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Portfolio.com: Business News

The Future of Reproduction: The Birth Business
Mon, 27 Apr 2009 04:00:00 -0000
The future of the birth business may in fact lie in the past: a low-tech birth that focuses on the needs of the mother and the natural physiological process. At The New Space, a birth center slated to open in Manhattan in 2012, laboring mothers will give birth in rooms with amenities like Jacuzzi tubs and queen-sized beds. It sounds like an expensive luxury, but there is a growing realization that it could not only improve the health of mothers and newborns, but also save the U.S. health-care system millions of dollars. A series of systematic and scientific reports and reviews, funded by the Milbank Foundation, has just been released. It proves, statistically, what alternative practitioners have been saying for years: that the birth-industrial complex has gotten out of hand. In the past, financial incentives have steadily worked to push the birth process into operating rooms and surgical centers. Currently, only 1 percent of births in the U.S. occur with midwives at home or at birth centers, and childbirth is the leading reason for hospitalization. It all adds up to a huge proportion of the ballooning national health-care budget: Six of the 15 most frequent hospital procedures billed to private insurers and Medicaid are birth-related, bringing the nation's maternity bill to nearly $86 billion in 2006, according to the 2008 Milbank Report. Because insurance companies pay hospitals by the procedure, and because malpractice insurance is so high, most hospitals don't employ midwives and instead lean on high-tech procedures in order to bill more and prevent less risk. The typical scenario: Hospitals want to get women in and out quickly, so doctors often induce labor with drugs, which causes contractions to happen so quickly that they become unbearable and require an anesthesiologist to come in with an epidural, or the surgeon to move straight to a C-section, explains Jennifer Block, the author of Pushed: The Painful Truth About Childbirth and Modern Maternity Care. "We've pushed every woman in the hospital and almost every delivery is by a surgeon," she says. According to the Milbank numbers, she's not exaggerating. In 1965, the national C-section rate was 4.5 percent, and in 2008, an estimated one in three of the 4.3 million births that year was by C-section. The average hospital birth now costs between $7,000 for a vaginal birth and $16,000 for a C-section. The Milbank report's most significant finding, however, is hard scientific evidence that high-tech does not necessarily translate into the highest-quality care and the best outcome. For example, the report shows that fetal monitoring, the most commonly used billable procedure, has no clear benefit for a low-risk pregnancy because it keeps the mother confined to bed, which is not always the best labor position. And while C-sections can be a life-saving procedure, they are also overused and can lead to health problems in the newborn. So birth facility that doesn't speed up the process or rely too heavily on surgery actually helps laboring mothers experience less pain and lowers the chances for complications, says Maureen Corry, the executive director of The Childbirth Connection and one of the report's authors. By proving that natural childbirth is safer than medicalized delivery, the Milbrook report gives cover to hospital administrators who would change the system because it improves their bottom line. Rebecca Benghiat, the executive director of The New Space, compares the new birth-center model with other specialized medical centers: cardiac-care centers, for example. "From a business perspective, [specialization] lowers the overhead and lets us break even based on a facility fee instead of both a facility fee and a provider's fee," she explains. In other words, the patient pays for the space instead of the procedure. "From the patient's perspective, it will be all about what she and her family needs," Benghiat continues. But it also gives the provider what it wants: more room for profit. Doctors and midwives do pre-natal care offsite, lowering the actual cost of a birth by about $1,600. Additionally, the center does not have to pay as much for the malpractice insurance. Will the new birth-center model catch on? Dr. Lisa Latts, vice president of The Program for Clinical Excellence at WellPoint, which owns 14 Blue Cross Blue Shield plans, says that so far "there is just not a lot of demand for the more leading-edge models." The problem, she explains, is that moms don't know about them. And the ones that do may be put off by the pain involved in natural childbirth. The solution, she suggests, could be as easy as creating natural-birth centers with higher-tech backup—just in case. Latts sees the birth-center model as the rare win-win situation: When women have more choices, she says, the rates for C-sections and other expensive procedures decrease, resulting in a potential saving of billions of dollars.Related LinksRecession ContraceptionHPV Vaccine Inspires Yellow Health JournalismThe GOP's Gov Child

