‘Free Pricing’ Of Vaccines Needs a Rethink — With Fair Regulation

“The new rules on ‘free pricing’ of vaccines are a potentially destructive half-reform. Here’s why”: Raghav Bahl

Half-knowledge, say the wise, is dangerous. Half-reform, say I, is equally destructive. Unfortunately, that’s what the government’s new vaccination regimen is — a ‘half-reform’.

On the plus side, scrapping an unviable price cap is spot on. This will allow manufacturers to get a productive ‘return on capital’ and is the only spur to new investments in enhancing capacity. No coercion or fiat will get entrepreneurs to put money on a losing proposition. Period.

But ‘free pricing’ is only a ‘half-reform’. Which is why, despite being the correct way to go, the government is encountering a tidal wave of criticism, for being ‘hasty’, ‘half-baked’, and ‘capitulating before big capital’.