Generate text that refutes this claim: Production of generic drugs reduce medical costs by allowing increased production and the development of superior production methods, increasing market efficiency  The sale of generic drugs invariably reduces costs to consumers. This is due to two reasons. It may be the case that an individual or firm with a patent, essentially a monopoly right to the production of something, may not have the ability to efficiently go about meeting demand for it. Patents slow, or even stop the dissemination of the production methods, especially when a patent-holder is unwilling to license production to others1. Such an outcome is deleterious to society, as with no restrictions on drug production an efficient producer, or producers, will emerge to meet the needs of the public, producing an amount of drugs commensurate with demand, and thus equilibrating market price with that demand2. This market equilibration is impossible under conventional patent laws, as it is in the interest of firms to withhold production and to engage in monopolist rent-seeking from consumers3. This leads firms to deliberately under-produce, which they have been shown to do in many cases, as for example the case of Miacalcic, a drug used to treat Paget's Disease, in which its producer deliberately kept production down in order to keep prices high4. When a firm is given monopoly power over a drug it has the ability to abuse it, and history shows that is what they are wont to do. By allowing the production of generic drugs, this monopoly power is broken and people can get the drugs they need at costs that are not marked far above their free market value.  1 Kinsella, Stephan. 2010. "Patents Kill: Compulsory Licenses and Genzyme's Life-Saving Drug". Mises Institute. Available: 2Stim, Rishand. 2006. Profit from Your Idea: How to Make Smart Licensing Decisions. Berkeley: Nolo. 3 Lee, Timothy. 2007. "Patent Rent-Seeking". Cato at Liberty. Available: 4 Flanders Today. 2010. "Big Pharma Denies Strategic Shortages". Flanders Today.
disease health general house would allow production generic drugs
Allowing the production of generic drugs will only increase production of drugs currently on the market. Without the profit incentive that patents provide, pharmaceutical companies will not invest in the expensive process of developing new drugs in the first place. It is a necessary trade-off, as patents are essential to incentivize innovation. Furthermore, many states have mandatory licensing laws in states requiring companies to license the rights to the production of drugs so as not to precipitate shortages.