Wired: Tech Biz

$4 Billion in Broadband Stimulus Grants Tied to Strict Net Neutrality Rules
Ryan Singel Thu, 02 Jul 2009 14:16:00 -0000
Two federal agencies are now ready to hand out $4 billion in grants and loans to help bring broadband to the people and stimulate the economy, but applicants have to promise to play fairly with whatever devices, applications and services users want to use.
Clive Thompson on Cuba's Potential Tech Boom
Clive Thompson Thu, 02 Jul 2009 04:00:00 -0000
Back in the '80s, Ireland was one of the poorest countries in Western Europe, with unemployment as high as 17 percent. But the scrappy nation had one advantage: It always invested in education, so while the Irish were poor, they were smart. American tech companies like Dell and Intel eventually realized the island was full of underemployed brainiacs and opened up offices there. The Irish were soon performing tasks such as developing software and working in pharmaceutical manufacturing and research. By the late '90s, the influx of jobs turned the country around: Ireland was filled with people who were smart and also wealthy, among the richest in Europe. The Celtic Tiger was born. Is there another country today with the same potential, one that could erupt in an intelligence-driven boom? Yep, though it's probably not one you'd expect: Cuba. I visited Cuba a few years ago and was surprised at how much it reminded me of Ireland. Everyone was smart, skilled, and seemed hungry for opportunities to improve their lives—perhaps even more so than the Irish had been back in the '80s, because they'd spent decades under Fidel Castro's human-rights-crushing thumb. Now that President Obama is talking about opening up trade, Cuba experts predict that the country could explode with creativity and entrepreneurial innovation. "There's tremendous potential," says Gustav Ranis, an economic-development expert at Yale. Like the '80s Irish, Cubans are eerily well educated, particularly for such an impoverished people. Education is one thing Castro has done right: 99.8 percent of adults are literate, and nearly a third have graduated from high school, many with the sort of vocational training in mechanics and farming the US foolishly let slip a generation ago. Based on UN statistics, one out of five young adults in Cuba graduates college. Cubans also have a hacker mindset. They've needed it to handle the constant privation. They keep 50-year-old cars running with cobbled-together parts. They cadge gray-market Internet access by making friends with local officials—among the anointed few the government allows online. When Soviet food supplies vanished, Cubans turned to urban gardening. If the US embargo ends, Cuba could become an Ireland-like high tech outsourcing resource. "They've got all the skills you need for software programming," says Kenneth Flamm, professor of international affairs at the University of Texas at Austin. Cubans, many of whom study English in school, would be particularly good at "localizing" US software for Latin American markets, Flamm says. Plus, Havana is only an hour's flight from Miami, making it convenient for offshoring. Medicine would be another potential area of growth. Cuban health care, particularly preventive care, has been amazingly good; Cuban life expectancy is on a par with that of the US. The country has poured millions into biotech, creating vaccines for meningitis B and hepatitis B. "Biotech and health tourism have really serious potential," says Vicki Huddleston, a Brookings Institute expert on Cuba. Mind you, white-collar jobs aren't enough. Cuba has more than 11 million people, and gainfully employing that many requires tons of jobs in textiles, light industry, and agriculture. Organic farming, interestingly, could be big: Because the embargo has made it hard to get pesticides, Cuba has used comparatively little of them, which means much of the island is organic-ready, so long as it avoids the "resource curse" and stays away from too much mining and oil drilling. Retaining the social welfare net would also be crucial. Obviously, this is blue-sky thinking. To really open up trade, the Castros will have to liberalize their repressive regime. (An independent journalist I met while visiting in January 2003 was arrested two months later.) There's no telling if or when that will happen. But let's hope it does. In sheer human potential, Cuba is an economic and technological miracle waiting to happen. Email clive@clivethompson.net
Bing Snags Small Gain From Google
Ryan Singel Wed, 01 Jul 2009 18:42:00 -0000
Bing grabs a percentage point in the search wars, stealing a sliver of the search market from Google. Is it the beginning of a long march or just the product of an ad campaign?

ABC News: Money

For Investors, Cash Is King
Sat, 04 Jul 2009 09:39:03 -0400
Burned by the market, many seek cash assets for long-term portfolios.
WATCH: Frugal Fireworks
Sat, 04 Jul 2009 09:43:35 -0400
All Bets Off for Russia's Casinos?
Fri, 03 Jul 2009 10:58:25 -0400
More than 400,000 out of work as Russia's casinos close under anti-vice law.

