Health Industry Buys Its Way Through Government
Posted on: Sunday, 18 September 2005, 03:01 CDT
The pharmaceutical and health product industries spent more than $800 million in federal lobbying and campaign donations at the federal and state levels in the past seven years, according to an investigation by the Center for Public Integrity.
Most of the political spending went to bankrolling about 3,000 lobbyists who promote the industries' interests in Congress, the FDA, and the Department of Health and Human Services. (There are more medical lobbyists than there are members of Congress.) About one-third of these-lobbyists are former federal officials. (Ralph Nader referred to this years ago as a "revolving door" between government and industry.)
What did the pharmaceutical and health products companies get in return? To give just one example: A more industry-friendly regulatory policy at the FDA. However, the biggest benefit, some say outright gift, went to the pharmaceutical industry in 2003 when President George W. Bush signed the perversely named Medicare Modernization Act of 2003. The result is a taxpayerfunded prescription drug "benefit" for people over age 65 that goes into effect in 2006. Not only does this Act bar the government from negotiating discounts for Medicare enrollees, but it also increases the already unconscionable profits of the pharmaceutical industry.
The Center for Public Integrity cites a study by Boston University professors Alan Sager and Deborah Socolar who estimate that 61% of the taxpayer money spent on prescription drugs, as a result of this Act, will become profit for the drug companies.
The drug industry also has a strong influence over U.S. trade policy. The Center for Public Integrity notes that current drafts of the Dominican Republic-Central American Free Trade Agreement reflect the industry's desire to remove price controls on drugs and to enforce prolonged patent protection which, in turn, increases profits for drug makers.
For more information
Read the report at www.publicintegrity.org
Copyright Center for Medical Consumers Aug 2005
Source: HealthFacts
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