Today, I attended a presentation by an invited professor on institutional corruption
and off label drug use. He introduced the problem of misalignment of interest. Public
wants prescriptions that will solve their health issues. The pharmaceutical
industry wants to maximize profits.
In particular he discussed the problem of off-label drug
use. The idea is that the drug that was approved for indication A (indication
is kind of a fancy word for illness) is used for indication B. This is
obviously good for the pharmaceutical industry, because they can sell more.
More importantly, they do not need to conduct very expensive clinical trials.
However, this may not always be in the interest of the patient. It may be in
the interest of the patient. Just because there is no direct scientific
evidence for it, it does not mean that it is not effective.
Kind of interesting in this problem is the role and
interactions of say four independent bodies. First, there is the patient of
course that supposedly knows nothing. Second, there is the doctor prescribing
the medicine. Third, there is the manufacturer/distributor of the medicine
(pharmaceutical companies). Fourth, there is the medicine regulator – the government
agency/law (say FDA).
Suppose the patient was being prescribed something
off-label. This is the doctor’s judgement (and taking these meds are patient’s
judgement, but I assume here that they do as doctors say). The doctors are the final
decision makers in this model. Pharmaceutical companies can influence their
decision by advertisement and I guess some sort of more direct financial way.
By law, they are not able to directly promote their medication for off-label
use. However, they can indirectly promote their medication by providing
evidence from other bodies suggesting efficacy for off-label use. They may for
example fund independent parties to conduct such research.
The FDA has practically no role other than regulating the
initial approval and subsequent off-label advertisements. However, even after
paying these fines, it seems off-label advertisements can pay off. Once
off-label use becomes the norm, marketing is not needed.
Dr Rodwin proposed three things to address this problem:
First, that off-label use should be tracked. Currently, it
is difficult to manage or even understand the true implications of off-label
use (although he did cite some statistics). This can be done by restricting
reimbursements unless the purpose of the drug is provided.
Second, using this data, that if off-label use becomes a
problem, the pharmaceutical industry (by law) conducts clinical trials.
Third, to remove the incentive for promoting off-label use.
Only the on-label use should be earning them that patent premium. Using the
off-label use data, only the manufacturing cost is paid to the pharmaceutical
company and the remaining is taken back.
Overall, the proposal is very interesting. Obviously the
caveat is that it may find a lot of resistance from the pharmaceutical companies.
However, he believes that it is the same as with the implementation of previous
regulations such as full disclosure of ingredients. Apparently in the 1900s, some
new laws that potentially increased cost for the pharmaceutical companies have
been passed. He believes that this seem to be at first difficult, but
eventually become the norm.
Even aside from this caveat, some other profs in the room
seemed to disagree slightly. They argued that the phara industry faces larger
problems. For example, on-label use drugs may not be as safe as expected and
the fact that it is on-label provides false sense of security. Making small
adjustments makes new loop holes and fixes nothing. This was a very interesting
idea, but for now I will hold back on this and talk about my opinion of the
original claim.
I find that the proposal focuses too much on what the pharma
industry should do. He believes that they will do things as long as they can
make money. I like his general approach. He objectifies every entity and
simplifies the system into a game almost. Each has their own roles. In this
game, his role is to propose rules and regulations that will force the other
entities (pharmaceutical industries and others) to act in a way that would
benefit the patients. Although he has not formalized the system into a game
theory setup, I can easily see this happening.
Following this scheme, he seems to think that the pharma companies
have an upper hand over the doctors. His resolution involves only the pharma
companies and not much of the doctors (the first is about the doctors reporting
but he aims to incentivize this behaviour by blocking reimbursements unless the
information is present). I particularly disagree with the second proposal. I do
not understand why the pharmaceutical companies should pay to conduct such
research just because they are making money from it. What if they believe that
the research would result in a negative outcome? The clinical trial would seem
like a complete waste of money (and of course they would also be blocking subsequent
sales from this off-label use but let’s suppose they would rather NOT do
research but stop the doctors from prescribing –which they don’t even have the
ability to do!)
Ethically speaking, I think the doctors should be taking
more precaution. We just need better doctors… not ones that induce babies just
because they want to go home at 5pm -_- (not sure if this is true since I just
read it on reddit). But I think as a policy maker, it is more reasonable to
track the larger small numbered entities (ie. The pharma companies).
Back to the proposal, I think the off-label use incentive
idea is quite good. Companies should be paid premium (patent associated price) for
their on-label drug use only. That will motivate companies to acquire on-label
drug use status for more stuff. It’s not the drug that needs approval. It’s the
drug use. It’s like getting a patent for IDEA. It’s not the substance but the
substance that materializes the idea that matters. The patent should not be for
the drug but for the IDEA that the drug solves some problem.
There are just so many things I would like to change and I
find this interesting. What is theoretically reasonable and good? What can
actually be done about it?
At the end, who holds that power?