"The excuse that the drug companies have always used -- and sometimes it is legitimate -- is that they have to fund research," said Ezekiel Emanuel, a bioethicist and Chair of the Department of Medical Ethics and Health Policy at the University of Pennsylvania. "It's a question of connecting the amount of research and the pricing, but there's no evidence that is the case here."
As for Shkreli's claim that the profits will fund future research and development for a new drug, Emanuel doesn't buy it.
"The reason is nothing more than this guy saw a hole in the market he could exploit," he said. "He’s a hedge fund guy, he's not a researcher. We don’t need another drug in this space, so it’s just garbage and he knows it." Cases where companies buy up generic drugs and jack up the prices with no additional research, though, are increasingly common, he added.