(click for update -- 12 / 50 / 38 as of Nov. 10, 2009)
September 21, 2009
September 20, 2009
Shakespeare on the madness of eating meat
... I am a great eater of beef and I believe that does harm to my wit.
SIR TOBY
No question.
(Twelfth Night, act I, scene iii)
and
Clown [as Sir Topas the curate]
What is the opinion of Pythagoras concerning wild fowl?
MALVOLIO
That the soul of our grandam might haply inhabit a bird.
Clown
What thinkest thou of his opinion?
MALVOLIO
I think nobly of the soul, and no way approve his opinion.
Clown
Fare thee well. Remain thou still in darkness: thou shalt hold the opinion of Pythagoras ere I will allow of thy wits, and fear to kill a woodcock, lest thou dispossess the soul of thy grandam. Fare thee well.
(Twelfth Night, act IV, scene ii)
September 18, 2009
Not so clean energy
The Treasury and Energy departments today announced $503 million in stimulus grants for "clean energy" projects. And while the energy may be clean, the politics may remind some of the soot belching from an old-fashioned smokestack.
Of the $503 million, $294 million went to a Spanish wind power company, Iberdrola SA, the Wall Street Journal reported. A quick search of the Federal Election Commission database shows the company's executives donated to the Obama campaign, with executives Brent Alderfer contributing $2000, Brent Beerley $1750, Eric Blank $2775, Jennifer Bradford $250, Melissa Erickson $250, Jon Fischer $250, Anders Glader $250, Kevin Helmich $250, Kevin Lynch $2300, Kourtney Nelson $450, Carolyn Plemons $250, Timothy Seck $250, and Peter Toomey $300 — a total of $11,325. An additional $10,250 from Iberdrola executives went to the "Obama Victory Fund," a joint fundraising committee allied with the Obama campaign.
Another about $115 million of the $503 million went to a company called First Wind [formerly UPC Wind], whose owners include the Chicago-based Madison Dearborn Partners and a member of the D.E. Shaw group. [A] Bloomberg article quotes President Obama's White House chief of staff, Rahm Emanuel, a congressman at the time the article was published [2007], as saying of Madison Dearborn, "They've been not only supporters of mine, they're friends of mine." The Bloomberg article says, "Employees of Madison Dearborn have donated $77,500 to Emanuel's re-election committee since 2001, collectively emerging as the top contributor to his campaigns in his congressional career, according to the nonpartisan Center for Responsive Politics." D.E. Shaw is the firm at which Mr. Obama's chief of the National Economic Council, Lawrence Summers, held a $5.2 million a year, one-day-a-week job.
wind power, wind energy
September 16, 2009
Questions for Dr. Marcia Angell
New York Times "Prescriptions":
Dr. Marcia Angell is a senior lecturer in social medicine at Harvard Medical School and former editor of The New England Journal of Medicine. A longtime critic of the pharmaceutical industry, she has called for an end to market-driven delivery of health care in the United States. She spoke with freelance writer Anne Underwood.
Q. President Obama hopes to increase the number of Americans with insurance and to rein in costs. Do you believe any of the plans under consideration by Congress will accomplish those goals?
A. They won’t, and that’s the essential problem. If you keep health care in the hands of for-profit companies, you can do one or the other — increase coverage by putting more money into the system, or control costs by decreasing coverage. But you cannot do both unless you change the basic structure of the system.
Q. Segments of the health care industry — pharmaceutical companies, for instance — are promising to cut costs.
A. It’s not going to happen. These are investor-owned companies. Their fiduciary responsibility is to maximize profits. If they behaved like charities, heads would roll in the executive suites.
Q. But what about market mechanisms for reducing costs? Wouldn’t the public option, for instance, provide competition for the insurance companies?
A. Theoretically it would, but I doubt the public plan will pass. Industry is lobbying against it, and the president has not said this is a “must.” Even if it does pass, I’m afraid the private insurance industry will use their clout in Congress — and they have enormous clout in Congress — to hobble the public option and use it as a dumping ground for the sickest while they cream off the young and healthy for themselves.
Q. How? Won’t insurance companies have to cover all applicants regardless of health status?
A. It’s hard to regulate an enormous industry without setting up a bureaucracy to oversee it. That’s very expensive and creates a whole new set of problems.
Q. How about the individual mandate? Wouldn’t it reduce costs per capita by bringing in young, healthy people who are currently uninsured?
