Small Pharma CP Answers - Michigan 7 2024 JRY

AT: Small Pharma CP
Solvency Deficit --- Overall R&D
No Alternative --- Go Big or Go Home.
Tusk ’20 (Bradley; venture capitalist, founder and CEO of Tusk Ventures, BA from UPenn, JD from University of Chicago Law School; “In defense of Big Pharma, the innovation engine we love to hate”; 5-14-2020; Accessed 7-31-2024; https://www.fastcompany.com/90504726/in-defense-of-big-pharma-the-innovation-engine-we-love-to-hate//-rr)
It’s easy to hate Big Pharma. Drug prices are absurdly high compared to the rest of the world. Executive salaries can be stomach-churning. Lobbyists treat Washington like it’s their own personal client state. To any sentient observer, it appears the biomedical industry has gotten greedy.
Yet as we sit here in the throes of a global pandemic, we must confront an uncomfortable truth: A vaccine is the only real hope for beating the coronavirus, and only the pharmaceutical industry has the human capital and physical infrastructure to create one. The difference between waiting four months and four years for a vaccine could be millions of lives and trillions of dollars.
The cost of producing a vaccine, in other words, is priceless. But expecting Big Pharma to deliver a cure means acknowledging how Big Pharma works. The economic logic that drives up drug prices and fuels constant political outrage also makes rapid drug development possible. They’re two sides of the same coin.
Multiple studies show that you can only trim pharmaceutical profits so much before innovation slows, which means fewer new medicines and diminished capacity to solve problems such as SARS-CoV-2 (the virus that causes the COVID-19 disease). The National Bureau of Economic Research has found, for instance, that cutting drug prices in the U.S. by 40 to 50 percent would lead to 30 to 60 percent fewer R&D projects. Another study found that Germany lost 23,000 pharma jobs after it implemented price controls in the 1990s, and Germany slipped from first to third place among the continent’s top drug innovators. As the nonpartisan Information Technology and Innovation Foundation concluded in a white paper last year, “For the issue of pharmaceutical drugs, an overwhelming body of academic research shows that price controls will significantly restrict the number of new drugs in the future.” Every decision involves tradeoffs.
Nobody doubts that inequality is baked into this incentive structure—that the same profit motive that makes the U.S. pharmaceutical industry the best in the world also leads to unjust outcomes, especially for the poor. Nor is it a secret that American R&D effectively subsidizes Europe. The question is whether that system can be reformed in a way that doesn’t endanger innovation.
Sally Susman, Pfizer’s head of corporate affairs, recently came on my podcast to talk about Pfizer’s efforts to develop a vaccine for COVID-19. She confidently said that a vaccine could be available by Q4 of this year. But even attempting that has required Pfizer to shift a great number of resources toward new research areas. If they succeed, they’ll have to radically transform their manufacturing process to produce the vaccine.Let’s be clear—drug makers are not saints. If Pfizer develops an effective vaccine, they’ll benefit from it financially and reputationally, as they should. But they’re only in a position to dedicate their resources to creating a vaccine because they already have an immense, full-scale infrastructure of scientists, researchers, factories, labs, protocols, lawyers, and everything in between. That infrastructure is costly. It exists because some nongeneric prescription drugs are very expensive. Those revenues don’t just pay executive salaries—they also fund the 9 out of 10 drug trials that fail.
Demagoguery is easy. I spent 15 years working directly in government and politics before becoming a venture capitalist. I know a lot about demagoguery firsthand because I’ve engaged in it countless times. But if half the policies I called for in press releases had ever been implemented, we’d be years away from a vaccine right now, not (hopefully) months. We’d lose millions of lives, instead of hundreds of thousands. The economic cost to society would last for generations.
Some may argue that we should nationalize the drug companies and have government handle all research, development, drug trials, and manufacturing. I’m not convinced. In my four years as deputy governor of Illinois, in my time at New York’s city hall under Mike Bloomberg, and in my time in the U.S. Senate working for Chuck Schumer, I developed a true appreciation for the things government does well (national defense, public health, redistributing resources, emergency management, and law enforcement, among others) and the things it does poorly (almost everything else). Government-led drug manufacturing would be about as well funded and administered as most public housing, school systems, and public hospitals. In the face of a pandemic, that’s not a risk I’m willing to take.
