Personally I'm amazed that people think this is a radical proposal. Nobody thinks is radical when the government uses "eminent domain" to take land, the same principle applies to any other property also. Intellectual property isn't nearly as fundamental as your right to land. As long as the government arranges to pay a fair price then the government can force you to sell.
I also don't have a lot of sympathy for drug companies. They are another prime abuser of intellectual property for the sake of high profit margins. Cipro cost $4 per pill commercially, Bayer wants to charge the US government $1.83 per pill, Canada is paying $1.30 and the generic manufacturer offered them for $.99. These numbers suggest that at $1.83 Bayer is making at lest $1.00 profit per pill and probably close to $1.50.
Moreover, notice how Bayer told Canada that it couldn't supply as much as Canada wanted. Right up until Canada put in the contract with the generic manufacturer, then suddenly Bayer had more to sell.
Jay