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Global Access To University-Derived Medicines

Nicholas Stine writes, "Universities should make their patented biomedical innovations accessible to those in poor countries, according to a consensus statement signed by dozens of international global health leaders. Universities Allied for Essential Medicines, a student group active at over 30 universities in North America, drafted the Philadelphia Consensus Statement urging universities to adopt licensing policies that would facilitate access to all university-derived medicines in developing countries. Notable signatories include 28 non-governmental organizations, four Nobel laureates, Justice Edwin Cameron of the South African Supreme Court of Appeal, Jeffrey Sachs of the Earth Institute at Columbia University, and Paul Farmer, co-founder of Partners in Health."

31 of 154 comments (clear)

  1. This is a horrible idea! by Salvance · · Score: 3, Insightful

    The problem is that the Universities are not the ones manufacturing these life saving medicines and processes, it's the drug companies. Asking Universities to provide access to their discoveries would reduce the value of their discoveries on the open market (since there'd now be multiple companies licensed to sell the product, one of which may not have needed to pay for the right). In such a scenario, what incentive does the research institute have to develop the drugs and medical devices other than government grants?

    The Consensus statement suggests that Universities should be "engaging with nontraditional partners, such as public-private partnerships or developing country institutions, creating new opportunities for drug development, and carving out neglected disease research exemptions in any university patents or licenses". So in other words, instead of selling their patents and discoveries to drug companies, they should be giving it away? What incentive would one of these "nontraditional partners" have to sell a $50 drug for $.05 when they could sell it on the black market for $5.00?

    Drugs will not solve the long term problems in developing countries, they'll just make them worse. Many of these countries do not have the natural resources to handle their populations. This lack of resources leads to many of the diseases that our drugs are supposed to fix (plus many other problems, such as the constant wars and corruption present in Africa). Sending them cheap drugs puts more strain on existing resources, since more people are able to survive in an area that can't support them. We need to attack the root cause of their problems: corruption, overpopulation, lack of education (particularly sex education), and sanitation. Once these are solved/improved, the need for access to new miracle drugs is greatly reduced.

    In short, the consortium is barking up the wrong tree. They should be trying to pursuade drug manufacturers to ship more reduced/free products to these third world countries. That would provide the benefits they are looking for, while not reducing the drug's value and risking future research investments. I'm not saying this is a great idea either, but it doesn't nearly the same negative impact as giving away the patent or production methods.

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    1. Re:This is a horrible idea! by Salvance · · Score: 4, Interesting

      If we did this, who would invest the Billions necessary to research and produce these drugs? You or I can likely live very happily without worrying too much about money, but corporations cannot create wealth out of thin air. In areas like software, I agree that most patents should be "free and open". In healthcare, patents are what enables drug companies to make enough money to invest in future drugs. Without protection that patents offer drug manufacturers, it is likely that private investment would dwindle to almost nothing, leaving our government (via higher taxes) to pick up the tab (unless you are suggesting we don't need any future drugs or medical devices ... which is an entirely different discussion).

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    2. Re:This is a horrible idea! by AuMatar · · Score: 5, Insightful

      Yup, all those university professors who studied for at least 10 years in order to be in a position to do medical research will become horribly disincentived. They're all going to quit and go work a McJob instead.

      Ok, now that you might be back to reality- if you're a university professor, your main motivation is not money. If it was, you would be in industry. Or more likely, gotten a law degree instead of a degree in medicine or microbiology. The people working these jobs aren't going to quit because they're suddenly not making a fortune. Hell, they weren't making a fortune anyway- the university was.

      The fact is that some things are more important than money (actually, I can't think of anything less important than money, but thats for another time). There are people dieing that don't need to, because they can't afford drugs which already exist. Not because its expensive/difficult to make the drug, but because patents prevent alternative manufacturers from doing so. This is not acceptable.

      Furthermore, this is university research. Over 95% of it is paid for with public money- money given to them by government grants. If the public is already paying for it, the public should have full benefits of the discovery. There is no excuse for taking my tax dollars for research, and then forcing me to pay Pheizer or Merks for the results of that research. All research at public universities or using government money should be public domain.

