Quote:
Originally Posted by tfalk
The real cost of making the drug isn't the actual manufacturing of it. It's the cost of developing it in the first place as well as the trials, certifications and insurance for potential liability down the road. That's really what we are paying for...
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Well, yes. Lets take it even a step or so further. The real cost of a drug is not only the cost manufacturing it, it's the cost of developing it in the first place, certifications, etc. It's also the cost of trying to develop the 20 drugs before it that failed to show significant positive effects. It's the cost to market the drug, drug reps, advertising, etc. as well as the profit.
However, there are some drug companies that predominately manufacture generic drugs, who didn't have to do the research, patient trials, etc. They basically just set up shop and make them, and sell them.