None of this excuses bad behavior by Big Pharma or any industry when they do something wrong. But pretending that any industry can withstand any amount of regulation and still be able to do what we need them to do, when we need them to do it, is worse than wrong. It’s intellectually dishonest. And right now, dishonesty is the last thing we can afford.
Only thing that can solve Life Expectancy
Solvency Deficit --- Life Expectancy
Big Pharma is key to life expectancy --- no alternatives.
Burke ’20 (Hannah; BSc in Psychology from the University of Chester, former content editor for a healthcare consultancy firm, marketing manager of Proclinical; “Why are pharmaceutical companies so important?”; 27-8-2020; Accessed 7/31/2024; https://www.proclinical.com/blogs/2020-8/why-are-pharmaceutical-companies-important//-rr)
Pharmaceuticals have been used to treat illnesses for thousands of years. The early days of medication included plants and herbal remedies to treat a variety of diseases and traumas. Today, the long and complex journey to demonstrate the safety and efficacy of a compound and bring it from the laboratory into the hands of patients in need, is a multi-billion-dollar global industry.
Pharmaceutical companies continually strive towards innovative new treatments that help people live longer and healthier lives. These therapies are developed, manufactured, marketed and distributed around the world by pharmaceutical companies every day. Here, we look at some of the key contributions of the industry, and the reasons why pharmaceutical companies are so important to patients, society and the life sciences industry:
1. Treatments increase life expectancy
The pharmaceutical industry has greatly contributed to the increase in life expectancy for men and women across the world. It has been reported that pharmaceutical advancements accounted for 73% of the total increase in life expectancy between 2000 and 2009, across 30 developing and high-income countries. In 1900, global life expectancy was just 32 years; thanks to advancements in medicines, this has more than doubled and today the average life expectancy stands at 72 years.
Japan and Hong Kong have the highest average life expectancy, with people living to 85 years old on average. Pharmaceutical innovation has not just benefited richer nations, developing countries have also been positively impacted and global inequality in life expectancy is starting to decrease.
2. The industry strives to eradicate and eliminate diseases
Disease eradication is the ultimate goal when developing treatments, as this benefits ecosystems on a global level. To date, the World Health Organization (WHO) has declared smallpox as the first – and so far only – human disease to be eradicated globally.
There are 7 diseases that are almost eradicated, including: measles, rubella, polio, guinea worm and lymphatic filariasis (elephantiasis). Eradication is extremely hard to achieve as it requires a vaccination and a true global effort.
3. Reduced pain and suffering
Although many pharmaceuticals do directly cure conditions, they can also be used to manage pain, symptoms or side-effects of other treatments, helping to relieve discomfort. A study by the WHO showed that individuals who live with persistent pain are four times more likely to suffer from depression, anxiety and twice as more likely to have difficulty working than those who do not suffer with pain. By providing treatments to manage pain, symptoms and side-effects, pharmaceutical companies can improve patients’ quality of life, allowing them the freedom to live healthier and more fulfilled lives.
4. Vaccines save money
By preventing disease, vaccines not only help to save millions of lives, they save money too. Vaccines are widely accepted as a cost-effective public health intervention, reducing healthcare spending and prevent productivity loss, curbing the wider impact on the economy. According to the WHO for every $1 the US spends on childhood vaccinations, over $10 in disease treatment costs is saved.
5. Hospital stays are shorter
In the US, 50 years ago, the average hospital stay was 8 days. With innovation and greater access to medicine, patients have the potential to recover more quickly. Many conditions that would have previously required invasive treatments and operations can now be treated with medicines. Today, the average hospital stay in the US stands at just 4-5 days. With patients being able to be discharged quicker, this has reduced pressure on the healthcare system and healthcare workers.
6. The industry employees millions of people
Pharmaceutical companies are responsible for millions of jobs across the world. In the US, the biopharmaceutical industry employs over 800,000 professionals who work across a wide range of areas including scientific research, technical support and manufacturing.