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    3. Re:This is a horrible idea! by Anonymous Coward · · Score: 2, Insightful

      A University with no funds will have no money, if it has no money it won't stay open, if it's not open it's not doing any research. Research is a major income for many Universities around the world. Nobody in their right mind is going to make an investment with no return (the return being a valuble patent).
      Exclaiming that all the patents should be free is a non-solution. It'll just make more problems. Get onto the drugs companies and get them to perhaps scale their pricing structure to allow poorer nations to get drugs.

      Unfortunatly Universities are businesses, quit trying to treat them like charities.

    4. Re:This is a horrible idea! by yali · · Score: 4, Insightful

      Actually, there is already quite a bit of public money invested in biomedical research. The NIH budget is about 28 billion dollars (one of the major reasons why the U.S. is a world research leader, by the way).

      Currently, universities are encouraged to patent innovations created with federal funding and make money off those patents, thanks to the Bayh-Dole Act. This statement calls on universities to open up their patents when doing so could help the developing world. It does not appear to call for any changes in how public money is spent -- only in what is done with the products of that public investment.

    5. Re:This is a horrible idea! by bhalter80 · · Score: 5, Insightful

      Personally I feel that universities should be free to patent at will but they should be required to disclose the percentage of the research that was funded form public grants and that percentage of any profit derrived from the patent should be given back to the grant giving agency to fund future research. This way the cycle becomes self feeding. This way there is no conflict of ownership between research that is funded both publicly and privately the university gets to continue to recieve grants and do more research and increase their fame while attracting more distinguished faculty.

    6. Re:This is a horrible idea! by FhnuZoag · · Score: 2, Insightful

      I wish there is a way to tag this article 'the comments in this thread reduce my faith in humanity'.

      For crying out loud, no one's robbing anyone. It's not like third world countries are a massive component of profits. Even if we tax to pay for this, i.e. tax to directly incentivise medical research, this is scarcely going to cut into your hamburger budgets.

      Nobody chooses where they are born. Screw whether poor people 'deserve it', and start asking yourself what is the human thing to do.

    7. Re:This is a horrible idea! by yali · · Score: 2, Insightful

      Parent said "Asking Universities to provide access to their discoveries would reduce the value of their discoveries on the open market..." and then: "They should be trying to pursuade drug manufacturers to ship more reduced/free products to these third world countries."

      Private industry is heavily dependent on licensing publicly funded discoveries from universities (search on the phrase "technology transfer" at any research-oriented university to see examples). Universities could include in those licenses the stipulation that drugs created from the patents be made available for free or low cost to developing countries. A carefully crafted stipulation in a licensing agreement would be unlikely to drastically reduce the market value of a discovery, since the drug companies would not have been making much money in those countries anyway.

      Sure, drug companies could voluntarily do that on their own, but a for-profit company is unlikely to voluntarily do anything that could imaginably restrict their profits, even if only by a small amount. Because of their nonprofit status and public service mission, universities are more likely to get the ball rolling.

    8. Re:This is a horrible idea! by Rich0 · · Score: 2, Insightful

      but a for-profit company is unlikely to voluntarily do anything that could imaginably restrict their profits, even if only by a small amount.

      I agree that putting a clause as you suggest in the licensing agreement probably wouldn't lower the value of the agreement to a pharma company. However, I disagree that companies won't do ANYTHING voluntarily that would restrict their profits. Most major pharma outfits sell products in the 3rd world for little to no profit - and often at a loss. In part this is to avoid the creation of a 3rd-world black market that could trickle back into the 1st world. Also, in part this helps big pharma outfits to recruit top researchers who care about such things.

    9. Re:This is a horrible idea! by yali · · Score: 3, Insightful

      Although this sounds like a good idea, I don't think it would actually help. The major argument for the Bayh-Dole Act is that it gives universities an incentive to move patented discoveries into the applied realm where they may do some good; otherwise the patents languish underutilized. A major argument against it is that federally funded research ought to be in the public domain. Your plan would create the worst of both worlds: federally funded research would be protected by patents but never get turned into useful products.

      Besides, most universities reinvest a large portion of their licensing money into research anyway, so the cycle is largely self-feeding already.

