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Corporate Control of Public Health: Case Studies and Call to Action. Martin Donohoe. Am I Stoned?. A 1999 Utah anti-drug pamphlet warns: “Danger signs that your child may be smoking marijuana include excessive preoccupation with social causes, race relations, and environmental issues”. - PowerPoint PPT Presentation
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Martin Donohoe
Am I Stoned?A 1999 Utah anti-drug pamphlet warns:
“Danger signs that your child may be smoking marijuana include excessive preoccupation with social causes, race relations, and environmental issues”
Corporations“The [only] social responsibility of business is to increase its profits.”
- Milton Friedman
Corporations“Corporations [have] no moral conscience. [They] are designed by law, to be concerned only for their stockholders, and not, say, what are sometimes called their stakeholders, like the community or the work force…”
-Noam Chomsky
OutlineCorporate Domination of World
EconomyCorporate TaxationCorporate CrimeCorporations and EducationCorporations and the Media
OutlineInternational Non-Cooperation and
IsolationismCase StudiesSolutionsDiscussion
Corporations Dominate the Global Economy
Almost 6 million corporations90% of transnational corporations headquartered in Northern Hemisphere
500 companies control 70% of world trade
Corporations Dominate the Global Economy53 of the world’s 100 largest economies are private corporations; 47 are countriesWal-Mart is larger than Israel and Greece
The Stock MarketThe top 1% of Americans owns 51% of all
stocks, bonds, and mutual fund assetsConsequences of Differential Stock
OwnershipCorporations are answerable to their
shareholdersGovernments are answerable (at least in
theory) to their citizens (either through elections or revolutions)
CorporationsInternalize profits
Externalize health and environmental costs
Corporate TaxationCorporations shouldered over 30% of the nation’s tax burden in 1950 vs. 8% today
Nearly 1/3 of all large U.S. corporations pay no annual tax
Reasons for Inadequate Corporate TaxationCorporate tax breaks/loopholesCorporate welfareCheating and under-payment common
Offshore tax havens shelter capital
“White Collar” (Corporate) Crime vs. “Blue Collar” (Street) Crime”Each year in America, we lose;$3.8 billion to burglary and robbery
Hundreds of billions to trillions of dollars to white collar crime
Why So Much Corporate CrimeFines meager, often considered a cost of
doing businessCorporate crime under-prosecuted,
prosecutors under-fundedConfidential legal settlements keep
important public health and safety information secretMay delay governmental intervention,
cause unnecessary morbidity and mortality
Consequences of CorporatizationIncreasing industry consolidation/mergers
Inflation
Rising unemployment
Consequences of CorporatizationRise of the “permatemp”
Expatriation of jobsOverseas factories often lack adequate
occupational health and safety and environmental standards
Decline in labor union membership
Exorbitant CEO PayCEO salaries up 500% since 1980The average CEO makes 350-400X the salary of the average U.S. worker (1960 - 41X)Mexico 45:1Britain 25:1Japan 10:1
Corporate Involvement in
Education
Would You Sign a Petition to Ban Dihydrogen Monoxide?
1. It can cause excessive sweating and vomiting
2. It is a major component in acid rain
3. It can cause severe burns in its gaseous state
4. It can kill you if accidentally inhaled
5. It contributes to erosion
6. It decreases effectiveness of automobile brakes
7. It has been found in tumors of terminal cancer
patients
Geographic/Scientific Ignorance, PseudosciencePercent of US teens unable to locate the following on a map:United States – 11%Pacific Ocean – 29%Japan – 58%
Pseudoscientific BeliefsPercentage of Americans who believe “at least to some degree” in these “phenomena”
1997 1976Astrology 37% 17%UFOs 30% 24%Reincarnation 25% 9%Fortune-Telling 14% 4%
Ignorance/Pseudoscientific BeliefsHalf of US citizens do not believe in evolution and do believe that humans and dinosaurs coexisted (2007)40% think scientists still generally disagree about evolution
