We all know that the makers of the Epipen have increased their prices, and despite being met with widespread outrage, they’re definitely making more profit. So how is it possible that they are making even more in compounding tax benefits?
[:22] Capitalism generally establishes equilibrium prices between knowledgeable buyers and willing sellers.
[:38] Sometimes the equilibrium breaks down and prices soar, particularly in the pharmaceutical industry.
[:51] A parasite drug and the Epipen have both seen extreme price raises.
[2:34] More money for the drug companies doesn’t necessarily mean more money for the IRS.
[4:38] One company made far more in compounding tax benefits than they did in operating profit.
[4:55] Call Financial Gravity when you’re ready to stop wasting money on taxes that you don’t have to pay.