The Western Healthcare Crisis is a Ticking Time Bomb 💣

👀 3 minute read

Welcome to The Dose, the science newsletter that’s as comforting as the first sip of your morning coffee.

Here’s what we’ve got for you this week:

💣 The Western Healthcare Crisis is a Ticking Time Bomb

💊 The Weekly Dose

💰 How to Invest in Biotech for Beginners

CASE STUDY
💣 The Western Healthcare Crisis is a Ticking Time Bomb

The Western world’s healthcare systems have been the gold standard for decades. But cracks are showing.

Aging populations, more chronic illnesses, a workforce crisis and post-COVID burnout have created a perfect storm.

And it’s only getting worse.

According to WHO, the world’s short 7 million health workers right now, and if things don’t change, that shortage could hit 13 million by 2035.

France, for example, has fewer doctors than in 2012. Over 6 million people, including 600,000 with chronic illnesses, don’t have a regular GP. 

In Germany, 35,000 care sector jobs went unfilled last year, and by 2035, a third of health positions could be vacant. 

Spain’s feeling the squeeze too. More than 700,000 people are waiting for surgery and 5,000 frontline GPs and pediatricians in Madrid are on strike after years of underfunding and overwork.

In a third of Europe’s countries, over 40% of doctors are over 55. As older doctors retire, younger ones burn out from long hours, stress, and low pay.

On the other side of the world, New Zealand and Australia are experiencing the same effect. 

GP wait times are through the roof and there’s massive delays for potentially life-saving cancer treatments. Rural areas are getting hit hard, where access to healthcare is so bad, it’s costing lives. 

And again, the staff shortages—nurses and doctors are overworked, hospitals are short-staffed, and strikes are shaking things up. 

With aging infrastructure and a funding gap that’s only growing, the system is crying out for a serious overhaul.

The WHO warns that this staffing crisis could lead to poor health outcomes, longer wait times, preventable deaths, and even potential healthcare system collapse.

Not good. 

What’s the solution then?

Forget band-aid solutions, First, we need to get serious about staffing.

Countries have to start making healthcare jobs attractive again. That means better pay, less burnout, and more flexibility. Germany's Health Minister tossed €300 million at pediatric hospitals, but it’s going to take more than that to patch things up. Pay nurses and doctors what they’re worth, give them decent hours, and maybe - just maybe - people will stop fleeing the profession.

More Medical Training

It’s unbelievable that countries are still capping medical training when a healthcare disaster is on the horizon.

Some countries, like France, are finally catching on that capping medical student numbers back in the ‘70s wasn’t the brightest idea. The cap's been lifted, but it'll take years to recover.

Countries need more medical schools, more training slots, and faster paths to get qualified staff into the field.

Let’s not forget about rural areas - policies that incentivise doctors to set up shop where they’re really needed are a must. Throw in some perks like housing allowances or loan forgiveness, and you might just solve the "medical desert" problem.

Surely Technology Can Play a Part?

Tech has to play a bigger role in the future of healthcare. Telemedicine is great, but we’ve only scratched the surface. More remote consultations, digital diagnostics and AI-driven care could reduce the strain on hospitals and make healthcare accessible in underserved areas. It’s 2024—if you can get groceries delivered to your door, why not medical care too?

Long Term Approach

Governments need to start thinking long-term. This isn’t just a seasonal crisis; it’s a systemic one. They need to overhaul healthcare policies, push for sustainable funding and embrace preventative care. Fixing the system isn’t going to be cheap or easy, but the alternative - a total collapse - is going to be a whole lot worse.

THE WEEKLY DOSE

• Emergent receives FDA Approval for their Mpox vaccine amid African outbreak

• Merck’s Keytruda falls short on studies for early-stage lung and skin cancers

• Neurocrine’s drug for Schizophrenia receives positive results but doesn’t impress investors.

