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DW.COM Original article ›
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Israel remains a laboratory for the rest of the world in tackling coronavirus. During the beginning of 2021 Israel was the first country to push ahead with Pfizer vaccines for the over 18 population in a country of 10 million people. As winter approaches Israel has given a third booster shot to 50% of the population and is able to conduct normal life with a green pass system and the use of masks indoors. Each time a major surge has been prevented. The green pass in Israel is now for people who have had a third shot or booster shot. By thinking one step ahead, making decisions rapidly, and coordinating action early between the government and other organizations to vaccinate everyone, Israel provides lessons for the rest of the world. Not that there are no unvaccinated -about 700,000 people do not believe in vaccination and are unvaccinated. They are a vocal group but only about 8% of the population, and the vast majority of Israelis are in favor of vaccination and the green pass system. ...

Stimulus Package Unveiled

Wall Street Journal Original article ›
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Details of the $825 billion stimulus plan. Renewable energy does well under the plan including production tax credit for renewables, with $32 billion for a "smart" electrical grid for which GE makes components and lobbied for. Renewable energy producers win an extension of production tax credits now convertible into cash for companies whose losses leave them unable to use the credits. Transportation infrastructure green projects did not do so well, with $32 billion for transportation projects and only $10 billion for mass transit projects.The Natural Resources Defense Council had compiled a list of more than 80 environmentally friendly infrastructure and transportation projects worth about $405 billion. Only a small number of these projects made it. What is in the stimulus to create jobs and stimulate capital investment? Businesses get bonus depreciation, which speeds up depreciation deductions for companies that invest in plant and equipment. The stimulus doubles the amount small businesses can immediately write off for capital investments and purchasing new eqipment, and gives incentives for businesses to invest in renewable energy. States get help with $90 billion going to increase the federal share of Medicaid payments, and an additional $79 billion to help states avoid cutbacks in education and other services. And there is a "Make Work Pay" tax credit for $500 per worer and $1000 per couple. Experts say the effects of the stimulus will be felt in the latter part of 2009 and into 2010. Which is one reason the view of economists that there would be a second half recovery does not reflect conditions on the ground. Goldman has revised its view to 2010 and even that may be optimistic. One example of what has happened in the stimulus in this respect is that the earlier optimistic view of largeinvestments in science and technology, broadband networks, and transportation projects for fast rail and transit have all been trimmed down. Part of the reason may be that the bill for the nation's banking system revival may be larger than realized as an additional amount of $15-20 billion is being negotiated for Bank of America and more money will go to Citigroup. $6 billion is shown for highspeed internet access for rural and underserved areas. Science facilities get $10 billion. Repair of public infrastructure (read roads and bridges) gets $31 billion. School modernization gets $21 billion. And modernization of health information technology systems gets $20 billion which its hoped will provide equivalent or higher returns to pay for some of the universal health care costs, and preventative care gets $4 billion. There is a tax credit for R&D work on energy innovations and renewable energy production of $20 billion, and $32 billion for a "smart electricity grid." These are the proactive parts of the stimulus that create something new and make improvements. They add up to $144 billion. So much money goes to shore up the existing services and supplement incomes, and to relieve stresses on the banking system, and other ways to shore up the system, that the proactive expenditures are only a small fraction or 17% of the $825 billion stimulus. And all the time the federal deficit and debt increases with these huge outlays just to shore up the system. The Heritage Foundation Data Analysis Director Mr. Beach told Congressmen at a discussion chaired by Congressman Cantor (R), on January 16, 2009, that the federal debt would reach 92% of the nation's GDP in 2009 from 58 billion or 70% in 2008, with the $825 billion for stimulus. The federal deficit would go up to $1.31 trillion or 9.2% of GDP up from $541 billion in 2008. See the research paper on the Heritage website. ...
New York Times Original article ›
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The Guangzhou to Wuhan train high speed line covers the 664 mile trip in 3 hours. 42 such high speed rail lines are set to open by 2012. These trains run at 215 miles per hour. Original plans were to build these lines by 2020 but the global economic crisis led to state planners moving the date up to 2012 and allocating $100 billion for this purpose. Moving passenger traffic to high speed rail lines also frees up the existing lines for more freight. Plans are to build an additional 3000 miles of track for passenger and fast freight trains at 155 miles per hour. Practically every seat on the Guangzhou- Wuhan 14 car train was full on a typical day last week, filled with migrant workers going home. What makes building these lines affordable is construction workers who earn less than $100 a month, a national savings rate of 40%, and rising tax revenues.This particular line cost $17 billion to build because of the many tunnels needed for the line. The three hour train actually makes the journey faster than the 2 hour flight to Wuhan from Guangzhou because of faster check-in times. Train stations are built in industrial districts away from the city, in the case of Guangzhou, a 40 minute bus ride from the city....