Pseudoscientific Beliefs37% believe places can be haunted (2007)
25% believe in UFOs (2007)24% believe in astrology (2009)16% believe that people with the “evil eye” can cast curses or harmful spells
Ignorance/Pseudoscientific Beliefs22% of Americans don’t know whether an
atomic bomb has ever been dropped (2000)20% of Americans don’t know the earth
revolves around the sun (1999)18% believe in Bigfoot and the Loch Ness
Monster (2007)8% of men / 18% of women believe in
astrology and fortune tellers (2007)
Public Education in DisarrayU.S. Schools ranked lowest among western nations
Inadequate funding, decaying infrastructure
National HS graduation rate stagnant at 65-70%
College tuition costs rising
Nation’s Schoolchildren Call For Cuts in Math/Science Funding
Television and the MediaThe average American youth spends 900 hrs/yr in school, 1,500 hrs/yr watching TV
By age 65, the average American will have spent 9 yrs watching TV
Corporate PR TacticsAdvertisingAstroturf - artificially-created grassroots coalitions
Corporate front groups
Corporate PR tacticsInvoke poor people as beneficiaries
Characterize opposition as “technophobic,” anti-science,” and “against progress”
Portray their products as environmentally beneficial despite evidence to the contrary
Greenwash
Public relations / ad campaignsBP invests $100 million
annually in clean energy = amt. it spends annually to market itself as moving “Beyond Petroleum”
Sponsored Environmental Education Materials (Examples)International Paper
-“Clearcutting promotes growth of trees that require full sunlight and allows efficient site preparation for the next crop”
Exxon’s “Energy Cube”-“Gasoline is simply solar power hidden in decayed matter”-“Offshore drilling creates reefs for fish”
Academics/Professional Organizations AffectedIncreasing corporatization of academia↑Private commercial funding of university research:
Secrecy/Gag Clauses
The Media5 corporations control majority of US media (down from 50 in 1983)
Global Warming: Controversial?Of 928 articles in peer-reviewed scientific
journals, none were in doubt as to the existence or cause of global warming
Of 636 articles in the popular press (NY Times, Washington Post, LA Times, WSJ), 53% expressed doubt as to the existence (and primary cause) of global warming
Science 2004;306:1686-7(Study covers 1993-2003)
LobbyingOver 15,000 full-time lobbyists
Estimates of return on lobbying range from $28 to $100 for every $1 spent
LobbyingLobbying groups spent 3.5 billion in 2009
(federal lobbying, a record)Financial sector spent over $1.7 billion on
campaign contributions for federal elections from 1998-2008
All single issue ideological groups combined (e.g., pro-choice, anti-abortion, feminist and consumer organizations, senior citizens, etc.) = $76.2 million
The Decline of DemocracyTrue democracy demands an informed citizenry (education), freedom of the press (media), and involvement (will, time, money)
Democracy is critical to the success of public health
Corporations and International AgreementsCorporations attempt to influence
writing and acceptance/rejection of international agreementsThrough misinformation, lobbyists, revolving door between industry and government
Large behind the scenes role
International Non-Cooperation/IsolationismFailure to sign or approve:
Kyoto Protocol on Climate ChangeInternational Covenant on Economic, Social, and Cultural Rights
Convention on the Prohibition of Anti-Personnel Land Mines
Treaty to ban cluster bombs
International Non-Cooperation/IsolationismFailure to sign or approve:
Convention on the Rights of the ChildConvention on the Elimination of Discrimination Against Women
Convention for the Suppression of Traffic in Persons
The Stockholm Convention on Persistent Organic Pollutants
Worldwide Health and Social Justice: Can Aid Help?US ranks 21st in the world in foreign aid as a percentage of GDP (0.7%)
Foreign Aid:1/3 military1/3 economic1/3 food and development
Case Studies
The alliance between GE Medical Systems and NY-
Presbyterian Hospital
Martin Donohoe
The PartnersNY-Presbyterian Hospital
one of the largest academic health care institutions in the U.S.