A. No. In Massachusetts [which enacted an individual mandate in 2006], there is no real price regulation. Essentially what the mandate does is say to people, you will go into this treacherous market and buy insurance at whatever price the companies choose to charge. In effect, it’s delivering a captive market to these profit-oriented companies.
Q. Are people at least getting better health care in Massachusetts now?
A. Massachusetts already spends one-third more on health care than other states, and costs are rising at unsustainable rates. As a result, they’re chipping away at benefits, dropping beneficiaries and increasing premiums and co-payments.
Q. Then what’s the path to meaningful cost control?
A. The only way to both control costs and have universal comprehensive coverage is a single-payer system — a nonprofit, single-payer system. Nothing else will work. All other advanced countries have some form of a single-payer system, and they pay less than half as much per person as we do. We should be asking, why is that so? It’s not because we provide more basic services. We do provide more tests and procedures for those who can pay, but not more basic services — and we don’t cover everybody. So why is it so? We are the only advanced country that delivers health care in a system that’s set up to generate profits, not to provide care.
Q. If a single-payer system isn’t feasible politically, aren’t the current proposals at least better than doing nothing? Isn’t half an aspirin better than none?
A. I think not. As costs continue to soar, people will not say, “That didn’t work. Let’s try a single-payer system.” Instead, they’ll try to pay for the costs in piecemeal ways, by increasing co-pays and deductibles, by limiting services, by making the system less equitable and less comprehensive. I’m afraid the lesson they’ll draw is that universal care is impossible.
But I’m not convinced that getting a single-payer system now is politically infeasible. The public would be happy with Medicare for all. Polls have shown that the public loves Medicare. The problem isn’t the public. It’s Congress, which caves in to special interests.
Q. If Congress is reluctant to cut out the insurance companies, is that partly because they, like the major banks, are too big to fail?
A. A nonprofit, single-payer system would lead to job losses in this sector, which constitutes 17 percent of the economy. But what about the other 83 percent of the economy? They’re being bled to death. Businesses can’t compete globally because the cost of providing coverage to their workers is so exorbitant. Whatever loss of jobs you might see would be more than offset by benefits and job gains in the rest of the economy.
[As for the insurance companies,] you could introduce the program incrementally. You could do it state by state. Or probably better, you could do it decade by decade. Medicare kicks in at age 65. In the first stage, you could take it down to 55. Between 55 and 65, people are vulnerable. They’re losing jobs, losing health care. They’re starting to have more medical needs. After a few years, you could drop it to 45, then 35. It would give insurance companies time to adjust.
Q. But Medicare is already hugely expensive. How can we afford such a plan for everyone?
A. Medicare costs are rising at an unsustainable rate because care is provided in a profit-maximizing system. The prescription drug benefit was nothing but a bonanza for the pharmaceutical industry. I would change that. I would also adjust the fee schedule, which preferentially rewards highly paid specialists for very expensive tests and procedures. For the system to work, it would have to be a nonprofit delivery system.
Q. How much could we save in administrative costs?
A. On average, the private insurance industry takes 15 to 20 percent right off the top of the premium dollar for its administrative costs and profits. That’s a lot to siphon off by an industry that adds almost nothing of value. It’s just a middleman. Medicare has overhead costs of less than 3 percent.
With the money in the system right now, we could cover everyone for every medically necessary service. But the system has to be distributed according to medical need and not as it currently is — as a commodity. Today, those who can pay get lots of M.R.I.’s they don’t need, while those who are uninsured can go without ones they do need.
Q. Military historians say we’re always fighting the last war. Is Mr. Obama now fighting the last health care war, in which Congress rejected the Clinton plan partly because it was developed without consulting other interested parties?
A. Yes. Mr. Obama has decided that he will listen to everybody. But it’s not working for him, because the public can’t become enthusiastic about a plan that doesn’t exist. That’s what he’s asking. Now Congress has gone home, and for the next month the special interests will be out there scaring people with stories of rationing and socialized medicine.
Q. Is the president really bringing everyone to the table?
A. He’s bringing everyone to the table except the single-payer people. It’s very odd. When he was a state senator, he emphatically favored a single-payer system. And in his July 22 press conference on health care, he stated that the only way to provide universal health care is with a single-payer system. Then he moved right on, as if that was somehow self-evidently absurd.
