Comment Re:Advertising drives up costs (Score 1) 64
Well, logically, every dollar they spend on advertising could be spent on research or simply not added to the price.
That assumes the amount of revenue generated by the product isn't affected by advertising, but in reality in the US (though the intersection of those two sets seems to keep shrinking every day) drug revenue is strongly tied to advertising. Ads get people to go to the doctor about a condition sooner rather than later, they also get people to refill prescriptions sooner rather than later. And those increases in revenue happen immediately. On the other hand money spent on early stage research today won't even begin to generate revenue during the current CEO's tenure, and so should be avoided if at all possible.