GE Medical Systems (now GE HealthCare)Subsidiary of General Electric$9 billion annual revenues
The Agreement10-year, $500 million agreement requires NYP to purchase products and services from GEMS in exchange for purported discounts on medical supplies and the promise of enhanced technological standardization and simplification
General Electric• Ranked by Forbes as world’s largest
company (based on equal weighting of sales, profits, assets, and market value)• 2008 revenues of $183 billion–Greater than the GDP of more than 2/3 of U.N. member states2008 net after-tax profits of $17 billion
General ElectricMakes household appliances, plastics,
lighting, and medical equipmentPlastics division, which produced bisphenol A, spun off in 2008
Produces jet engines and military hardware
Has built 91 nuclear power plants in 11 countries
General ElectricOperates coal-burning power plantsMajor releasers of toxic mercury
Operates a financial services groupOwns a multi-billion dollar media empireIncluding NBC, Telemundo, and Universal Studios
GE’s HistoryConducted unethical human subject
experiments on prisoners, involving testicular irradiation, from 1940s to 1960s
Intentionally-released excessive radiation from its Hanford, WA nuclear reactor in the 1980s, to determine how far it would travelMay have contributed to increased thyroid cancer risk in “Downwinders”
GE’s RecordAmerica’s largest corporate polluter
116 Superfund sites nationwide
Approximately 13 in NY
GE’s RecordBetween 1947 and 1977, two of its
capacitor manufacturing plants dumped 1.3 million pounds of PCBs into the Hudson RiverProbable human carcinogens with adverse effects on liver, kidney, nervous system, and reproductive organs (EPA)
200 mi of Hudson Superfund site
GE’s RecordHas spent millions to avoid Hudson
cleanup and to weaken or eliminate Superfund Law
Contributes to corporate front groupsPromulgate an anti-scientific and pseudo-scientific agenda
Conduct media disinformation campaigns in an attempt to weaken health and environmental regulations
GE’s RecordTremendous influence of environmental,
energy, and health policySpent over $25 million on federal
government lobbying in 2009 (#2 after Exxon Mobil)
Many member’s of board of directors have government ties; others have insurance and pharmaceutical industry ties
GE’s RecordCEO Jeffrey Immelt named “World’s Best
CEO” in 3 separate Barron’s polls2008 salary $3.3 million (+)On Board of NY Federal Reserve Bank and
appointed by President Obama to his Economic Recovery BoardGE then became eligible, via a loophole,
for ¼ of the $340 billion Temporary Liquidity Guarantee Program (debt support)
GE’s RecordHas eliminated 150,000 jobs in last 15 yearsWhile receiving billions in federal contracts and millions in state and local subsidies
One of nation’s top out-sourcers of jobs
GE’s RecordExecutive pension plan far more generous than for other employees
Continues to shift health care costs onto workers, despite growing profits
GE’s RecordCited by Human Rights Watch for “systematic workers’ rights violations” in the U.S. and abroad
858 OSHA workplace citations from 1990-2001
Investments include for-profit prison enterprises
GE’s RecordGE has sponsored PGA Masters Tournament at Augusta National Golf ClubClub excludes womenCEO Immelt a member
GE’s RecordTopped 2002 Project on Government
Oversight’s list of repeat offenders for defrauding U.S. taxpayersPaid more than $982 million in fines,
judgments, and out-of-court settlements between 1990 and 2002
Financial services division fined $100 million for unfair debt collection practices and bankruptcy court malfeasance
GE and Corporate TaxesGE topped the list of corporate tax break recipients from 2001-2003:$9.5 billion in tax breaks
Under investigation for tax evasion in Brazil
GE’s RecordIn 1990s, Pentagon’s Defense Contract Management Agency created special investigations office specifically for GE
Nevertheless, company has been awarded increasingly costly reconstruction contracts in Iraq and Afghanistan
GE’s RecordThe Patient Channel
Shown in hospital rooms throughout country
Advertising vehicle for drug companies
Criticized by JCAHO for manipulative marketing practices
GE’s RecordProduces an electronic medical record, Centricity EMR
Is hoping to receive some of the $19 billion earmarked for health care information technology in the current economic stimulus package.
GE’s RecordNamed “America’s Most Admired Company” by Forbes
Named one of the “World’s Most Respected Companies” in polls conducted by Barron’s and The Financial Times
Concerns About the AgreementProvides GE with financial incentives to promote high technology purchases
Hospital prohibited from purchasing more effective equipment from other companies
Concerns About the AgreementAugments trend in academic
medical centers to promote the use of expensive, high-technology care at expense of preventive care and public health measuresHighly reimbursableServices may be redundant in certain locations
Concerns About the AgreementOccurs at time 47 million Americans uninsured
Academic medical centers promoting luxury primary care clinics and seeking wealthy overseas patients while cutting back on services to the un- and under-insured
Concerns About the AgreementAcademic medical centers becoming increasingly corporatizedResearch exclusivity contracts
Secrecygag clausesskewing of research agenda
Concerns About the AgreementI contacted the CEO of New York Presbyterian Hospital and the head of the Ethics Department to obtain more information re the agreement and the nature of the discussion preceding the agreementNo Response
Concerns About the AgreementPatients with developmental anomalies and cancers caused by GE’s pollution diagnosed with GE scanners and treated with GE-manufactured therapeutic devices, increasing GE’s profit
A macabre twist on “cradle to grave care”
SolutionsNY-P should cancel agreementHealth care providers and organizations should condemn this unholy alliance
Medical and ethical organizations should develop standards regarding future agreements
Background2007: Essay describing health and environmental consequences of global warming for Medscape
Described ACSH as a corporate front group and criticized its selection of author Michael Crichton as recipient of its 2005 Sound Science Medal
ACSH and Global WarmingLeader referred to “belief” that burning fossil fuels has caused global warming as pseudoscience
Criticized environmental scientists as “doomsayers” and “fearmongers”
ACSH ResponseThreatened litigation against Medscape
Medscape briefly pulled article, then published with comments removed, then republished with additional material
?Loss of potential readership?