Q. So are you opposing this reform?
A. I am, though not for the same reasons as the Republicans and Blue Dogs. I’m opposing it more in sorrow than in anger. I’m afraid the president squandered a good opportunity.
By Anne Underwood
August 12, 2009
Health Care in Other Countries: Questions for T. R. Reid
New York Times "Prescriptions":
T. R. Reid was a bureau chief in Tokyo and London for The Washington Post. His new book, “The Healing of America: A Global Quest for Better, Cheaper, and Fairer Health Care,” is a systematic study of the health systems in seven countries that was inspired in part by his family’s experiences living overseas and receiving health care abroad. Mr. Reid also produced a 2008 documentary on the same topic for PBS called “Sick Around the World.” He spoke with blog contributor Anne Underwood.
Q. We’ve just passed the eighth anniversary of 9/11. You make a shocking comparison in your book between that crisis and the state of American health care.
A. On Sept. 11, 2001, roughly 3,000 Americans were killed by terrorists. Since then, we’ve spent hundreds of billions of dollars to make sure that doesn’t happen again. But the same year — and every year since, according to the National Academies of Science — about 22,000 Americans died of treatable diseases because they couldn’t afford health care. And we let that go on. Do Americans consider that acceptable? To me, it’s not. The American people must not realize how cruel our system is, because if they did, they’d change. We’re not a cruel people.
Q. You focused primarily on Canada, Great Britain, France, Germany, Switzerland, Taiwan and Japan. Why?
A. I chose big, rich, advanced, free-market democracies that might make a good model for the United States. In each of these countries, they set a goal of providing health care for all and found a way to get there. As I argue in the book, health care systems are moral instruments. They reflect a country’s basic moral values.
Q. Americans seem to think that all advanced countries with universal coverage have single-payer systems. Actually, that’s not true.
A. A lot of what Americans think they know about health care overseas is not accurate. Japan has 3,000 payers. Germany has 220 payers. Switzerland has 70. But in many ways, the systems in these countries act like single payers, with one set of rules, one set of forms.
In Japan, there is one price for each procedure for the entire country. They publish a huge book thicker than the Tokyo phone book that lists 30,000 medical procedures and sets the price for each. There’s one set price for a cut requiring six stitches on the back of the hand and another for a cut requiring six stitches on the thigh.
Q. Many Americans are saying that universal coverage is too expensive. But you say it’s essential for controlling medical costs. Why?
A. If everybody’s in the system, you have the political will to make tough decisions about cost control. If you say, “We will cover the $20,000 drug for breast cancer, but not the $40,000 drug,” that means some women may die sooner than they might have. But if the system covers everybody, you know the money saved is going to be used to help a sick child or a mother with a difficult pregnancy. That makes it easier for society to accept those tough decisions.
In the U.S., when Aetna or WellPoint declines to pay for a drug or a procedure, the money saved goes to enhance the insurer’s profit, not to pay for another person’s treatment. So people are less willing to tolerate cost controls. All over the world, health ministers told me that the first step is universal coverage — and that generates the political will to impose controls.
Q. Critics argue that if we institute cost controls, it will stifle innovation in both drug discovery and the development of new technologies.
A. That’s completely false. Overseas, cost controls drive innovation. In Denver, I had an M.R.I. that cost $1,434 dollars. The exact same procedure in Japan today costs about $105. That’s because the government kept reducing the price it would pay for M.R.I.’s. Japanese researchers had to devise ways to get the same scan for less money, and they did, developing much cheaper machines.
As for drugs, it’s also false. Lots of drugs that make TV news in America come originally from labs in the U.K., Switzerland or Japan.
Q. And yet other countries also have trouble keeping costs in line.
A. Modern medicine is extremely expensive. Other countries constantly have to decide which new procedures and medicines they will pay for.
Q. Which sounds like rationing.
A. Other countries definitely ration, but so do we. Here’s the difference. In other developed countries, there is a basic level of care that everybody gets. Our method is to leave tens of millions of people out of the system, which is the harshest way to ration.
Q. Did other countries find it difficult to institute universal coverage?
A. In Switzerland it was very tough, because Switzerland is home to huge drug companies and giant international insurance companies. Until the 1990s, they were making a profit on health insurance. They copied the pre-existing conditions rule of American insurers and tried not to sell policies to anyone who might make a claim. They hired lots of underwriters to deny claims, like our guys do. And by 1994, Switzerland got to point where 5 percent of people couldn’t afford health insurance.