Mondaq.Com - feed of articles

United States: Discovery of Data from Backup Tapes: Managing Risks and Shifting Costs - Mayer Brown
Sat, 04 Jul 2009 00:00:00 -0000
A company is sued by a class of investors. The investors issue a discovery request for a large number of data files that are only tangentially related to their claim.
United States: The New SEC Whistleblower Proposal: Make It Fair, Make It Pay, And They Will Come - The Hurson Law Firm LLP
Fri, 03 Jul 2009 12:02:54 -0000
Buried deep within President Obama’s historic new proposals to oversee and regulate the financial markets (“Financial Regulatory Reform, A New Foundation”) is the outline of a provision that garnered no headlines but might well become the most effective new anti-fraud regulation of all: rewarding whistleblowers who disclose fraud cases to the United States Securities & Exchange Commission (“SEC”).
United Kingdom: SJ Berwin's Community Week: A Weekly Summary Of Competition Law And Policy Developments - SJ Berwin LLP
Fri, 03 Jul 2009 11:52:00 -0000
Advocate General Ruiz-Jarabo Colomer delivered an opinion on the legal regime governing public-private partnership arrangements ("PPPs") on 2 June 2009, concluding that it is legitimate for regional public authorities to establish legal entities to enter into partnerships with private participants (institutionalised PPPs or IPPPs).

BBC News | Business | World Edition

Rogue trades cost oil broker $10m
Fri, 03 Jul 2009 14:19:10 -0000
A rogue trader at a London-based oil brokerage causes his employer to lose $10m (£6m) after making unauthorised trades.
Venezuela assumes control of bank
Sat, 04 Jul 2009 06:47:54 -0000
Venezuela's government formally takes control of the country's third largest bank - the Spanish-owned Banco de Venezuela.
More backing for Rio cash-raising
Fri, 03 Jul 2009 06:49:58 -0000
A Rio Tinto rights issue sees strong take-up from existing holders of its Australian-listed shares - after similar UK success.

CBC | Money News

Chinese government company spends $1.74B on Teck stock
Fri, 03 Jul 2009 10:42:01 -0400
A Chinese government company will spend $1.74 billion to buy new stock issued by Canadian mining giant Teck Resources Ltd.
Chinese firm makes non-binding offer to GM for Opel
Fri, 03 Jul 2009 18:07:23 -0400
General Motors Corp. confirmed Friday that it has received a non-binding offer for its Opel division from the holding company of a Chinese automaker.
Petro Andina directors oppose $400M takeover bid
Fri, 03 Jul 2009 16:47:29 -0400
Petro Andina Resources Inc.'s board of directors is urging shareholders to reject an unsolicited $400-million takeover bid from a private Dutch company.
BG Int'l gets Canadian stake in Trinidad gas property
Fri, 03 Jul 2009 13:20:32 -0400
BG International will exercise its right to buy a 45 per cent stake in a natural gas property off the coast of Trinidad from Canadian Superior Energy Inc., the two companies announced Friday.
Adaltis Inc. granted creditor protection
Fri, 03 Jul 2009 16:25:26 -0400
Adaltis Inc. was granted protection under the Companies' Creditors Arrangement Act on Friday after announcing that it doesn't have enough cash to meet its current obligations.
Baffinland Iron Mines may have to revise shipping from Nunavut
Fri, 03 Jul 2009 19:03:30 -0400
Baffinland Iron Mines may have to consider other routes to ship ore from its proposed Mary River mine site in Nunavut, due to public concerns presented to environmental assessors earlier this year.

Forbes.com: E-Business News

Dumb Ways To Make Computers Smarter
Lee Gomes Wed, 10 Jun 2009 10:00:00 -0000
Searching quoted phrases makes all the difference.
Google's Macro Software Threat
Taylor Buley Thu, 28 May 2009 22:00:00 -0000
Parlez-vous Excel? This story is for you.
Dell Could Hit Acquisitions Trail
Brian Caulfield Wed, 27 May 2009 06:07:23 -0000
PC vendor's move to hire IBM's former acquisitions honcho could signal spending spree.

 

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