The Economist Original article ›
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This report in the Economist points to the improved situation for Mexico after the scare from Trump's plans to build the wall and deport large numbers of immigrants. The peso dropped by 15% between mid November 2016 and January 2017, but has since recovered, and non-oil exports were up 5.5% in February 2017 over prior year with the manufacturing growth in the U.S.  Growth forecasts are now up from about 1% GDP growth previously to 2% for 2017, close to the 2.3% in 2016. Much of the change in mood in Mexico is a result of the failure of the early travel bans being blocked in the courts, the failure to get health care legislation through Congress, and the effort by the trade advisers and economic advisers around Trump to move Trump's positions more to the centre and closer to traditional Republican party positions. Wilbur Ross, the Commerce Secretary, says " a sensible agreement" can be reached with Mexico. Peter Navarro, trade adviser, talks about making "a mutually beneficial regional powerhouse." Robert Lighthizer, a veteran from the Reagan days, is likely to be made the new U.S. Trade representative. Still as the Economist points out the "20% border adjustment tax" continues to be supported by Paul Ryan in Congress to pay for tax cuts. But certainly the mood has lifted in Mexico in the first 100 days. This is true for economic policy in relation to China and Germany, and the close circle of Ross, National Economic Council head Gary Cohn, and Secretary of State Tillerson is moving Trump to the centre in policy statements to get things done. Mexico is faced with internal challenges of reestablishing the rule of law, improving infrastructure, reducing red tape and corruption, addressing problems in the education system, to promote economic growth. These challenges may prove to be as large as the external challenges were once thought to be. ...
The Indian Express Original article ›
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India is a major farm exporter with over $50 billion in exports of farm products. New trade agreements with US and EU will shrink the current $14 billion surplus over imports as imports increase to meet US and EU negotiation requests.

WSJ Original article ›
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DJT says EU is dragging its feet in coming  up with a trade agreement with the US. DJT says he will put 50% tariff on the EU, changes deadline from June 1 to July 9 to give the EU more time.

The Indian Express Original article ›
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Ratan Tata welcomes Air India- formerly founded as Tata Airlines in 1932 by an accomplished pilot JRD Tata who flew the maiden postal flight in South Asia from Karachi to Bombay in 1932- back to Tata Group. JRD Tata assumed the position as head of Tata Sons in 1938. Nehru nationalized Air India in 1953 after years of bureaucratic interference in the management of the airline. Ratan Tata was selected by JRD Tata to run the Tata Group in 1990 and was present during the early formative years of the airline. The decision to take 100% ownership of Air India in 2021 appears to be a good one considering the difficulties JRD Tata had- and which Ratan Tata is familiar with- from interference by the government in the management of the airline in the early period after independence in 1947. This gives Tata Group a clean start to build a new airline. By taking responsibility for three fourths of the debt of Air India with Tata Group taking on the other one fourth, the government gives the new airline a good start. Air India was losing 3 million dollars a day according to a report in DW.com. This transfer also frees up this huge investment for use in other areas of the economy such as infrastructure building, healthcare, education, logistics for exports. ...
The Guardian Original article ›
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The P1 coronavirus variant from Brazil is seen in 200 of 877 cases in ski resort in Whistler, British Columbia. Helath officials have little knowledge of how this variant entered Canada's western province. This report says the housing shortage for hospitality workers is worsening the pandemic with 6-8 hospitality workers living together and no chance to limit the spread.   The decision by the state health officials not to screen with testing for which variant is responsible for an infection of covid is coming under criticism, as reported in The Guardian. This allows the variant to spread with no knowledge about where it is happening so that countermeasures can be taken. In the absence of this type of screening and testing one is flying blind, says this report. Recent steps to contain the spread in India advocated by prime minister Modi in India give micro-containment a big role, with screening and testing and detection of incidence of mutation becoming critical. To do this the health system has to be well prepared and have full support and direction from a unified authority bringing together every arm of government at the federal, state and local levels. Response has to be very quick and resource allocation proper from testing labs, people on the ground, vaccine supplies, and vaccination drive effective. ...
