Health Economics Issues - Essay Example

According to this article, pharmaceutical companies spend a lot of money on promotional talks. They have now turned to using medical providers to advertise their drugs. Thus, the report says that all of these companies have a financial relationship with doctors. For example, in 2013, Pfizer, AstraZeneca and Johnson & Johnson spent a total of $142,600, $111,200 AND $100,000 on doctors. They used this money to pay doctors whom they were working with. This explains why people like Dr Mare Cohen got $270,000 after being consulted by 6 companies.

The economic argument behind this report is that it is very important for the development of the health sector in the country. First, it can help in strengthening the relationship between the medics and pharmaceutical companies. Besides, it can help in motivating medical care providers. For instance, when they are used as consultants by these companies, they can get a lot of money in return. Lastly, it can help in restoring the confidence of the patients. By being diagnosed and treated by recognized consultants, they will feel proud and contented. Once their drugs are recommended by these doctors, they will readily accept to use them as prescribed.