It is estimated that in the US, the industry directly and indirectly supports around 4.7 million jobs. Pharmaceutical companies require highly skilled and educated professionals, with roles for administrative level up to and including Ph.D. scientists.
7. Pharmaceutical companies boost the global economy
As well as driving medical progress by researching, developing and bringing new medicines that improve health and quality of life for patients around the world, the pharmaceutical industry is a key asset to the global economy. The industry reached unprecedented heights in 2019, worth an estimated $1.3 trillion.
The industry’s research and development (R&D) enterprise drives sizable economic impacts. In the US, biopharmaceutical manufacturers spend more in R&D relative to sales than any other manufacturing industry, investing more than six times the average for all manufacturing industries.
Overall, pharmaceutical companies play a pivotal role in helping patients and communities. They provide more than potential cures and lifesaving treatments; they also create fulfilling jobs and fuel the global economy. Looking ahead, the industry will continue to firmly establish its importance in the world by creating more exciting and ground-breaking treatments.
Solvency Deficit --- Pandemics
Only big pharma has the capital to innovate vaccines.
Tusk ’20 (Bradley Tusk – CEO of Tusk Ventures, “In defense of Big Pharma, the innovation engine we love to hate”, Fast Company, Available online: https://www.fastcompany.com/90504726/in-defense-of-big-pharma-the-innovation-engine-we-love-to-hate, 5-14-2020, Accessed 7-31-2024)//ILake
Yet as we sit here in the throes of a global pandemic, we must confront an uncomfortable truth: A vaccine is the only real hope for beating the coronavirus, and only the pharmaceutical industry has the human capital and physical infrastructure to create one. The difference between waiting four months and four years for a vaccine could be millions of lives and trillions of dollars.
The cost of producing a vaccine, in other words, is priceless. But expecting Big Pharma to deliver a cure means acknowledging how Big Pharma works. The economic logic that drives up drug prices and fuels constant political outrage also makes rapid drug development possible. They’re two sides of the same coin.
Multiple studies show that you can only trim pharmaceutical profits so much before innovation slows, which means fewer new medicines and diminished capacity to solve problems such as SARS-CoV-2 (the virus that causes the COVID-19 disease). The National Bureau of Economic Research has found, for instance, that cutting drug prices in the U.S. by 40 to 50 percent would lead to 30 to 60 percent fewer R&D projects. Another study found that Germany lost 23,000 pharma jobs after it implemented price controls in the 1990s, and Germany slipped from first to third place among the continent’s top drug innovators. As the nonpartisan Information Technology and Innovation Foundation concluded in a white paper last year, “For the issue of pharmaceutical drugs, an overwhelming body of academic research shows that price controls will significantly restrict the number of new drugs in the future.” Every decision involves tradeoffs.
Big pharma is the core of drug innovation—being the only ones able to fund the registration.
Roberts ’21 (Brooklyn Roberts – writer from The Hill, “Pandemic proves importance of pharmaceutical innovation”, The Hill, Available online: https://thehill.com/opinion/healthcare/556633-pandemic-proves-importance-of-pharmaceutical-innovation/, 6-3-2021, Accessed 7-31-2024)//ILake
The vast majority of the world’s pharmaceutical innovation comes out of the U.S. We produce some of the most vital drugs for people around the globe. In the case of COVID, our pharmaceutical companies have risen to the challenge and have developed vaccines in less than a year. These vaccines will play a critical role in allowing life to get back to normal for most Americans.
In addition to the quick development of the vaccines, manufacturers were ready to go as soon as they had FDA approval. As a result, more than half the population has gotten at least one dose of the vaccine in roughly four months. The incredible effort it took to accomplish that should not be overlooked.
Pharmaceutical companies have taken a beating in the media for the last several years over drug pricing and accessibility, and in response, state legislatures have supported bad policies like price controls and importing drugs from Canada. But the current pandemic shows us the importance of innovation in this area and why investment in pharmaceutical innovation is vital to the health and safety of Americans.
On average, taking a drug from a molecule to a marketable medicine costs $2.6 billion and is a 10-year process. Companies that develop the drugs have a patent on their product for 20 years. The patent life starts to run while the company is developing the drug, often leaving a company only a handful of years to recoup their investment in that drug — and that is if the drug makes it through clinical trials and gets FDA approval. New drugs routinely fail during clinical trials, costing companies millions. Yet, these companies continue to develop and innovate.
