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Given that much of the global leadership in value creation over the past couple of decades has been driven by the Silicon Valley model – not only a geographic region but a distinct ecosystem of complementary characteristics – the basic question this paper asks is how far Japan’s Abenomics reforms are pushing Japan towards being able to compete in an era dominated by Silicon Valley firms. 

To answer this, the first section of this paper looks at content of the third arrow of Abenomics. The second section then distills the Silicon Valley ecosystem into its key characteristics, sorts each of these characteristics according to the underlying institutions to put forth a model, and briefly evaluates whether third arrow reforms move Japan closer to a Silicon Valley model of entrepreneurship and innovation.

 

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Kenji E. Kushida
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As an increasing number of California households install solar panels, the current approach to retail electricity pricing makes it harder for the state’s utilities to recover their costs. Unless policymakers change how they price grid-supplied electricity, a regulatory crisis where a declining number of less affluent customers will be asked to pay for a growing share of the costs is likely to occur.

 

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Stanford Institute for Economic Policy Research (SIEPR)
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Frank Wolak
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The age of ideological struggle failed to end with the Cold War.  Francis Fukuyama, who coined the phrase “the end of history”, talks to Anne McElvoy about the rise of identity politics, whether there is any force that can rival it, and which party is playing the identity game better in the American midterms. Listen here.

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Beth Duff-Brown
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Some 450 million patient visits to primary care clinics occur in the United States each year. And as the shortage of doctors grows larger each year, primary care teams face increasing pressure both during patient encounters and outside the examining room.

The growing time constraints on primary care clinics — conducting patient consults faster, logging results in EMRs sooner, keeping up with regulatory changes — are worrying patients and physicians alike. 

Stanford Health Policy’s Kathryn M. McDonald and colleagues wanted to better understand the organizational influences of time stressors and the impact they are having on patients.

“Patients get interrupted often when doctors and their care teams are rushed,” said McDonald, MM, PhD, executive director of the Center for Health Policy and Center for Primary Care and Outcomes Research. “They worry about whether their concerns and needs will be addressed adequately. Getting the right diagnosis, treatment and support are all important to patients, so any risk of experiencing suboptimal care due to time stressors is worth understanding better.”

In a study published in the American Public Health Association journal, Medical Care, McDonald and her colleagues wrote that despite concern about the impact time pressure has on the delivery of health care, “scant evidence exists about types of time stress, the organizational factors that shape such stressors in routine care settings, and consequences for patients and practitioners alike.” 

So the researchers analyzed cross-sectional survey data collected from January to August 2016 from primary care teams at 16 randomly selected primary care practices associated with two large Accountable Care Organizations (ACOs) and their patients with cardiovascular disease, diabetes, or both. Through April 2016, they gathered data from 353 physicians and staff members of the clinics.

Then from May to August 2016, the researchers surveyed 1,291 patients by mail and telephone follow-up calls to ask about their concerns.

They determined that the responses translated into two types of stressors related to the lack of time: practice-level time pressure and encounter-level time pressure.

“The stressor condition is similar to the weather—determined by both barometric pressure and temperature — in potentially different way,” they posited.

They found that different organizational factors are associated with each form of time pressure. A patient-centered culture, for example, may include specific patient engagement initiatives, and is associated with reductions in encounter-level time pressure. Similarly, health information systems that provide true support for clinical workflow and good teamwork also corresponded with less encounter-level time pressure. A different organizational influence — leaders that are responsive to the clinic teams — was associated with reductions in practice-level time pressure.

The potential consequences for patients are missed opportunities in patient care and inadequate chronic care support — two very important factors behind successful health care.

“The findings underscore the importance of linking all levels and aspects of physician practice organizations to mitigate  the negative effects of time pressure on patient care” said Stephen Shortell, principal investigator of the Patient Centered Outcomes Research Institute (PCORI) grant that funded the study.  Their other co-author is Hector Rodriguez at the UC Berkeley School of Public Health.

They discovered that one-third of medical team respondents indicated they work in a chaotic practice atmosphere, juggling patient calls, documentation, quality reporting, and many other tasks. The more senior the staff member was, reports of working in a chaotic environment lessened.

Only 31 percent of those respondents said that during patient visits, it was very unlikely for the team to miss all seven specific opportunities related to screening, diagnosis or treatments. 

“Doctors’ offices may increase their chances of preventing adverse effects of time stressors by becoming more patient-centered, coordinating care among team members better and assuring that information technologies make work easier,” McDonald said in an interview about how the results might lead to some solutions. 

“I was struck by the importance of leadership’s responsiveness to their frontline team’s input about changes needed when doctor’s offices are more chaotic,” she said. “Likewise, for clinics that are part of larger groups, like Accountable Care Organizations, the corporate office’s decisions seem to play a role in the perception of time stressors at the practice level.”

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Fairleigh S. Dickinson, Jr. Professor in Public Policy.
Professor of Political Science
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Paul M. Sniderman is the Fairleigh S. Dickinson, Jr. Professor in Public Policy.

