Question

15 Harvoni is a lifesaving medication for people with hepatitis C. A four -week supply averaged $32,114 for privately insured patients in the united states in 2015. In Switzerland, the price was $16,861. Why are the prices so different? Should the government intervene to reduce the price? How might the government intervene?

Answer 1

It can be mentioned that the health care costs in United States is very high and this is because of the fact that majority are actually operated by the private players where the administration costs and operating costs such as the cost of drugs, hospital staff etc actually very high and mostly private don't so that profit seeking would be the main initiative by them. The government should intervene in reducing the price because health care is indeed a basic necessity for an individual and if the healthcare means that only the rich could afford it is something that is not ethically correct that is the reason why the government must intervene in the reduction of the price and the methods by which the government can intervene include establishing price floors, making insurance compulsory, removing the patent rights after a limited time etc.