we’ll have to watch out for our children, our health and wealth on our own, which is the way is has always been.
The difference now is do not expect to protect your families health and wealth with just US dollars.
Until next message, good investing!
Join us this September 14-15-16 at the farm. Come to our course. Then come up and join us for a meal at our house the farm.
To enroll for the North Carolina International Business & Investing Made EZ in North Carolina with Merri, me and Thomas Fischer go to https://www.garyascott.com/nccourse/
Here is Thomas speaking at a recent course at our farm.
Our Green portfolio (which does not invest in drugs) rose 200% in nine months! Helping the environment is fulfilling to Merri and me and as gratifying as this is has been profitable.
Learn how to track our Green Portfolio and four more with us. See https://www.garyascott.com/catalog/bldh
Until next message, may all your investments be good…for you in every way.
We hope to serve you at one of our upcoming courses or correspondence courses.