Prescription drugs ads are banned in every industrialized country except New Zealand and the USA. Most countries have some form of Universal medical coverage, which keep cost from soaring. The FDA changed this in 1997 when they allowed prescription drug advertising in the USA.
Several panel of experts have studied the effect of prescription drug ads on consumers and whether they are effective in educating the public. All but one panel decided that commercial ads of prescription drugs were in fact harmful and either should be banned or restricted. One lone dissenter claimed that TV ads for prescription drugs educate or empower the public.
This premise was disputed by all and they cited that people in countries who banned prescription drug ads are better educated about matters of health, excluding Americans. The general consensus of the panel was that drug ads, especially TV commercials tend to create a pill popping public rather than health conscious citizens. Patients demand advertised drugs from their doctors, Big Pharma’s annual advertising budget had doubled the FDA’s budget.
The cost of advertising is included in price of prescription drugs. But the Big Pharma insist that their high advertising budgets create more sales thus enabling prices to drop.
A recent study seems to disprove that assertion, The Centre for Health Services and Policy Research at the University of British Columbia studied the connection between advertising and product costs. Their study which was published in the Archives of Internal Medicine concluded that product costs went up, yet there was no increase in sales to help lower costs. The study concluded that pharmaceutical advertising expenses contribute to the soaring costs of medical care while encouraging the public to pop pills for every symptom imaginable.
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