    10. Re:This is a horrible idea! by Rich0 · · Score: 2, Interesting

      and that percentage of any profit derrived from the patent should be given back to the grant giving agency to fund future research,

      Ok, suppose some compound was discovered which showed some promise as a lead for a cure for cancer. It was 100% government funded. Are you suggesting that 100% of any profits made from the compound be surrendered to the government? Nobody would manufacture it even if every single step of the drug R&D process was completely paid for - even if the pills cost 5 cents to make and sold for $500 dollars you couldn't make a cent from it.

      The reality is that when an academic group gets a lead on a possible therapeutic advance, it is often just a proof-of-concept idea, or maybe the discovery of a new pathway or enzyme that might be a target. Sure, this is of tremendous value to discovering a cure for some disease, but much work must be done to actually come up with a drug. Even if a compound cures cancer in mice it will most likely turn out to not work in people, or if it does work it will probably only work with a limited amount of efficacy and only after a lot of tinkering. Once you actually have a decent candidate you can then go ahead and spend a few hundred million dollars to do a clinical trial to find out if it even works.

      So, even if you're "just given" the cure for cancer that "freebie" ends up costing you at least a few hudred million dollars (especially if you include the number of other "freebies" that you spent good money on and which didn't pan out). Now you can go ahead and start selling your product, except that since the university that gave the concept to you also gave it to 15 other companies you're in competition right out of the gate. Now, those other 15 companies were a lot smarter - they didn't send a dime on the drug - they just waited to see what the outcome of the clinical trials were. They immediately start selling pills for 20 cents each and make a killing, while the company with hundreds of millions in sunk costs just loses its investment.

      If you want to have private industry develop drugs, then you need to reward companies that innovate and spend money on R&D, as opposed to companies that just sit around to reap the rewards of work done by others.

      Now, if you want to government fund the ENTIRE drug development process that might be feasible, and then you can just outsource the actual manufacture and get cheap drugs. But there are a few potential drawbacks with this system:

      1. You have a single budget for all drug R&D for the nation. That budget tends to get trimmed from time to time (just look at NASA).
      2. You don't have much accountability for how that drug R&D money is spent. Expect 50% of it to go to AIDS, of course. Expect about 40% to go to various bureaucrats/preferred-vendors/etc. Right now NIH doesn't have as much of this trouble because its budget is relatively small - when you make it equal to the pharma industry on top of what it does now it will become ripe for corruption.
      3. I'm assuming that all this is going to end up being done by the US government, since nobody else seems to do much drug development these days. So, US taxpayers are essentially paying for the world's drug R&D. I'm sure the EU will only be happy to take advantage of the US discoveries though.
      4. Scientists working on drug R&D won't get paid nearly as well as they do now, and pay will be based more on seniority than merit (typical govt practice). The best and brightest next generation of potential-scientists will find better things to do with their time.

      In any case, there is a simple way to try out government drug R&D without killing the pharma industry. Just create an agency to do the work, and start doing it. When an academic lab is taking bids on a patent the govt could bid and buy the rights for the public, and then develop the drug to completion. Industry would develop some drugs which would be sold under the current system, govt would develop drugs that would be very c

    11. Re:This is a horrible idea! by Vitriol+Angst · · Score: 2, Insightful

      What incentives to Drug companies have now?...

      as someone just said; 4 different ways to make your penis stiff.

      The placebos in the Cold Symptom isle at the drug store are part of a multi-billion dollar market. Couple this with the rise in spending on advertising and lobbying -- and we have a drug industry that already knows where profits lie.

      There is already technology, to reduce the length of time to create an immunization from the 12 to 15 months that the "injected egg" technique uses, to something like 3 months (I believe I read that on slashdot). Why isn't it being used? Because drug companies already sell immunizations as fast as they can -- even though they are usually so out of date a new flu variant has spawned. They wait for another manufacturer to make it cheaper or the government to subsidize.

      While I'm on my rant... I remember watching UCTV about stem cell research. While the hype and fictions were being dispelled (no magic bullet), an interesting graph about Cancer outcomes was put forth. Over the past 50 years, the survival's of Cancer patients has gone up 1% (down from 2% around the 1980's). I suspect new cancers are coming forward due to some environmental conditions ... but that can't be all of it. When you factor out better tests than only show cancer earlier, you realize that we have made almost NIL headway on this disease. Wow, Billions of $ towards a modern science -- it's a good thing we don't use mercury like the quacks of yester-year. No, we use modern chemo-therapy and radiation, impoverishing desperate families, with no discernible change in outcomes. I'm beginning to think that Faith healers are just saving us money.

