Hillary Clinton is calling on the manufacturer of EpiPens to immediately reduce the cost of the device as an uproar builds over the recent price hike for the emergency allergy treatment.
“Since there is no apparent justification in this case, I am calling on Mylan to immediately reduce the price of EpiPens,” Clinton said in a statement.
Clinton denounced the 400 percent increase in the cost of the device, which treats serious allergic reactions, in recent years.
“That's outrageous — and it's just the latest troubling example of a company taking advantage of its consumers,” Clinton said. “I believe that our pharmaceutical and biotech industries can be an incredible source of American innovation, giving us revolutionary treatments for debilitating diseases. But it's wrong when drug companies put profits ahead of patients, raising prices without justifying the value behind them. “
Clinton has made fighting high drug prices, and calling out pharmaceutical companies, a major part of her campaign.
This argument by Clinton is a classic socialist argument. It is one that very easily could have been made by the father of Marxist/Progressivism, Karl Marx. Like Hillary, Marx would make that classic emotional argument, people over profits. Marx made the same argument that Hillary is making and that is that value should be determined by some method other than the market. In this case, Hillary is calling for the central planning by the government to determine value. Marx argued that value should always be based on the “Labor Theory of Value” or the value of the product is a direct function of the amount of labor it took to make that product.
Under this type of understanding, prices are endogenous, an aspect of the thing itself, reflecting the material and labor it took to make the thing. In the capitalist world, value is a function of what is it worth to whom, at what time, in what context, and in relation to other similar products. If what you want and or need is desired by everybody else, but the supply is very limited, then the value of the product has escalated based simply on supply and demand.
The Socialist will argue that this is a cruel system and is unfair to the “little guy.” The Socialist will argue that the way to fix what they see as a problem, is by Central Planning with a Central Planner determining the value and thus the cost of the product. In fact, this has proven to be the cruelest of all systems. The result of this system, and it has been tried many times, is the exact result we are seeing in Cuba and Venezuela today. The result of this Socialist system has been that only those in power have anything and everybody else has nothing.
The Central Planner has historically missed planned. He has called for the overproduction of goods that nobody wants and is unwilling to pay what is demanded, and has under produced what is needed and wanted. The Central Planner uses his own subjective criteria to make the determination of what is and what is not to be produced based on his own prejudices and the state’s political correctness criteria. This has always proven to be incorrect.
Allowing the market to determine the value of a product, engineers a system of production based on the tried and true system of economics, supply and demand. When a product can be produced for a considerable cost below its market value, the market, putting profit before people, will produce more of that product to eliminate what the Socialist claims is a problem against mankind.
What history has proven is that the profit before people brings about an efficient market. Over production and under production scenarios are quickly solved. Value is determined by the market and not by a Central Planner. Products of necessity and products of want are on store shelves and available to the public. This is in stark contrast to the situation in socialist Cuba and Venezuela today, or the Soviet Bloc several years ago, where Central Planners dictate, based on subjective and political correctness, what is to be produced and what the value will be.
Hillary is a true Socialist as exemplified by this statement that will be praised by Marxist/Progressives, Liberals, Republicans, Libertarians, Conservatives, and Americans who have no understanding. The statement will be praised, and sadly those doing the praising have no idea of the true implications of such a Socialist and damaging proposal.