WSJ Original article ›
LyrArc Article Gist
China's GDP declines by 6.8% in the first quarter 2020 year over year, and 9.8% from the previous quarter, the first such decline since 1992, even going as far back as 1976 with the passing of the Mao era. It is not power production or coal consumption which have returned to prior levels. It is the demand from the U.S. and Europe, other countries which are in lockdowns. Estimates are that 80 million people in a population of 900 million working age people lost their jobs, with another 10 million expected to be lost, about 10% of the total. Global trade companies are hardest hit.  Consumers inside China are reducing spending. Some are using only the small government issued vouchers designed to get people to go out and spend.  The Trump administration plans to bring back some of the production lost to China in essential areas such as public health and security back to the U.S. The supply chains are already shifting to other countries from U.S. tariffs. As a result some estimates show zero growth in 2020 for China. Financial instability and prior leveraging concerns remain to prevent any serious stimulus. By contrast the U.S. is cushioning the impact with $2 trillion aid package benefitting from a strong dollar and healthy economy before the virus. ...
WSJ Original article ›
LyrArc Article Gist
Christian Seifert, chief executive of the German Football League acted quickly to get the Bundesliga played by teams in empty soccer stadiums but reaching millions on televsion. Following the example of the Bundesliga which started with games on May 16, the La Liga in Spain starts on June 11, and the Premier League in Britain on June 17. Two rounds of play are done and seven more to go for Bundesliga. Even the sounds of fans were brought back for television. Bayern Munich played Borussia Dortmund in  1-0 game that brought the old games and rivalries back to life for sports fans on television. Seifert says he was just doing his job. It helped that the German health infrastructure was good and handled the coronavirus well, making it possible for sports not to be seen as a potential burden for hospitals. The empty stadiums- all the teams and team fans accepted this. It wasn't that some teams had different views on how to proceed. A $300 million broadcast rights payment was one more incentive to get going and still be safe by keeping the stadiums empty-  and everybody calmly accepting that as a necessary aspect of the modified way for 2020. You could still enjoy the game and be thankful you could - on television. ...
The Times Original article ›
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Mario Draghi, former head of the European Central Bank, who ran ECB policy to rescue the Euro currency in 2012 is being asked to form a new government by the president. Mr. Conte's coalition failed to get the support of Matteo Renzi's left party in parliament leading to its collapse.  Italians are wary of the austerity policies of Mario Monti,  professor and EU bureaucrat appointed by premier Berlusconi to the EU Commission, who was appointed  during the eurozone financial crisis in November 2011 by the president.  At the time prime minister Berlusconi had lost the confidence of EU officials. Mario Draghi has a different history after his work at the European Central Bank counteracting the austerity approach of German finance ministry. He also steered the ECB policy at a difficult time for Italy with rising interest on debt. Today Italy has lost about 89,000 lives, and 8.8% of GDP was lost in 2020. Moderate factions of all parties right and left wing are expected to support Draghi. Draghi also has the advantage of 200 billion in euro funds coming from the EU for Italy's recovery in 2021. Germany today is not the austerity policy Germany of 2011, as it supports going big and spending for the recovery. ...
WSJ Original article ›
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This account in the WSJ shows how Masayoshi Son is making huge bets with money from Saudi, UAE borrowed at 7% interest, and his own and partners money. The first Vision Fund  which raised $100 billion was invested quickly over 2 years in startups in the U.S. with an uncertain future and the WSJ says it is unusual that a fund would pile up debt to invest in companies that are unproven and which cost the Fund billions of dollars a year in interest payments. Many of the people hired are not from venture capital and have backgrounds in speculative Wall Street deals, including Deutsche Bank, according to the WSJ. Critics say money invested in every pet walking or hotel renting website is not going to make healthy returns. Creditor are being paid back with money they lent, with interest at about $2 billion this year, according to this report.  Beyond the question of returns there is the larger question of how capital markets are malfunctioning today. Money badly needed for infrastructure and keeping up with technological developments such as 5G and new technologies, for research and development, and for vital public services in health and education to build strong societies, being diverted to highly speculative deals and dealmaking. ...
WSJ Original article ›
LyrArc Article Gist
On March 20, reports show that the testing facilities in states in the U.S. have had to set priorities on who gets tested first. High risk areas identified by authorites come first. For this reason Corlado health authorites moved a test centrer in Denver to Telluride a ski community that has been hard hit. In Minnesota health department commissioner identified priorities and limited testing to health care workers, inpatients at hospitals and people in group living facilities. A backlog means tests can take 5 days in Colorado, and Colorado has capacity for 250 tests a day (March 20). Testing was centred first by the U.S. government at the Centre for Disease Control. On reconsideration the state and local authorites, private companies, were allowed to conduct the tests, to speed things up. But local areas in many cases lack supplies or enough test kits and protective gear that is needed. This WSJ report says that the Trump administration is also shifting their strategy to social distancing to contain the outbreak. The federal government says it is aware of shortages in chemicals used in the tests. New York City officials say they have testing capacity for 5000 people per day, and New York State Governor Cuomo says the state can test 6000 people per day. (March 20). ...
