Positive And Negative Externality Of Prescription Drugs

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If the importation of prescription drugs becomes legally acceptable some positive and negative externalities will be creates. A positive externality is that the market prices would come down because the companies creating the prescription drugs will then have to compete with other companies across the world. This would then create lower prices for the consumers and those that do not traditionally buy medications like people who are not always sick. The public good in this is that people who do not work and live off of welfare and other such programs can get medications for much cheaper. With the positives comes the negatives, though and the negative externality of this is that the market in the United States could completely go away altogether
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