Government mandating of prices


06-Mar-2020 22:19

The problem here is that someone in Sacramento will see this and try to do the same—or maybe a County, like Santa Clara or Marin will do this.

“Vancouver, Canada, where real estate prices have been escalating sharply, has sought to temper housing demand by imposing a 15 percent on sales to foreign homes buyers.

The immediate response was stunning: Within a few months the price of a single-family property in the greater Vancouver area dropped 20 percent.” TAXES AND HOUSING PRICES By Richard Colman, California Political News and Views, 6/12/18 Anecdotal evidence coming from Silicon Valley goes like this: A family earning 0,000 a year may not be able to obtain a loan for a house.

Silicon Valley, which is about 40 miles south of San Francisco, is the home of many high-technology companies such as Apple, Facebook, Intel, and Google.

A 20 percent down payment on a million homes would be 0,000.

More housing means more overcrowded schools, more traffic, fewer parking spaces, and less open space.

Moreover, “[t]hird-party payment” is “a dominant feature of health care markets,” distinguishing them from the markets for other consumer goods. The impact of pharmaceutical prices and rates of utilization on the cost of the Medicare and Medicaid programs, and the Secretary’s mandate to minimize unreasonable program expenditures, provided the “nexus” between the Secretary’s responsibilities and the proposed regulation. Nevertheless, the cost of drugs and biologics to the federal government, Medicare beneficiaries, and State Medicaid programs had increased “at an alarming rate,” and in the Secretary’s view “DTC advertising without price transparency has a direct nexus to these trends of increasing price and utilization” ( the increased use of pharmaceuticals). In CMS’s view, “[p]rice transparency will help improve the efficiency of Medicare and Medicaid programs by reducing wasteful and abusive increases in drug and biological list prices.” It will incentivize manufacturers to reduce their list prices and provide consumers with information to help them play an “active and well informed” role “in their health care decision-making.” Id. The .2 billion pharmaceutical companies spent on television advertising in 2017 appeared to CMS to affect drug utilization; “consumers exposed to drug advertisements can exert sufficient pressure on their physicians to prescribe the advertised product.” Id. The mandated disclosure requirements applied to all advertisements on television, which the CMS defined to include broadcast, cable, streaming, and satellite transmission.



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