DW.COM Original article ›
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This article in DW.com looks at China's development of the port of Hambantota, made using a loan of $312 million from the Export-Import Bank of China. State owned China Harbour Engineering worked on the construction of the port. This report says the port can handle about 2500 ships initially to take some of the load off of Colombo port which handles about 6000 ships annually.

BusinessWeek Original article ›
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How the French health care system works. France comes in first and the USA 37th in aWHO health care ranking. THe difference in deaths from respiratory disease is half that in the USA, and lower rates of death from heart disease and diabetes. IT has more hospital beds and doctors per capita than the USA. 65% of French people are satisfied with their health system compared to 40% in the USA, and yet France spends 10.7% of GDP on health care and the USA spends 16% for poorer results. THe French system is more generous to its seniors. Unlike Medicare there are no deductibles, just modest co-payments that are often dismissed for chronically ill. And diabetes and critical surgeries are covered 100%. French also buy supplemental insurance like Medigap for extra expenses like dental and eyglasses. Cancer patients are treated free of charge. Avastin treatments costing $48,000 a year are provided at no charge. France's PMI or Protection Maternelle et Infantile, is rated highly. It is anetwork of thousands of healthcare facilities, that ensure that every mother and child in the country receives basic preventive care. Mothers even receive afinancial incentive for attending their pre and post natal visits. France makes this care affordable by reibursing doctors at a much lower rate. The average yearly net income for doctors is around $55,000, about athird of what doctors in the USA make. But French doctors don't have to pay back huge student loans as medical school is paid for by the state and malpractice insurance premiums are only a tiny fraction of that in the USA. And again the French government pays two thirds of the social security tax for most French physicians- which is typically 40% of income. So the $55,000, is more like $92,000 taking that into account and more like $110,000 when student loans and malpractice is taken into account at US levels. Specialists who have 4 or more years experience can charge what they want, but as one gastroenterologist says, there in an unspoken and undefined limit to what you can cahrge or what is socially acceptable. Yet even in France there is inflation in health care costs that the government deals with through price controls and more spending. The French national insurance system is running increased deficits each year and this is now $13.5 billion, and it has led to higher taxes for employers and workers. ...
Wall Street Journal Original article ›
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The marketing of the iPhone 6 in the U.S., China and global markets helps Apple widen its lead over competitors in 2015. Apple sales were 47.5 million iPhones in the 2nd quarter 2015, increasing by 35% over the prior year quarter. Apple is also gaining sales from buyers switching from Android phones. Apple's iPhone sales now make up 63% of its sales, compared with 53% in the same quarter in 2014. Sales of iPhones increased 59% to $31.37 billion as the average selling price went up by $100 to $662.42. Apple remained above the fray, and actually increased average selling price to $662, as Xiaomi sold quality Android phones at near cost in China hitting Samsung sales and margins hard, and leaving unsold inventory for Samsung in China. Rarely has a company dominated its business in this manner from the standpoint of profits with only about 20% of the market in smartphones. Apple profits in the 2nd quarter were $10.7 billion, increasing from $7.74 billion in the prior year quarter. The iPad unit sales declined by 18% for the 2nd quarter 2015, the sixth quarter of such declines and fewer customers upgrading. The iPad has also not taken off in the workplace. Mac unit sales were up 9%, even though the PC market declined in units by 9.5% globally for the quarter. Apple shares up 39% in 2015, fell by 6.7% over concerns about slowing China sales....
Wall Street Journal Original article ›
LyrArc Article Gist
Steep discounts continue to hurt profits at GM by eroding margins. Profits were $300 million lower because of discounts. With special gains GM's profit was $3,687 per vehicle in North America, without the gains it was $1,653 per vehicle. Ford made $2,806 per vehicle. Emerging markets showed adrop with the car market in China cooling off. One of GM's joint ventures with SAIC Motor in China saw a decline in sales of 32% in the 1st quarter. Chairman Akerson said the challenge facing GM was to reduce incentive costs, and cost cutting to counter rising commodity costs that pushes up the cost of finished parts. On car buying patterns, Akerson says its not all about smaller cars as the smaller fuel efficient SUV's are also attracting buyers, and the smaller cars are better equipped and have higher prices.
