We've seen enough cases now to see capitalism and highly inflexible demand not working. Should there be more regulation in these case? Not so if American companies have their way. A US company has taken the Canadian government to court over the government's regulator body forcing lower prices for a drug that treats two rare blood diseases. These drugs currently cost $700k/year....
A U.S. drug company is taking the Canadian government to court for its attempt to lower the price of what has been called the world's most expensive drug.
Alexion Pharmaceuticals has filed a motion in Federal Court, arguing that Canada's drug price watchdog has no authority to force the company to lower its price for Soliris.
- Amir Attaran, health law expert
The company says in the court documents that the price of Soliris has not changed since it went on the market about six years ago and that the price difference between the two countries reflects the difference in exchange rates between the U.S. and Canada.
http://www.cbc.ca/news/health/u-s-dr...drug-1.3242172
Another thing though that should have people worried. The TPP trade agreement being hashed out right now was previously attempting to kill regulator watchdogs abilities to do price regulation just like this. At least they were planning to slip a lot of provisions for this in back in June, they look they they are dropping it for now though there is no reason US lobby couldn't try to get it back in. That should have a lot of people worried if the current government goes through and approves this thing because how many other "hidden" lobby specific provisions are there?
http://www.nytimes.com/2015/06/11/bu...t-reveals.html
EDIT: On further reading the original TPP draft would have force a general regulatory scheme that would override this watchdog specifically. More on this on wikileaks...
https://wikileaks.org/tpp/healthcare/