That is why President Biden’s recent decision to waive patents for the vaccine is so detrimental. The U.S. leads in pharmaceutical innovation due to our strong intellectual property protections and free market pricing system. Patents are a necessary part of innovation. Without them, companies would not take on the massive cost of developing new drugs. By waiving the patents for the vaccine, President Biden is starting us down a slippery slope which could result in other patents being waived or challenged leading us to a much larger problem. It is a dangerous precedent to set.
Sen. Richard Burr (R-N.C.) recently commented on the patent waiver saying, “Intellectual property protections are part of the reason we have these life-saving products. If these protections are not in place for innovators of life-saving medicines, we will not have them for the next pandemic. It’s that simple,” and he’s right.
Pharmaceutical innovation has saved countless lives and allows us to live longer and have a better quality of life. Instead of treating drug manufacturers like the villain, policymakers should be looking for ways to support and encourage their work. The COVID pandemic has illustrated just how important it is to our everyday life.
Big Pharma key to pandemic responses.
Gupta ’22 (Aastha; undergraduate student at UConn, working towards BS in Physiology and Neurobiology, journalist for the Daily Campus; “The Antihero: Why we need to trust ‘Big Pharma’”; 3-7-2022; Accessed 7-31-2024; https://dailycampus.com/2022/03/07/the-antihero-why-we-need-to-trust-big-pharma//-rr)
Trust is such a delicate thing and, unfortunately, not something that can be black and white. When we turn our attention to Big Pharma, we can see these complications. Distrust of Big Pharma, the name often given to the companies in the pharmaceutical industry and sometimes also the medical community, is not a foreign concept. Indeed, in a poll surveying 1,019 adults in the United States, it was found that less than 50% of Americans in each age group trusted the industry at least a fair amount. The name itself implies a power that incites anxiety and distrust. And yet, when it came to the COVID-19 pandemic, it was pharmaceutical companies such as Pfizer and Moderna that generated vaccines that may be one of the main contributors to one day returning to ‘normal.’
So, Big Pharma is good? Unfortunately, it’s not that simple. When we look at the current drug prices of insulin and the history of the opioid epidemic, it is blatantly apparent why we should not trust the proprietors within the industry. Like any industry, pharmaceutical companies work on the basis of competition and the driving force behind many economic principles: generating profit. But when lives are involved, competition can become more than just something that may cause a loss of money — it can cause loss of life. Let’s observe the case with insulin, a ‘biologic’ drug that is necessary for those with diabetes. With only a few manufacturers producing insulin, prices have risen dramatically and forced many people who are unable to pay for insulin to ration insulin — a practice that can be fatal for those with diabetes. There is a similar trend of atrocious realities in the opioid epidemic. When many opioids were first marketed to hospitals, their addictive properties were not included. Instead, pharmaceutical companies pushed doctors to prescribe the pain killers. The fatal results of that are seen now, with nearly 1.6 million individuals affected by opioid use and nearly 70,630 deaths from opioid overdose in 2019. And this is simply scratching the surface.
Big Pharma has worked hard over the last few decades to make healthcare, something people cannot live without, as expensive as possible, leading to people losing their life savings in order to stay alive. In order for the system to be corrected, a lot of action needs to be taken to change how companies are allowed to price their goods. Photo by Pixabay from Pexels.
So, how can we ever trust this industry again? Well, there are multiple paths. One can be found by looking back at rising insulin prices. Though change has been called for many years, things are starting to look up as some states are placing caps on insulin copays and the generation of the Build Back Better bill that would cap insulin prices across the U.S. Government intervention has the power to play a hand in regulating the effect of capitalism on the pharmaceutical industry. Moreover, similar to when tobacco companies were indicted in the 1980s for their role in tobacco-related deaths, companies with a hand in the opioid epidemic must suffer consequences. Research and development of drugs is heavily regulated and takes a very long time — this same attention should be paid to the advertising strategies

Preview shortened. Download the file for the full document.