The Economist Original article ›
LyrArc Article Gist
This editorial in The Economist magazine points out that the doggedness of prime minister Theresa May now looks like pig-headedness. The crisis is of poor leadership. It also exposes two deeper problems in the Leave campaigns distorted message that it is possible for Britain to leave the EU, "to take back control" without making it harder to for British business and the economy to trade with its partners in Europe. It also exposes concerns of democracy that see the referendum as the only message from the people- the general election of 2017 brought Conservatives to power without a majority in parliament changing the picture about the referendum's message. Particularly since the referendum Leave campaign presented a distorted  message leaving out what the cost would be for Britain.  Ejection from the single market, decline of industy from finance to carmaking, destablisation of Northen Ireland peace agreement, exit bill of 50 bill euros was not advertised in the Leave campaign. Buses with posters of immigrants streaming across borders in Europe presented an emotional message recklessly sold to voters. Representing the will of the people can be claimed now by all sides, says the Economist. Leaving Europe on March 29 deadline with no deal would be bad for Europe and economic upheaval for Britain. Discerning the will of the people should not be the work of squabbling MP's or backbenchers in parliament. The only practical and sensible way out of this mother of all messes is to go back to the people and get a new opinion with broad daylight thrown on the realities facing Britain.   ...
Wall Street Journal Original article ›
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The dollar closes at below the 100 yen mark for the first time in 12 years it closed at 99.32 yen on Friday. See the other piece on March 15, 2008 about dollar concerns of the Fed. Japan's Finance Minister and Economy Minister showed their concern in statements on Friday.
Economist Original article ›
LyrArc Article Gist
India and ASEAN sign a preferential trade agreement, and separately ASEAN signed a preferential trade deal with Australia and New Zealand. These agreements cover about $70 billion of trade in 2006. About 100 such trade deals have been signed in the 7 years since the launch of the Doha Round.
dw.com Original article ›
LyrArc Article Gist
The campaign in German schools "Smart ohne phone" or "Smart without a phone"  for school children in 2025. One student at Dalton High School in Alsdorf, North Rhine Westphalia, Klara Ptak, is cited in this report by  Oliver Pieper in DW.com. Klara 17 years old says- "A total of 51 phones were seized — that's a fairly significant number considering we have 700 students. And you can really see a difference, especially in the younger kids. They used to stand around in a circle staring at their screens, and now they are playing football, badminton, or board games together. It's a dramatic shift." A survey by the Körber Foundation, and pollster Forsa, says that parents of children ages 12 to 18 complain that their children's time spent on social media is out of control and is their leading source of stress. The German National Academy of Sciences Leopoldina is for banning phones upto tenth grade, it wants to keep children under 13 away from the internet for social media completely. It is interesting to note that the younger student are fine with it and adapted quickly seeing the benefits. This shows that a new generation of student can be trained for a different lifestyle. Today in the Washington Post Linda McMahon and RFK Jr. team up on an article saying just this that time spent on screens lifestyles along with nutrition and food fail school children badly, reminding people about the saying in Latin since the 2nd Century by poet Juvenal -"a healthy mind in a healthy body." ( Latin -"mens sana in corpore sano").   ...
NYTimes.com Original article ›
LyrArc Article Gist
"Favorable" District courts are now being used to support illegal migration into the US that was rejected in the 2024 election. A District Court in DC makes a ruling on ending asylum "invasion" of US southern border, by questioning that millions of illegal migrants entering in one year alone is an "invasion." Even though it is publicly known that over 2.4 million people crossed the US southern border in fiscal year 2023. These District Court rulings are being given high priority by the US Supreme Court.  In the most recent ruling from last week the SC stated in a 6-3 decision written by Justice Coney Barrett on birthright citizenship that the law on the lawsuits can apply to the individual case not  be converted into a national injunction.  The situation of asylum seeking deteriorated in three ways, the Mexican government of president Lopez Obrador, Alejandro Mayorkas as Biden's selection for Homeland Security, himself an immigrant from Cuba, and the Biden administration not grasping the true extent of the crisis at the southern border with the unsettled situation in central America and the economic disaster in Venezuela. For the first time in the 400 year history of this hemisphere since the Spanish colonization by 1600 and American independence by 1800 the ideas of the Monroe Doctrine of the US protecting this hemisphere were ignored leading to the disastrous situation at the US borders, leading to fentanyl and illegal migration of such proportions. As a result of the election of 2024 and the public view of illegal migration the DJT administration is taking the approach taken by president Eisenhower in 1952 in Operation Wetback, seeking to return illegal migrants to their home countries.   ...