For the Swiss, this was shocking. They had national referendum on universal coverage, and most of the business community opposed it. The giant insurance companies opposed it, and the drug companies opposed it. But the reform passed and took effect on Jan. 1, 1996. The result was that insurers had to cover everybody and they couldn’t make a profit on basic health insurance.
Q. How’s it working out?
A. I went there in 2007, and everyone was happy. The pro-business Christian Democratic Party is proud of it. And the insurance companies are doing better than before the reform. Here’s why. They’re now required to sell basic coverage to anybody for no profit, and there are strict controls on pricing and administrative costs. But the same companies sell supplemental policies on a for-profit basis that cover things like private hospital rooms or Viagra. In addition, the same companies sell life insurance and fire insurance. They use the basic health insurance plan, for which they can’t make profit, as a loss leader for other lines of business. All of them are bigger and making more money than before the change.
Q. The rate of medical bankruptcies in this country is alarmingly high. What about overseas?
A. When I made the documentary “Sick Around the World,” I asked the health minister in every country I examined, “How many people in your country went bankrupt last year due to medical bills?” They looked at me as if I’d just asked how many flying carpets they rode on their way to work. In Canada, it was zero. In the U.K., zero. In Germany, zero. Japan, zero. Taiwan, zero. The other rich countries don’t let it happen. When I asked the president of Switzerland, who belongs to the pro-business Christian Democratic Party, he said, “Nobody. It would be a huge scandal if we let that happen.”
Q. Another issue on the table now is tort reform. Are medical malpractice suits a problem in other countries?
A. No. Every country has come up with a mechanism to compensate patients who are injured by doctors and hospitals. These injuries happen in every country. If doctors are seriously negligent, you need a system to discipline them. But nobody does this through the tort system except the United States because it’s a very expensive way to do it. Most of the money doesn’t get to injured person, but gets paid to court system, investigators, lawyers.
Q. If other countries don’t handle malpractice through the tort system, how do they do it?
A. In Germany . . . it’s like an accreditation body that tests you. In Britain, they have an agency called NICE, the National Institute for Health and Clinical Excellence. NICE issues guidelines for treating medical ailments. In the U.K., if you demonstrate that you followed NICE guidelines, you can’t be held liable. Even if patients are horribly injured and impaired for life, you can’t be disciplined as long as you followed the guidelines.
Q. So other countries have no huge jury awards to drive up costs?
A. You read about massive judgments in this country with injured patients receiving tens of millions of dollars. A major part of that is, once someone is injured or crippled, the damage award includes lifetime care. In the United States, that’s really expensive. But if somebody won a judgment of lifetime medical care in the U.K., the cost would be zero. Health care is free. And if you won a big tort judgment in France or Belgium, an award of lifetime care would be vastly cheaper than in America.
Q. Do you support any of the plans being discussed on Capitol Hill?
A. I think all the plans that we’ve seen in America are tinkering at the margins of a system that is unfair and grossly expensive. On the other hand, I came away from writing the book feeling optimistic, because I know we could get to universal coverage at reasonable cost if we want to. All the other developed countries in the world have done it. Are you telling me Taiwan can do this and the U.S.A. can’t? Come on.
Q. Do you see a way of getting back on track?
A. It takes a leader. My book focused on people like Tommy Douglas in Canada, Otto von Bismarck in Germany and Nye Bevan in the U.K., who persuaded their countrymen that they needed universal coverage. It will take someone who can grab the moral imperative and remind us that the important issue is not whether insurance companies make 4 percent or 6 percent on their coverage, but whether people get medical care when they need it.
By Anne Underwood
September 15, 2009
September 14, 2009
If You Support Universal Health, You Must be an America Hater
Throughout the three years I lived in Canada, and the eight years I lived in Denmark, I would periodically return to the U.S. to see family and friends. I would regale my American acquaintances with stories of what it was like to live in a land with little to no poverty, absurdly cheap to outright free higher education, a generous minimum wage and free government healthcare. I was surprised and even hurt to find that instead of inspiring my listeners to lobby for such things themselves, I was branded an “America hater.” My hope that we might bring the quality of life indicators in the U.S. up to, or at least approaching, those of every other economically developed nation was viewed not, as I had conceived it myself, as an expression of fervent patriotism, but as outright treachery. How dare I say that anyone anywhere in the world was actually living better than people in the U.S!