Sniderman’s current research focuses on the institutional organization of political choice; multiculturalism and inclusion of Muslims in Western Europe; and the politics of race in the United States.

Most recently, he authored The Democratic Faith and co-authored Paradoxes of Liberal Democracy: Islam, Western Europe and the Danish Cartoon Crisis (with Michael Bang Petersen, Rune Slothuus, and Rune Stubager).

He has published many other books, including The Reputational Premium: A Theory of Party Identification and Policy Reasoning, Reasoning and Choice, The Scar of Race, Reaching beyond Race, The Outsider, and Black Pride and Black Prejudice, in addition to a plethora of articles. He initiated the use of computer-assisted interviewing to combine randomized experiments and general population survey research.

A fellow of the American Academy of Arts and Sciences and of the American Association for the Advancement of Science, he has been awarded the Woodrow Wilson Prize, 1992; the Franklin L. Burdette Pi Sigma Alpha Award, 1994; an award for the Outstanding Book on the Subject of Human Rights from the Gustavus Meyers Center, 1994; the Gladys M. Kammerer Award, 1998; the Pi Sigma Alpha Award; and the Ralph J. Bunche Award, 2003.

Sniderman received his B.A. degree (philosophy) from the University of Toronto and his M.A. and Ph.D. degrees from the University of California, Berkeley.

 

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The United States is in the grip of an opioid epidemic, which is affecting millions of Americans and claiming thousands of lives. Many trace their opioid dependence back to their doctor’s office, the drugs prescribed for pain after an injury, surgery, or dental procedure. Were these painkillers over prescribed? Did drug manufacturers exaggerate opioids’ effectiveness while deliberately underplaying their danger? Did drug distributors and retailers take necessary steps to ensure that pills weren’t falling in to the wrong hands?  

In this Q&A, Stanford Law Professors Michelle Mello, an expert in health law and core faculty member at Stanford Health Policy, and Nora Freeman Engstrom, an expert in tort law and complex litigation, explain the scope of the opioid problem and discuss the latest cases and legal challenges.

Just how big of a problem is the opioid crisis in the United States? Can you describe the problem’s scope and seriousness? 

Engstrom: The opioid problem is monstrous. Some 2.4 million Americans have an opioid use disorder, and the epidemic has already claimed 300,000 American lives, including 42,000 in 2016 alone. Worse, if the problem isn’t addressed, death tolls will rise: opioids are on track to claim the lives of another half-million Americans within the next decade. That’s like wiping out the entire city of Atlanta. The economic cost is also astronomical. The Council of Economic Advisors has estimated that, in 2015, “the economic cost of the opioid crisis was $504.0 billion, or 2.8 percent of GDP.”

Mello: If there’s one picture that brings home the shocking toll, it’s this one, showing trends in U.S. deaths based on data from the Centers for Disease Control and Prevention.  Nearly all of the “Poisoning” deaths shown here are opioid related. In terms of what’s killing Americans, opioids dwarf car crashes and guns.

Opioid lawsuits are now making news . Some of the actions are criminal, pursued by the states and federal government. Others of those suits are being initiated by cities, counties, and even states. What do those latter suits allege and what damages are the public plaintiffs trying to recover?

Engstrom: In the past four years, roughly 400 cities, counties, and states have initiated lawsuits seeking recovery for their additional public spending traceable to the opioid epidemic. The governmental entities claim they have been injured because defendants—typically, opioid manufacturers, distributors, and big retail pharmacies—have pumped opioids into the hands of their citizens and, in so doing, increased their spending for governmental services. Everything from policing, education, foster care, the provision of health care, even the operation of coroner’s officers, have all been made more expensive because, as compared to a healthy citizenry, an opioid-addicted populace is far less productive and needs much more by way of government help. Facing these spiraling costs, the governmental plaintiffs contend that the opioid defendants—who, they contend, caused and profited from this crisis—should foot the bill.

So, the typical defendants in these cases are opioid manufacturers, distributors, and big retail pharmacies. What is it that the plaintiffs are alleging these defendants did wrong?

Mello: There are some variations state to state, but for manufacturers, plaintiffs are typically claiming that they made false statements to prescribers and others that the drugs were safer and less addictive than alternatives, even when mounting evidence showed otherwise; that they failed to warn physicians and patients about the risks; and that the products were defectively designed—for example, because manufacturers didn’t make the pills tamper-resistant. For distributors and retailers, the claims are that these defendants failed to monitor, detect, investigate, and report suspicious orders of prescription drugs, even though reasonably prudent suppliers would have done so and the federal Controlled Substances Act requires suppliers to maintain effective controls against diversion of controlled substances to illicit markets.

 

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The Roots of Health Inequality: The Value of Intra-Family Information


Maria Polyakova, PhD

Assistant Professor of Health Research and Policy

Maria Polyakova, PhD, is an Assistant Professor of Health Research and Policy at the Stanford University School of Medicine. Her research investigates questions surrounding the role of government in the design and financing of health insurance systems. She is especially interested in the relationships between public policies and individuals’ decision-making in health care and health insurance, as well as in the risk protection and re-distributive aspects of health insurance systems. She received a BA degree in Economics and Mathematics from Yale University, and a PhD in Economics from MIT.