Wall Street Journal Original article ›
LyrArc Article Gist
Its now known that some of the money that the government used to bailout AIG is going to Deutsche Bank and Goldman Sachs, so that they can pay the hedge funds to whome they sold credit default swaps. The way it works is this. Hedge funds bet against the housing market that if mortgage defaults reach a certain level they would be paid a large amount. To do this they buy credit default swaps from banks like Deutsche Bank and Goldman. In turn Deutsch and Goldman go out and hedge the risks of selling these credit default swaps. Its hard to find someone to sell this insurance, but AIG becomes the dominant insurer for these credit default swaps. What does AIG get out of this. Only fractions of apenny for every dollar of insurance sold to the banks, less than $10 million for $1 billion of insurance. These swaps were sold in 2005, when some of these hedge funds saw risks in the housing markets excesses, and they were making the bets for an event that was a very plausible one, with very little risk to themselves. And the banks were passing on a lot of the risk for insurance on the cheap to AIG, which ends being the sucker holding a big part of the risk. What did have to gain from this, and why it agreed to sell this insurance is a mystery. Its this insurance that has caused AIG its biggest headache, to have to set aside money to pay the banks who in turn pay the hedge funds. When these pools of mortgage assets of companies like Countrywide Financial, which were created by Deutsche Bank and Goldman, called by names such as 'START' and 'ABACUS', went down in value AIG has to set aside money to pay the banks. As these assets fall in value from mid September to December 2008, AIG and by this the government which now owns 80% of AIG, paid $5.4 billion to Deutsche and $8.1 billion to Goldman under credit default swap contracts AIG has written. This adds up to $52 billion paid to all the banks that bought insurance for credit default swaps they sold and covered with AIG insurance. And this is a large part of the $170 billion of government money to AIG. Its for this kind of financial wizardry that makes little sense, and showed no sense of responsibility for the firm, that the Financial Products Group's 370 employees are to be rewarded with $400 million in bonuses, with binding contracts as reported in the Washington Post. The $165 million so widely reported in bonuses sent out recently, are only a part of the $400 million. While this is going on its surreal that on the other side Michigan is hurting , auto states in the midwest are hurting badly. And $17 billion barely makes it through in time to keep GM and Chrysler running in December 2008, and the money can be called in by the government in February 2009 leading to these companies ending up in bankruptcy. This puts the situation in new perspective, and Rattner who heads the group looking at the GM restructuring must be aware of this, when he said bankruptcy is not necessarily the best option and the loans would not be called in by the government. Its job losses in the economy, and the fragile nature of the economic outlook, and also the way in which money is being scandalously wasted in other places like AIG with no purpose, that Rattner must have in the back of his mind as he looks at money for GM restructuring and jobs for hurting workers. ...
Wall Street Journal Original article ›
LyrArc Article Gist
U.S. health insurance company WellPoint Inc. will offer higher payments to primary care physicians. This is part of new strategy to reduce emergency room visits and costs after deterioration in a patients condition by relying on primary care physicians for better care at the outset. Payments to primary care physicians will be increased by 10%, with higher payments when the results show better quality and preventive care. WellPoint has a network of 100,000 primary care doctors. Physicians who meet certain goals such as lowering the overall cost of a patient's health care costs will be given an incentive of 20-30% of the savings realized. The new effort will add 1-2 percentage points to the 6-8% of the $100 billion that Wellpoint pays for claims processed each year. WellPoint's management sees a reduction in medical costs of about 20% by 2015 as a result of such efforts.
The Guardian Original article ›
LyrArc Article Gist
U.S. president Trump announces U.S. withdrawal from the World Health Organization on May 30, 2020. Earlier the president had sent a letter to the WHO as a 30 day ultimatum and that he would reconsider membership if the WHO did "not commit to major substantive improvements within the next 30 days." The U.S. has given $450 million a year to the WHO compared to $50 million by China, yet China president Trump says has "total control over the WHO," showing deep seated dissatisfaction at the way the WHO has under current leadership has handled the coronavirus crisis and failed to take early action for an early warning system as were taken by earlier heads of the WHO such as Gro Harlem Brundtland of Norway during the H1N1 crisis in 2003, who was cited in Mr. Trump's letter.


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