CNBC host Jim Cramer argued that presidential candidate Elizabeth Warren's (D., Mass.) pharmaceutical drug plan would shrink the market by 20 percent.
"I think this is a week where you're going to love Pharma, except for the fact that if you think Elizabeth Warren is going to win, because in her new position paper that she released, she's basically calling for drug companies to make no money," Cramer said.
Cramer appears to be referring to Warren's plan released in December to create an Office of Drug Manufacturing that would federally manufacture generic drugs. The intention of the office is to bring down drug prices, but the proposal has generated strong criticism. The Association of Accessible Medicines told Politico, "it is hard to fathom why anyone would call this system broken or insist that the government commandeer the business of developing, manufacturing and distributing these medicines."
"If you get a cancer drug for what they pay for it in Italy, that's what they're going to sell them for here, from Bristol-Myers? Forget it. There's no profit. There's just no profit," he added.
"But Elizabeth Warren is very different in terms of if she becomes president. What is she calling for, a downturn of 20 percent?" Cramer said.
"In the market? That sounds about right," anchor Carl Quintanilla responded.
"Well that's what she's going to give you," Cramer said.
"Ok, she doesn't want anybody to really make a lot of money," he added. "But that's what she wants."