One of the best questions at last year’s ITUP conference involved the differences and overlap between Section 2703 Health Homes and the new Section 1115 waiver for whole person care pilots. Both address the same fundamental challenge in the American health system – the lack of important connectivity among its excellent but disparate parts. This is particularly problematic in Medi-Cal due to the behavioral health/physical health divide. Both initiatives address the same populations of severely ill patients who are high users of emergency rooms, many of whom have severe co-occurring physical and behavioral health conditions, and a significant number are homeless individuals.

I’ve had an utterly lovely six months off since leaving ITUP. It’s now time for me to get back to work. The Office of Lucien Wulsin is now open for business. I’ll be affiliating with organizations where our interests and skills align, and you’ll be hearing more about this soon I hope.

Real household income went up by 5.2% -- the fastest growth on record – from 2014 to 2015. Poverty fell by 3.5 million – the largest one year drop since 1968. The uninsured rate fell to 9.1% -- its lowest rate ever. http://www.census.gov/content/dam/Census/library/publications/2016/demo/p60-256.pdf and https://www.whitehouse.gov/blog/2016/09/13/income-poverty-and-health-insurance-united-states-2015

The Kaiser Family Foundation has followed the impacts of the Affordable Care Act on uninsured Californians over four reporting periods. They followed a group of over 2000 uninsured from 2013 to 2016. Nearly three fourths gained coverage; primarily through Medicaid (1/3rd), then employment-based coverage (1/5th) and Covered California (1/10th). They were far more likely to report their health needs are being met, their financial worries lessened. Eighty percent said their experiences were positive; they are satisfied with their choice of hospitals and primary care doctors and over 2/3rds are pleased with their choice of specialists.

Joseph Stiglitz describes the changes in the rules undergirding the American economy over the past 40 years that have promoted short-term profit taking as opposed to long-term investments and their impacts in slowing the growth of the American economy.  http://rooseveltinstitute.org/rewriting-rules-report.

The average stock was held for seven years in 1940, for two years in 1987 and for seven months by 2007. Corporate CEO pay as compared to the average worker’s salary has grown from 20/1 in 1965 to 295/1 in 2013. Firms are not investing their capital in equipment needed and designed to increase worker productivity, but rather in stock buy-backs and shareholder dividends.

Ben Somers and colleagues compared changes under the ACA in Texas, Arkansas and Kentucky. The latter two adopted the Medicaid expansion under the ACA while Texas did not. The results between 2013 and 2015 were startling.

In Texas the uninsured rate for low income Texans fell from 39% to 32%. In Arkansas, it fell from over 40% to 14%; in Kentucky it fell from over 40% to 9%.

Nobel Prize winning economist Joseph Stiglitz’ report for the Roosevelt Institute entitled “Rewriting the Rules of the American Economy” notes the recurrent financial crises that plague our economic health and recommends ending “too big to fail”, regulating the shadow banking industry and off shore banking, transparency in all financial markets, reducing credit and debit card fees, stricter penalties for financial malfeasance, and reforming the rules of the Federal Reserve. http://rooseveltinstitute.org/rewriting-rules-report.

Fifteen years ago Joseph Stiglitz won the Nobel Prize for his research on information asymmetries and their impacts on free markets. In his report for the Roosevelt Institute entitled “Rewriting the Rules of the American Economy” he recommends a fresh look at anti-trust, at intellectual property rights, at global trade agreements and at government roles in negotiating health prices. http://rooseveltinstitute.org/rewriting-rules-report.

He points out that we have moved quite drastically from a manufacturing economy to a service and knowledge economy and that the 100 year old anti-trust rules from the turn of the 19th century into the 20th need to be updated to reflect a very different economy.

Health care is a classic case of market failure for several reasons: the asymmetric information about health care effectiveness between the patient and the providers, the third party payer role of the insurer or government, and the natural plan and provider monopolies in rural America and the oligopolies created by hospital system and health plan mergers.

I’ve been immersed in Nobel Prize winning economist Joseph Stiglitz' report for the Roosevelt Institute entitled “Rewriting the Rules of the American Economy”. http://rooseveltinstitute.org/rewriting-rules-report His perspective is that for the past thirty-five years or so we have been tilting the rules governing the American economy ever more towards the interests of the top 1%.  This is causing slow growth, endemic financial crises like the Great Recession, the wage-stagnant job recovery that has succeeded it under President Obama and the jobless recovery that preceded it under President Bush, the shrinking of the middle class, widening income inequality, stagnation of economic opportunities for the poor and the loss of American manufacturing jobs. He contends that a thorough going economic reform is necessary to restore economic equilibrium, redirect incentives and create the infrastructure of a healthy American economy. It is very provocative and deeply thoughtful.

His report (2015) predates the rise of Bernie Sanders and Donald Trump but presages their arguments about a “rigged” economic system. A number of his recommendations can now be found in the Democratic platform and in some of the policy recommendations from Secretary Clinton and Senator Sanders’ campaigns and in some of Donald Trump’s rhetoric as well (but no policy recommendations).