Keep these trends in the back of your mind

It is easy to get distracted with today’s news, where “he said what about that” gets way too much press. Here are few other trends that we should keep in the back of our minds. Some are more pressing than others:

  • Drug companies make money by inventing a recurring need and marketing a drug you need to take the rest of your life. Mind you, there are plenty of good reasons to invent new drugs to help, but there are a series of runaway trains being advertised daily. One trend I noticed is the “add-on” drug. What I mean by this is you may be taking a recurring drug for a condition that works just fine. But, the company or even another company comes up with a supplemental drug that makes that drug a little better. Or, in the case of opioids causing constipation, there is a drug to help you with that. Suggestion: Speak with your doctor and do some research.
  • Your data will never be fully protected and safe online. We should do everything in our power to limit what is out there, but hackers are way too sophisticated and diligent. I applaud the security folks greatly, as they are tasked with a hard job. And, as I mentioned in an earlier blog, some apps like Facebook make money selling access to your information. Unless they change that model, your data will be exposed. Suggestion: Know what data you have out there and decide if you want to limit any of it. Do not use wi-fi in public places to do sensitive financial transactions (banking, credit cards, etc.). A security person said using a hotel’s wi-fi is like picking up a croissant off the floor and eating it. Change your passwords every so often, but make sure you can remember them.
  • Bottled water is a threat to our environment and your wallet. There are floating islands of plastic in the ocean as big as some states. If you must buy water, then recycle. Then there is that cost thing. Much cheaper is buying a filtered water pitcher and keeping it filled in the refrigerator. Some major named water sellers simple use purified tap water with additives. So, why not cut out the middle man. Suggestion: Check out how much you spend on bottled water or even soft drinks each month. Filtered refrigerated water (either from your door or pitcher) will save you money and the environment. Plus, if you reduce the number of soft drinks by drinking water, it will do the above, plus improve your health.
  • An authoritarian type leader tends to use a lot of false bravado. It is my view that the amount of bravado is highly correlated with the amount of lying. Think Trump, al Assad, Putin, Kim, Duterte, Maduro, etc. Suggestion:  Take everything said by these people with a grain of salt. I assume their comments are untrue and work back from there. Plus, do your homework and don’t be made out to be a fool. As Mark Twain said, “It is easier to fool someone than to convince them he has been fooled.”
  • Speaking of correlation, larger family sizes are highly correlated with a propensity toward poverty (this one is not just my impression). I read again this morning the solution to poverty is smaller family sizes, yet the source also denies the need for family planning funding. Another variation is there are too many single parent families. Again, family planning helps, but also marriage counseling with 1/2 of marriages ending in divorce. Suggestion: We need to avoid stating obvious problems as if that statement will solve them. We must do something about the problems. Data reveals states that have robust family planning funding have fewer unwanted pregnancies, fewer healthcare costs, fewer STDs and less poverty.

What are some trends you are seeing? Please offer a suggestion as well.

A high price for profit making in the legal drug business

I don’t think it will surprise many people that our pharmaceutical companies are out to make a sustainable profit. You can glean this quite easily from the many commercials on TV and the internet around creating a new disease, so that a drug can be prescribed to remedy it. The key catch for them is they want you to take this drug for the rest of your life. As a business person, I understand all of this, but there is a concern beyond this modus operandi, which is highlighted in the attached article. Antibiotics drug development is now being overlooked as it is not profitable. Why? The antibiotic cures what ails you in a reasonable short order.

http://www.streetinsider.com/Press+Releases/Antibiotics+are+a+Financial+Disaster%3B+CBCD+Proposes+a+Governmental+Agency+for+the+Development+of+New+Antibiotic+and+Antiviral+Drugs/8912338.html

From this article, a quote from an earlier study done in 2007 is referenced:

“Antibiotics have a lower relative rate of return on investment than do other drugs. Antibiotics are short course therapies that cure their target disease, and, therefore, are typically taken for no more than 2 weeks. In contrast, chronic diseases are treated with non-curative therapies that suppress symptoms and are required to be taken for the life of the patient. Ironically, antibiotics are victims of their own success; they are less desirable to drug companies and venture capitalists because they are more successful than other drugs.” This is according to a study published in the journal, Clinical Infectious Diseases which was reported on the news recently

The high price we pay, though, is far greater than the recurring costs of drugs we take to placate our real and exaggerated woes. The high price is the bad bacteria that can infest our bodies finds a way to become immune to the current arsenal of antibiotics. Remembering Jeff Goldblum’s character from the movie “Jurassic Park,” he said “nature finds a way.”  So, while we have always been vigilant about developing new strains of antibiotics, we must continue the fight or nature will find a way around our efforts. Yet, that is now challenged because there is more money to be made investing in drugs that customers need to take the rest of their lives.

I cannot think of a better example of a reason why we must have government investing with private industry for a common purpose. US history has been filled with successes of joint government/ private investment. In Thomas Friedman and Michael Mandelbaum’s book “That Used to be Us: How America fell behind in the World it Created and how it can come back,” they note the role government investment has played over time in our success leveraging private and venture capital dollars or where a business or industry could alone not support the infrastructure start-up costs. This lesson has been borrowed by others and yet we have some who are challenging this paradigm here. Those folks need to read Friedman and Mandelbaum’s book regarding how we got here.

For those who say let the markets be unfettered, the drug companies would continue down the path of investing in a greater ROI making drugs to sell recurringly. They make more money selling the various colored pills to a drug-friendly customer base. Yet, we have to co-invest in antibiotic drugs for the greater good. Some might argue, an enterprising company could develop and sell the antibiotics, yet the cost to the public for each dosage would be very high out of necessity. Plus, the process has to continue, as every time a new antibiotic is created, nature fights back. So, the company’s ROI would not stand up by itself for shareholders and needs incentive from a central source.

So, the idea championed in the attached article draws from our history and suggests government investment to make sure we have antibiotics that will keep us alive. This is one area where we do not want to go back in time, as preventable infections would no longer be preventable and many would die. This issue is very real and we need to heed the calls to action.