The Rising Influence of Rising Affluence

[DewDiligence]

China rescinds price controls on wide array of drugs;

http://online.wsj.com/news/articles/SB10001424052702304655304579548933340544044

Price caps will be lifted for 280 medicines made by Western drug companies and 250 Chinese patent drugs, the National Development and Reform Commission, China's economic planning body, said in a statement Thursday.

…The pricing reversal comes as some manufacturers—aiming to meet low-cost standards—cut corners on production, exposing consumers to safety risks, said Helen Chen, a Shanghai-based partner and director of L.E.K. Consulting. medication. "It means the Commission recognizes that forcing prices down and focusing purely on price does sacrifice drug safety, quality and availability," said Ms. Chen.

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