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The Stanford China Program in cooperation with the Center for East Asian Studies will host a special series of seminars to mark 60 Years of the People's Republic of China (PRC). Over the course of the winter and spring terms, we will have six leading scholars, each examining one of the six decades of the PRC's history. Our premise is that history matters. The speaker on each decade will characterize their decade, note shifts within that time, identify the pivotal events, and discuss how the decade shaped what happened afterwards.

Barry Naughton is an authority on the Chinese economy, with an emphasis on issues relating to industry, trade, finance, and China's transition to a market economy. Recent research focuses on regional economic growth in the People's Republic of China and the relationship between foreign trade and investment and regional growth. He is also completing a general textbook on the Chinese economy. Recently completed projects have focused on Chinese trade and technology, in particular, the relationship between the development of the electronics industry in China, Taiwan and Hong Kong, and the growth of trade and investment among those economies. His book, Growing Out of the Plan: Chinese Economic Reform, 1978-1993, which was published in 1995, is a comprehensive study of China's development from a planned to a market economy that traces the distinctive strategy of transition followed by China, as well as China's superior growth performance. It received the Ohira Memorial Prize in 1996. Naughton is the author of numerous articles on the Chinese economy and is editor or co-editor of three other books: Reforming Asian Socialism: The Growth of Market Institutions, Urban Spaces in Contemporary China, and The China Circle: Economics and Technology in the PRC, Taiwan and Hong Kong. Naughton joined IR/PS in 1988 and was named to the Sokwanlok Chair in Chinese International Affairs in 1998.

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Barry Naughton Sokwanlok Chair of Chinese International Affairs at the Graduate School of International Relations and Pacific Studies Speaker UC San Diego
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Although policymakers have increasingly turned to provider report cards as a tool to improve health care quality, existing studies provide mixed evidence that they influence consumer choices. We examine the effects of providing consumers with quality information in the context of fertility clinics providing Assisted Reproductive Therapies (ART). We report three main findings. First, clinics with higher birthrates had larger market shares after relative to before the adoption of report cards. Second, clinics with a disproportionate share of young, relatively easy-to-treat patients had lower market shares after adoption versus before. This suggests that consumers take into account information on patient mix when evaluating clinic outcomes. Third, report cards had larger effects on consumers and clinics from states with ART insurance coverage mandates. We conclude that quality report cards have potential to influence provider behavior in this setting.

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Journal of Health Economics
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The Technological Change in Health Care Research Network collected unique patient-level data on three procedures for treatment of heart attack patients (catheterization, coronary artery bypass grafts and percutaneous transluminal coronary angioplasty) for 17 countries over a 15-year period to examine the impact of economic and institutional factors on technology adoption. Specific institutional factors are shown to be important to the uptake of these technologies. Health-care systems characterized as public contract systems and reimbursement systems have higher adoption rates than public-integrated health-care systems. Central control of funding of investments is negatively associated with adoption rates and the impact is of the same magnitude as the overall health-care system classification. GDP per capita also has a strong role in initial adoption. The impact of income and institutional characteristics on the utilization rates of the three procedures diminishes over time.

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Health Economics
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The incidence of obesity has increased dramatically in the U.S. Obese individuals tend to be sicker and spend more on health care, raising the question of who bears the incidence of obesity-related health care costs. This question is particularly interesting among those with group coverage through an employer given the lack of explicit risk adjustment of individual health insurance premiums in the group market. In this paper, we examine the incidence of the healthcare costs of obesity among full time workers. We find that the incremental healthcare costs associated with obesity are passed on to obese workers with employer-sponsored health insurance in the form of lower cash wages. Obese workers in firms without employer-sponsored insurance do not have a wage offset relative to their non-obese counterparts. Our estimate of the wage offset exceeds estimates of the expected incremental health care costs of these individuals for obese women, but not for men. We find that a substantial part of the lower wages among obese women attributed to labor market discrimination can be explained by the higher health insurance premiums required to cover them.

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Journal of Health Economics
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As the Doha Development Round trade negotiations have stalled, bilateral and regional free trade agreements have become an important alternative. These agreements have proliferated in recent years, and now all of the major trading countries are engaging in serious bilateral trade negotiations with multiple trading partners. This book provides a comprehensive study of recent bilateral and regional trade agreements. There are two main aspects. First, it surveys the most important recent agreements in relation to each substantive topic covered (e.g. intellectual property, investment, services and social policy) and provides an overview of the law being created in these areas. Second, the bilateral and regional trade agreements are explained in the context of economics, international law and international relations.

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Cambridge University Press: Cambridge
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Written and edited by many of the world’s foremost scholars of transnational history, this dictionary challenges readers to look at the contemporary world in a new light. It contains over 400 entries on transnational subjects such as food, migration, and religion, as well as traditional topics such as nationalism and war.

Rafiq Dossani, a Walter H. Shorenstein Asia-Pacific Research Center senior research scholar, contributed the chapter about offshoring.

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Palgrave MacMillan, in Dictionary of Transnational History
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Rafiq Dossani
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9781403992956
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This issue of the International Journal of Healthcare Finance and Economics features eight
articles evaluating different provider payment methods in comparative international perspective, with authors from Hungary, China, Thailand, the US, Switzerland, and Canada. These contributions illustrate how the array of incentives facing providers shapes their interpersonal, clinical, administrative, and investment decisions in ways that profoundly impact the performance of health care systems. Taken as a whole, the articles show that in addition to the specifics of the reimbursement or remuneration scheme for individual providers and provider organizations, other factors matter—including ownership, allocation of control rights (such as in public-private partnerships), and expectation of a bail-out (soft budget constraints). All of these facets of payment and accountability systems shape the quality and efficiency of service delivery.

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International Journal of Healthcare Finance and Economics
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Karen Eggleston
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Given an increasingly complex web of financial pressures on providers, studies have examined how hospitals’ overall financial health affects different aspects of hospital operations. In our study, we develop an empirical proxy for the concept of soft budget constraint (SBC, Kornai, Kyklos 39:3–30, 1986) as an alternative financialmeasure of a hospital’s overall financial health and offer an initial estimate of the effect of SBCs on hospital access and quality. An organization has a SBC if it can expect to be bailed out rather than shut down. Our conceptual model predicts that hospitals facing softer budget constraints will be associated with less aggressive cost control, and their quality may be better or worse, depending on the scope for damage to quality from noncontractible aspects of cost control. We find that hospitals with softer budget constraints are less likely to shut down safety net services. In addition, hospitals with softer budget constraints appear to have better mortality outcomes for elderly heart attack patients.

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International Journal of Healthcare Finance and Economics
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Karen Eggleston
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Using data from 276 general acute hospitals in the Pearl River Delta region of Guangdong Province from 2002 and 2004, we construct a preliminary metric of budget constraint softness. We find that, controlling for hospital size, ownership, and other factors, a Chinese hospital’s probability of receiving government financial support is inversely associated with the hospital’s previous net revenue, an association consistent with soft budget constraints.

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International Journal of Healthcare Finance and Economics
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Karen Eggleston
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A variety of recent theoretical and empirical advances have renewed interest in monopsonistic models of the labor market. However, there is little direct empirical support for these models, even in labor markets that are textbook examples of monopsony. We use an exogenous change in wages at Veterans Affairs hospitals as a natural experiment to investigate the extent of monopsony in the nurse labor market. In contrast to much of the prior literature, we estimate that labor supply to individual hospitals is quite inelastic, with short-run elasticity around 0.1. We also find that non-VA hospitals responded to the VA wage change by changing their own wages.

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Journal of Labor Economics
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