Advances in medical science have extended and improved our lives
enormously and we are on the verge of new breakthroughs that will
make things even better – provided we can pay for it. One
unintended consequence of so-called healthcare reform is that the
potential profits that spur so many of these advances may just dry
up.
Advances in medical science have extended and improved our lives enormously and we are on the verge of new breakthroughs that will make things even better – provided we can pay for it. One unintended consequence of so-called healthcare reform is that the potential profits that spur so many of these advances may just dry up. If that happens, the risky R&D funding and the entrepreneurial spirit that has been a hallmark of this amazing industry will dry up too and we will likely regret it.
The recent debate has made us all aware that healthcare spending equals about 17 percent, or one- sixth, of the nation’s GDP, but somehow that has left the incorrect impression that all the money has been wasted; far from it. How do you value of our longer, more productive lives and better health? What are they worth?
I enjoy watching science documentaries focused on the prevention and treatment of genetic problems, diseases and the deleterious effects of aging. This includes stem cell research, nanotechnology, gene therapy and new drugs. I’m a diabetic, a disease prevalent on my father’s side of the family, so I’m especially interested in the prevention and treatment of diabetes.
A recent NOVA Science Now episode featured a nanorobot that could move around inside the eye and deliver a tiny dose of medication precisely where needed on the retina. The nanorobot was steered and propelled by a powerful external magnetic field. The whole thing was fascinating, but then it hit me; this is going to be expensive and someone will have to pay if it’s to become widely available.
In the past, before the regulators and lawyers were heavily involved, advances in medicine came relatively cheaply, but no more. Three years ago, the cost of developing a new drug in the United States varied from $800 million to $2 billion per drug, according to a U.S. Department of State publication, “Focus on Intellectual Property Rights.” Not every drug tested gains approval. It’s very difficult to specify a success rate because drugs may drop out of the trials in any phase and statistics vary depending on many things; however, it’s always a very expensive proposition.
The State Department article went on to note that although some of the work may be based on medical theories developed through university and publicly funded research but “private industry undertakes or funds virtually all discovery and development of new medicines.” The discovery and development of a new medicine usually takes 12 to 15 years.
Several years ago, a long series of treatments involving massive doses of antibiotics saved my left leg, which became infected during field evaluations of a work site. Without the drugs, I was facing amputation. Saving my leg made my life easier – and probably longer. I eventually returned to work and continued to pay income taxes, Social Security and Medicare taxes. We have two friends undergoing chemotherapy; one is a senior citizen, the other a young mother and my wife recently had several CT scans. In some cases these procedures were paid for by Medicare, some by private insurance and some were paid out-of-pocket, but the combination was enough to make the treatments economically worth developing and available.
Some of the proposals to cut healthcare costs such as the one to reduce the patent rights for brand-name biologic drugs from 12 to seven years may end up being self-defeating for healthcare and the economy. If the brilliant and creative minds of the private market abandon the healthcare industry due to government takeover, we will be much the worse for it.
Marty Richman is a Hollister resident.
