Thursday, August 14, 2014

FedEx Fights Government Overreach and Crony Captialism

Federal Express and the US Government are heading for an important legal showdown over the Obama Administration's efforts to hold the shipping company liabel for shipping illegal prescription drugs to its customers.  This story is important at many levels, but Wendy McIlroy focuses on the crony relationship between Big Pharma and Obama and the role attacking FedEx plays in maintaining that immoral relationship.  Here's an excerpt: 
The federal government began pressuring FedEx in 2012. At about the same time, Big Pharma’s price inflation became public, causing a scandal. ABC News reported on an Arizona woman who received an anti-venom drug for a scorpion sting. “The bill that arrived ... came out to $83,046, or $39,652” per vial, or “about 10 times what the hospital paid for each vial.” Even the $4,000 per vial charged to the hospital is outrageous. The article went on to note that the drug “costs about $100 per dose” in Mexico and the woman would have saved “$39,552 a dose if she had ordered the drug from a licensed Mexican pharmacy.” No wonder the federal government moved quickly to protect Big Pharma. Every time someone buys from an online source, they lose their monopoly rents.
Click here to read the article. [ht: Cafe Hayek]