Europe's Drug Companies, Ctd

A reader writes:

It's a little bit of a stretch to attribute all the outcomes you list to price regulation. A lot of the change in where research is done is due to large pharmaceutical firms forming collaborations with small research intensive firms and biotech firms. The venture capital markets in the U.S. are better at supporting these types of firms. The European pharmaceutical firms relocate here to access that research.

Hmmm. And why do small biotech firms attract more investment money in the US? It couldn't have anything to do with potential major profits which alone make such investment worthwhile, could it? But when the government threatens to abscond with all our profits with price controls if you happen to strike lucky, you'd be sensible to invest that money somewhere else, wouldn't you? Yes, there are many factors involved in medical research. But the basic rule is: the more government regulates and controls and rations something, the more it kills the life-blood of creativity and progress. That's what the Democrats are threatening us with. It's good to know what's coming.