GUIDE
💰 How to Invest In Biotech for Beginners

Biotech - where cutting-edge science meets serious financial gain. If you’re new to the game, biotech might seem like a risky bet, but with the right approach, it could be your ticket to some major returns. 

In this how-to guide, we’ll be giving you the fundamentals to give Biotech investing a go.

First off, What are Biotech companies anyway?

Unlike traditional pharmaceutical companies that focus on mass-producing drugs, biotech firms are all about innovation. They’re the ones developing groundbreaking treatments, working on gene editing, and exploring new ways to fight diseases like cancer and Alzheimer’s. 

Biotech is a high-risk, high-reward space. 

One successful drug can send a stock soaring, but a failed clinical trial can just as easily crash it. That’s why knowing how to navigate the sector is key to making smart investments.

Why Biotech Can Be a Savvy Investment

• Innovation Boom: The biotech industry is seeing an explosion of innovation, with advances in genomics, AI and personalised medicine driving massive growth.

• Unmet Medical Needs: Biotech companies are often the first to address diseases that don’t have a cure yet, giving them the potential to tap into huge, underserved markets.

• FDA Fast-Tracking: The FDA is increasingly fast-tracking biotech drugs, particularly those that address critical needs. This means more opportunities for quick wins.

How to Invest in Biotech
Biotech investing isn’t for the faint of heart, but if you know what to look for, you can minimize the risk and increase your chances of success. Here’s how to approach it:

1. Know the Pipeline: The drug development pipeline is the lifeblood of any biotech company. Drugs go through multiple phases of clinical trials before they can be approved by the FDA.

   Understanding what stage the company’s treatments are in can help you gauge how risky the investment is.

   • Preclinical: High risk, but huge upside if successful.

   • Phase 1: Early-stage testing for safety. Still risky but shows potential.

   • Phase 2 and 3: Testing for effectiveness. As companies move into later phases, the likelihood of success increases, but so does the competition.

2. Watch the Data: Clinical trial data is king in biotech. A strong Phase 2 or 3 result can send a stock skyrocketing, while poor results can lead to a sharp decline. Knowing how to interpret trial outcomes—or following experts who do—can help you stay ahead of the curve.

3. Partnerships Matter: When a small biotech company lands a partnership with a big pharma player, it’s often a strong vote of confidence. These deals can bring in much-needed funding and help bring a drug to market faster. Keep an eye on these partnerships; they’re often a good indicator of a company’s potential.

4. Catalysts: Look for upcoming milestones, such as clinical trial readouts or FDA decisions. These events often trigger big moves in stock prices and can present lucrative opportunities if you time your investments right.

How To Play The Game
Biotech stocks are volatile by nature, so managing risk is essential. Here are some strategies:

• Diversify: Don’t bet your entire portfolio on a single biotech stock. Spread your investments across multiple companies and sectors to hedge against losses.

• Stay Informed: Keep tabs on the latest industry news, from clinical trial results to regulatory approvals. Biotech stocks can be highly sensitive to news, so staying up-to-date gives you an edge.

• Have an Exit Plan: Not every biotech bet will pay off, and that’s okay. Be prepared to cut your losses if a company’s prospects look dim. Don’t let emotions cloud your judgment.

Spotting Biotech Winners
Picking the right biotech company can feel like searching for a needle in a haystack, but there are key factors that can help you spot potential winners:

• Strong Science: At the core of any successful biotech company is strong scientific research. Look for companies with a solid foundation in research and development (R&D). If the science is sound, the company is more likely to deliver.

• Experienced Management: Leadership matters. A biotech company led by experienced executives who know the ins and outs of drug development is more likely to navigate the challenges of the industry.

• Cash Runway: Biotech companies can burn through cash quickly, so it’s crucial to know how much cash a company has on hand and how long it can continue to operate without raising more money. Companies with a solid cash runway are less likely to dilute shares by issuing more stock.

Curious about biotech investing? Keep up with The Dose, and let’s turn your curiosity into some serious gains.