Could Canada's Compulsory Rx Licensing Work in the U.S.?

By Conlan, Michael F. | Drug Topics, August 16, 1993 | Go to article overview

Could Canada's Compulsory Rx Licensing Work in the U.S.?


Conlan, Michael F., Drug Topics


For several years, some U.S. policymakers and patients have looked enviously at Canada's lower prescription drug prices. Last fall, a study by the U.S. General Accounting Office found U.S. prices were about one-third higher. The healthcare reform task force under Hillary Clinton specifically examined the Canadian regulatory system, and there is speculation that when the Administration's plan is unveiled, it will have either standby or short-term price controls.

Legislation has been introduced in Congress that would create a U.S. version of Canada's Patented Medicines Price Review Board (PMPRB), a regulatory panel created in 1987 and often cited in the United States as the reason for Canada's low prices.

But newer studies of the effects of changes in Canada's patent laws--some the result of U.S. pressure to make them more like those in America--suggest that the era of low drug prices north of the border may be drawing to a close.

Out of balance: "What we now have in Canada is a pharmaceutical system that is out of balance," Jack Kay, chairman of the Canadian Drug Manufacturers Association, a group of 18 generic drug firms, told a Senate staff seminar in Washington, D.C., last month. Kay cited estimates that Canadians will pay an additional $7.2 billion (Canadian) over the next 17 years as a result of the changes. Kay maintained that the PMPRB has been ineffective, and the board itself conceded that Canada, which has a national health-care system, now has among the highest new drug prices of eight Western industrialized nations studied. Canada's prices were the highest for 42 of 177 new drugs compared and second highest for 35 more, a PMPRB report released last winter said.

Canada enjoyed low drug prices in the 1970s and 1980s largely as a result of a healthy generic drug industry operating under rules significantly different from those in the United States.

Most important was a system known as "compulsory licensing." It permitted generic companies to manufacture medicines still under patent in exchange for 4% government-set royalty payments to the patent holder. At the same time, the Canadian provinces began instituting drug benefit programs that, at a minimum, covered the poor and elderly. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited article

Could Canada's Compulsory Rx Licensing Work in the U.S.?
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this article
  • Highlights & Notes
  • Citations
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.