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As Stacy Shimanuki delivered her presentation about the Pacific War (1941–45), I was reflective of the fact that the 73rd anniversary of the surrender of Japan, August 15, 1945, was five days away. Stacy was one of several American and Japanese high school students who were honored by SPICE during an annual event called “Japan Day” at Stanford University on August 10, 2018. The top three students of Stanford e-Japan (fall 2017 cohort) and three students of the Reischauer Scholars Program (2018 cohort) gave presentations on their course research papers. The Reischauer Scholars Program (RSP) is a distance-learning course on Japan and U.S.–Japan relations that is offered annually to high school students in the United States, and Stanford e-Japan is a distance-learning course on the United States and U.S.–Japan relations that is offered twice annually to high school students in Japan.
 
For me, Japan Day is not only a day of recognition of students but is also symbolic of the close friendship between the United States and Japan that has evolved from a once-bitter rivalry. Though the six students had met their instructors Naomi Funahashi (RSP instructor; Dr. Rie Kijima taught the latter part of the 2018 RSP course) and Waka Takahashi Brown (Stanford e-Japan instructor) in online “virtual classrooms,” it was their first time meeting face-to-face. Although they had never met before, it was remarkable to me how the students on both sides of the Pacific seemed almost like old friends by the end of the day.
 
Japan Day opened with comments by the Honorable Tomochika Uyama, Consul General of Japan in San Francisco. He stated,  
 
The Japan–U.S. alliance is the cornerstone of security, stability, and prosperity in the Asia-Pacific region. As we look at the global challenges we face today, I believe that we must strive to ensure that our special relationship remains strong and vital. One way to accomplish this is by preparing the best and brightest of our young people with the kind of learning opportunities that will deepen mutual understanding. It is my belief that the Reischauer Scholars Program and Stanford e-Japan are admirably working toward this goal by providing the knowledge and expertise our young people will need as future leaders in Japan–U.S. relations. 
Before the student presentations, Consul General Uyama took the time to speak with each of the honorees.
 
  RSP honorees Stanford e-Japan honorees
  • Grace Rembert, Bozeman High School, Bozeman, Montana
  • Stacy Shimanuki, Amador Valley High School, Pleasanton, California
  • Valerie Wu, Presentation High School, San Jose, California
  • Amane Kishimoto, Kyoto Prefectural Rakuhoku Senior High School, Kyoto
  • Yurika Matsushima, Keio Girls Senior High School, Tokyo
  • Jun Yamasaki, Shibuya Kyoiku Gakuen Senior High School, Tokyo
 
The students presented on topics ranging from open innovation, employment and people with disabilities, and the U.S. and Japanese educational systems to language and nationalism, literature on the atomic bombing of Japan, and urbanization in Japan. Brown and Funahashi had high praise for their students. “I’m always so proud of our e-Japan award winners,” stated Brown. “Their level of research is at such a high level, and to be able to conduct their presentations in English and with such poise is an amazing achievement for students at such a young age.” During the presentations by her students, Funahashi reminded the audience, “These are high school students!” Without fail on Japan Day, Funahashi hears audience members complimenting the intellect of her students and how articulate they are. 
 
Waka Brown and Naomi Funahashi at podium Waka Brown and Naomi Funahashi at podium
Attendees represented people from the Stanford community and the U.S.–Japan community in the Bay Area, including Dr. Takeo Hoshi, Director, Japan Program, and Junichiro Hirata, Visiting Scholar, Shorenstein Asia-Pacific Research Center, FSI; and Dr. Kazuhiko Hasegawa, Executive Director, San Francisco Office, Osaka University, Kathleen Kimura, Japan Society of Northern California, and Dr. Yoichi Aizawa, Executive Director, San Francisco Office, Waseda University. Amanda Minami Chao and David Chao were recognized for their many years of support to SPICE.   
 
Following the formal program, the students enjoyed a tour of Stanford University. The SPICE staff and I were left hoping that someday we would see them again as undergraduate or graduate students on campus and more importantly, hoping that they will remain friends to further strengthen the decades of friendship between Japan and the United States. 
 
To stay informed of SPICE-related news, follow SPICE on Facebook and Twitter.

Funding for SPICE’s distance-learning courses is generously provided by Amanda Minami Chao and David Chao, and Jean Mou and Yoshiaki Fujimori. Funding for the 2018 RSP was generously provided by Gen Isayama, the Center for Global Partnership/The Japan Foundation, and The Japan Fund, FSI. Funding for the Stanford e-Japan 2017 courses was generously provided by the United States-Japan Foundation, and for the Stanford e-Japan spring 2018 course by Noriko Honda Chen, Harry Gunji, Akira Horiguchi, Paul Li, Tomonori Tani, and the Capital Group Companies. 

 
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The Honorable Tomochika Uyama with six student honorees
The Honorable Tomochika Uyama with six student honorees
Rylan Sekiguchi
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