      While there are some wonderful medical advances, I think that the machine is broken. Government money should only be subsidizing CURES, not treatments -- because there is no incentive for cures to Business. Not that I suspect a conspiracy, just that money goes to research based on market profitability. If the government ends up subsidizing that sort of research, it's only adding to profits on a balance sheet -- not promoting the public good.

      Take a good look at stem cell research for example. The research is still going on... just not publicly. I suspect, that Bush and the paid lobbyists, could care less about moral issues -- they may just not want public funded research that would allow many discoveries to be in the public domain. Stop funding stem-cell research, and it becomes a profitable patent. The Health Industry must want to preserve all the easy to get patents for themselves.

      I think we need to look again at what works and what doesn't. The concept of the free market achieving great things, without a strong vision in government forcing it too seems to be a wash.

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    12. Re:This is a horrible idea! by asuffield · · Score: 2, Insightful
      In such a scenario, what incentive does the research institute have to develop the drugs and medical devices other than government grants?


      The same that they have now - none. Drugs and medical devices are largely developed on government money, because there's no reason to spend your own money when the governments are willing to pay (both through grants, and through the welfare state).

      But hey, of course this company is entitled to kill millions in third world countries in order to maximise their return on your investment. Hence the patent-monopoly market.

      They should be trying to pursuade drug manufacturers to ship more reduced/free products to these third world countries.


      This will never happen, because the third world country would just ship them back again, undercutting the manufacturer's prices in richer countries. So long as these people have an unrestrained monopoly, the status quo will not change.
  2. And in other news... by PriyanPhoenix · · Score: 2, Insightful

    University funding plummets as drug companies refuse to allow others to reduce their profits by giving away the fruits of research for which they paid. Nice sentiment. Terrible idea.

    --
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    1. Re:And in other news... by Anonymous Coward · · Score: 5, Insightful

      Followed by drug development plummeting because the universities quit doing the research studies the drug companies used.

      Followed by everyone being wiped out by the flu, but at least they had 5 choices of drugs for making their dick hard until the very end.

  3. Fat Chance by swpod · · Score: 2, Insightful

    Some of these universities have made hundreds of millions of dollars in royalty payments from the pharma companies. You think they are going to give up that gravy train so that dark people won't suffer and die? Universities are run by classic Limousine Liberals -- all for social programs unless it hits *their* cash flow.

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  4. unfair by delirium+of+disorder · · Score: 2, Insightful

    Only about half of all medical research is privately funded, yet most new medicines end up being patented and owned by private companies. Shouldn't the people (US! the public!) who pay for the research be the ones who decide how it is used? In a democratic society, the people would actually own what they pay for and would choose to use it for the good of the worlds population. Too bad we live in a corporate oligarchy. We subsidize (or socialize if that's your bad word) the costs and risks of research, but we privatize the benefits so that only a few rich shareholders can profit while millions die of preventable diseases. We need a revolution.

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    1. Re:unfair by delirium+of+disorder · · Score: 3, Informative

      The NIH alone contributed 28% of medical research funds in 2005. There are other sources of state and federal funds. My statistical source for the roughly half number is from an article in Wired magazine (I couldn't find it online; do a lexus nexus search if your school or workplace will pay for it ;-)). It stated that government money previously provided for the majority of the funding for medical research, and government funding for health science has increased, but industry funding has increased faster, so now private funds account for just over half. Not for profit private foundations also provide some funding (I've seen 10% attributed to them). Whatever the exact numbers, it should be clear that the fruits of this research is excessively ending up in for profit hands.

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  5. Universities don't make drugs by Couch+Commander · · Score: 2, Informative

    Last time I checked, Universities don't make drugs. Doing the research on which a drug is based is the cheap/easy part. Taking a lead compound through development, animal testing, Phase 1, Phase 2, and Phase 3 Clinical Trials is the expensive/hard part. Univerities don't do the hard part. So sure, let them share all the drugs they've developed.

