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by snvzz 311 days ago
>They are incredibly expensive, costing $250,000 to $500,000 per year.

No way they cost that much to make.

Big pharma is out of control.

3 comments

The first dose costs billions to make, every dose after that might only cost a few cents. It all averages out.
From a study looking at cost-effectiveness of tafamidis:

> Orphan drugs enjoy substantial pricing power because there are few or no therapeutic competitors. As a result, discounts off the list price, if any, tend to be small. In a recent study of 50 patients receiving tafamidis, the mean (SD) cost of a 30-day supply was $23,485 ($2); the resulting annual cost of $281,820 is greater than the $225,000 list price we assumed. In fact, U.S. prices for specialty pharmaceuticals typically experience substantial year-on-year price increases during the period of market exclusivity.

I mean, we shouldn't be surprised what happens to prices when the law goes out of its way to create a monopoly.

https://pmc.ncbi.nlm.nih.gov/articles/PMC8170666/

You should've seen how unaffordable cars were 100 years ago.
The Ford Model T sold for $260 in 1925, which is $4,056 in 2021 dollars.

Prices were higher in 1922, and the Model T was basic and mass produced leading to a falling price.

Across the board, in 1922: https://www.1920-30.com/automobiles/1922-car-prices.html

To put a different perspective, the average American income in 1925 was $5,425. So buying a Model T (Touring) at that time would cost you 4.7% of your yearly salary.

In 2023-2024, the average car price was $48,274, and the median income was $80,610. It now costs a whopping 60% of your yearly salary.

> The Ford Model T sold for $260 in 1925, which is $4,056 in 2021 dollars.

I'm not sure I buy this conversion. It was targeting the middle classes (and on credit), and middle classes in 2025 could buy that cash. Working classes in 2025 could probably buy that cash, and definitely on credit.

The conversion isn't a hill I'd die on, it was sourced from a reddit economics thread as a bold assertion of fact:

https://old.reddit.com/r/AskEconomics/comments/q20fr4/the_fo...

The 1922 price list looks solid though, it's from a dedicated 1920s 'fan' site, but, again, I haven't personally verified or cross checked the numbers - it just seemed like an interesting bit of info to chase :)

You are missing the point, poster should have said 200 years ago. The point is that these treatments cost so much because they must be invented and tested. About 50% of that drug cost is the invention, 50% is the testing (in clinical trials) and .0000000001% is the cost to manufacture.
Why don't you make some and sell it for a mere 200k?
Because patents, despite publicly funded research.

Every damn time.