Adam Smith Institute

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One of those questions we feel we can answer

The Centers for Disease Control and Prevention has found that adult prescriptions for ADHD medication increased by 7.9% between 2020 and 2021, compared with a 1.4% average annual increase between 2016 and 2020. In 2021, doctors authorized in excess of 30m prescriptions for Adderall, serving nearly 4 million patients.

But over the past two years, many of patients have been unable to procure their prescription, due to manufacturing shortfalls. With the delta between demand and supply widening, some adults with diagnosed ADHD are forced to forsake CVS, Rite Aid, Walgreens and other drug retailers, and turn elsewhere.

So, we’ve a shortage of something that lots of people would like to have. While there are brand names here patents aren’t the problem. We thus need an explanation for why there’s that shortage of supply?

Hmm:

Every year, the DEA sets a quota — a limit on the amount of raw materials for many controlled substances, like Adderall. This is based in part on the Food and Drug Administration’s estimate of need for the drug. Controlled substances can be abused, and the DEA wants to make sure there isn’t more than the necessary amount out there.

Ah, there’s state planning involved. Well, that’s case closed then, isn’t it.

Now, we are willing to be corrected on this point but we don’t know of anything at all that has involved state planning which has produced a sufficient amount of whatever it was. Well, except when there was a glut as a result of subsidy that is.

Which does lead to an interesting question. Given that such state planning never - but really, never ever - leads to the correct amount of whatever being available then why are so many so keen on having state planning?