  6. This reminds me... by susano_otter · · Score: 3, Insightful

    This reminds me of my petition that everybody capable of contributing to the development of lifesaving drugs drop whatever their current career is--be it software developer, accountant, homemaker, whatever--and dedicate the rest of their lives to developing lifesaving medicines.

    Because, hey, if we can, then it's immoral not to.

    --

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  7. I guess the poor "deserve" everything now by frovingslosh · · Score: 3, Insightful

    So somehow as a taxpayer in the U.S.A. who funded that research I should still be charged outrageous skyrocketing prices if I need it, but somehow people in foregin countries somehow deserve it more than I do and should have it given to them? I might well accept an argument that public funded medical research should have certain restrictions put on it's prices, but those restrictions should start with saying that the taxpayers who funded it should be charged no more than others who did not fund it (including Canadians and Europeans), not allow the patent holders to charge even more locally to offset giving the stuff away to "the poor". Lets not even get into discussions of how such giveaways usually enrich a corrupt government and seldom get to the targeted people, it's not even relivant in this case.

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  8. Better Ideas by Doc+Ruby · · Score: 2, Insightful

    So what you're saying is that drug corporations should have to open up their IP, too. That their patents create artificial monopolies built on investments by the public, often from traditional development of material and techniques. That their corporate profits compete with the lives and health of the world that supports their corporations.

    Funny how you pronounced that as "all that essential science should stay in monopoly hands, away from the public good".

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  9. As A Taxpayer... by haute_sauce · · Score: 2, Insightful

    ...And by definition a funder of university drug research in SOME cases, I have a significant problem with this idea (that drug I pay to have created are forced to be sold cheaper somewhere else). And I am sure that should such silliness be attempted, a regulation preventing goverment funding will not be used in such a manner. and then you can kiss off university research !

    I do know that profits on patents held by universities alows them to retain the best talent, and therefore continue innovative and ground-breaking work. Everyone benefits, believe it or not.

    I am all for the common good, but not when 'student groups' decide that socialism is good for me and mine ! And I am sure that once thier folks or the taxpayers quit paying thier tuition, they will feel the same way. Remember the saying 'A liberal is a Conservative who has yet to be mugged'...

    1. Re:As A Taxpayer... by Mr2001 · · Score: 2, Informative
      I have a significant problem with this idea (that drug I pay to have created are forced to be sold cheaper somewhere else).

      But apparently you don't mind that the drugs you pay to have created are patented by someone else, huh? They take our money, use it to do research, and then keep the results for themselves. You and I and the rest of the taxpayers are getting screwed.

      I do know that profits on patents held by universities alows them to retain the best talent, and therefore continue innovative and ground-breaking work. Everyone benefits, believe it or not.

      Except, of course, for the people who can't afford some patented treatment because the lack of competition is keeping the price out of their reach. But who cares about them, right?

      Remember the saying 'A liberal is a Conservative who has yet to be mugged'...

      Don't forget the corollary, "A conservative is a liberal who has yet to fall on hard times."
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  10. Why shouldn't we get paid for our work? by xplenumx · · Score: 4, Insightful
    While I agree our main motivation is not money (if it was, we wouldn't have chosen science), why shouldn't we get paid money. We got paid nothing during our five years of graduate school. We got paid nothing during our five year-year post-doc. We certainly don't get rich running a lab. Why shouldn't we make money off of something we spent years of our lives working on?

    What I don't understand is why it's okay for people to go into just about every other career for the money, but if someone in science decides to make a buck they're evil. I made ~16k per year while a graduate student. My friends who went into business made ~60k out of college. Five years later I made ~40k as a post-doc (on the high-end of the salary scale). My friends were up to 100k. As an Assistant Professor I make ~70k (on the high end). All of my friends from college make over 100k, and most make over 150k. My work isn't easier either. I put in a minimum of 60 hours per week, and when writing grants I often put in 80+ hours. My friends who are making over 100k per year - a 'tough week' is one where they work over 50 hours. If a scientist put in the blood, sweat, and tears to produce a patent that actually produces money (most don't), then all the more power to them. And people wonder why the younger (American) generation aren't interested in a career in science.

    1. Re:Why shouldn't we get paid for our work? by JanneM · · Score: 2, Insightful

      We got paid nothing during our five years of graduate school. We got paid nothing during our five year-year post-doc. We certainly don't get rich running a lab. Why shouldn't we make money off of something we spent years of our lives working on?

      Last time I looked (like on my monthly statement), a post-doc is a salaried position, and pretty well paid too.

      In Sweden, doctoral students are paid a real salary, since, after all, they are doing research and teaching. The salary isn't all that high - they're doing it under close supervision after all - but certainly livable.

      For all the kvetching, a researcher in the sciences is not poor. Please take a comparison to most normal jobs. And if you want to make lots of money instead, why not just go into industry then?

      --
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    2. Re:Why shouldn't we get paid for our work? by Greg_D · · Score: 4, Insightful

      Perhaps you don't deserve the big bucks from patents because you're working for a huge employer, and very few employees who work for huge employers ever get rich off of the product they've spent years of their lives working on.

      We paid you, we supported your research, we should own the result. If you want to own the result, then feel free to go start up your own lab and look for the venture capital to fund your research just like every other person who wants to strike out into business for themselves. You knew when you entered academia that it was a cushy job with a nice pension (wouldn't want to forget that since they're virtually non-existent in the private sector). You're getting a better deal than virtually every private sector peon gets, so quit your whining.

  11. Leech! by Anonymous Coward · · Score: 3, Insightful

    Because your funding is coming from the Government, not from yourself!!!

    I REALLY resent all of the University profs who get their money from Government grants, patent something, make a ton of money, and NONE of it goes back to the Taxpayer. You're basically getting fat off of the backs of the average citizen.

    It used to be that Profs did research for the enjoyment of it, and they shared their research far more willingly. That's all changed since Academia bribed Congress into one of the biggest giveaways in the history of America. And quite frankly, innovation has taken a serious nose dive.

    This is just Academic welfare.

  12. So basically... by PhysicsPhil · · Score: 3, Interesting

    ...everybody signed the declaration except the actual people doing and paying for the drug research.

    In other news, Slashdot readers signed a petition for free computers while drivers signed another for free gas.

  13. Re:Supply and Demand at work by Compuser · · Score: 2, Insightful

    This was true up to a certain point in time. What has happened in the last twenty or so years is that funding for science has plunged relative to the overall research needs.
    What used to be:
    People got a PhD or MD and went on to do research. People used to get tenure either when they were hired or shortly thereafter.
    Abundant funding and early starting times made it possible for people to enjoy doing science in their most productive years.

    What is there now:
    5-10 year postdocs when you get paid next to nothing (yeah, a bit above grad student but nowhere near enough to buy a house), then 5-6 years of tenure-track when you cannot make a misstep or else you are out. Assistant professors cannot do high risk research because it's now a publish or perish world quite literally. Once you get tenure, those that become big shots do have spare funds to do interesting research but get little time to do it themselves (the fun part). They end up managing huge numbers of people and become managers. Everyone else struggles for money, most often so much they have no time to spend in the lab anyway.

    So current generation of scientists is increasingly bitter and feels like the system is using them without letting us do what we signed up for: explore. People do feel that using the system to their own benefit is only fair. Some feel that current system has got so bad that they have no obligation to it whatsoever, hence deterioration of research ethics (the end of the world scenario if you ask me but I see where it comes from).

    Current system underpays scientists greatly, either in terms of direct compensation or by underfunding our research efforts turning us into grant writing machines rather than scientists. In your terms, we have few financial perks, but the nonfinancial have also largely disappeared. In short, don't be surprised that people are less and less willing "to put up with reduced economics".

  14. Re:No, they just won't be able to pay for the by Znork · · Score: 2, Informative

    Activists such as these (and everyone else who complains about drug prices) just needs to get over the fact that SCIENCE IS EXPENSIVE, and that someone has to pay for it."

    Sure, I'll get over it the day the pharmaceuticals are actually spending their money on research.

    You do realize that not even 20% of the pharm money is spent on R&D, right? Go take a look at any public pharmcorps financial reports.

    You do realize that means we could get _five_ times the current amount of R&D if we scrapped patents and just outright _paid_ for the R&D? Or the same level we have today, for a fifth of the cost?

    So, tell me again, why are we publically financing expensive marketing campaigns and protected pharmcorp beurocracies?