Dr Elizabeth Whelan:President and co-founderEarly writing career included:
Freelance writing assignment for Pfizer criticizing the FDA
Consumer magazine piecesBooks include Panic in the Pantry and Toxic Terror
Whelan’s 2003 salary = $326,612
Dr Gilbert Ross:Medical/Executive DirectorSpent 1996 in federal prison after being sentenced to 46 months forMedicaid fraudPerjuryObstruction of justiceNot mentioned on his bio on ACSH website
ACSH:Dr Gilbert Ross’ CareerBarred by the DHHS for 10 years from participating in either Medicare or Medicaid
Now in charge of all scientific projects, publications, and personnel issues involving scientific staff at ACHS
ACSHACHS Board of Directors includes
anti-regulatory Individuals (2001 Survey)
George Lundberg, former editor of JAMA, current editor of Medscape, on board of advisors
Funding from right wing foundations, corporations
Accepted money to write and disseminate pro-industry “studies”
Corporate Front GroupsPromote corporate agendasStrong financial and advisory links with corporations
Disseminate misinformation/lies under guise of “science”
Promote pro-business, conservative ideology
ACSH:Pseudoscience and MisinformationAttacked the precautionary principle“anti-science,” “elitist,” and “theology”
Minimized the effects of environmental tobacco smoke (ETS) on human health40,000 deaths/yr in U.S.
ACSH:Pseudoscience and MisinformationDenied many of the adverse neurological
effects of lead exposureDenied endocrine-disrupting effects of
PCBsClaimed court ordered-cleanup of Hudson
River by GE based on false claims of PCBs causing cancer
Claimed uncertainty regarding effects of agricultural antibiotics on food-borne, antibiotic-resistant human infections
ACSH:Pseudoscience and MisinformationCalled warnings regarding tuna
consumption by pregnant women “unfounded health scare”
Critiqued health concerns re trans fatty acids“There is no such thing as junk food”“There is insufficient evidence of a
relationship between diet and any disease.”
ACSH:Pseudoscience and MisinformationClaimed “irradiated food is safe,
wholesome and nutritious” and “no radioactive isotopes are involved”
Denied link between dioxins and pesticides and adverse health effects
Supported use of human volunteers in pesticide toxicity studies
“Phony Health Scares”Flame retardant traces found in blood and breast milk
Diesel exhaust fumes from school busses
Arsenic in drinking waterPhthalates in medical devices and children’s toys
ACSH: Attacks on Scientists and the Scientific EnterpriseThreat of litigation against Medscape antithetical to the rules of sciencerequires the free exchange of information and opinion in pursuit of the truth
ACSH: Attacks on Scientists and the Scientific Enterprisead hominem attacks
environmentalists = “toxic terrorists”
Whelan criticized Dr. Barry Levy and citizen-activist Erin Brockovich
Implications of Attacks on Science and ScientistsACSH has broad media presenceWeb site attracts large numbers of individuals100,000 hits per month for 2005
Dr. Whelan has been featured on NBC’s Today Show, CNN Live, and CNBC’s Business Insiders
Implications of Attacks on Science and ScientistsEditorials by Whelan and Ross have appeared in the New York Times and Wall Street Journal
Publications in Medscape, other journals
Implications of Attacks on Science and ScientistsMislead publicMay cause alterations in lifestyle and/or
purchasing habitsAdverse health consequences
Threats of litigation distract, intimidate, and deplete the scientific, legal, and financial resources of individuals and groups committed to public health
Implications of Attacks on Science and ScientistsFaulty pronouncements influence elected officials
Threats of litigation divert the valuable time of health care providers, editors, and legal departments away from more productive missions of research, teaching, writing, and patient care
Implications of Attacks on Science and ScientistsScientists and health care advocates may decide it is wiser to avoid conflict than publish content to which ACSH and other such groups might object
Other Examples of Corporate
Meddling in Public Health
WHO Tobacco TreatyU.S. attempted to undermine treaty through Bush administration appointees with strong ties to tobacco industry
Medical Technologies IndustrySuccessful lobbying effort against Medicare physician payment policies relevant to unproven imaging studiesWhole body CT scans (scams)
Corporate AgribusinessSuccessful campaign against Oregon’s Proposition 27 (labeling of GM foods)
Lobbying for pre-emptive labeling laws re GMOs, rBGH
Corporate AgribusinessSupports spread of GMOs to developing world
Keeps GM seeds from non-corporate academic researchers
Promoting agriculture bills which provide large subsidies to large industrial farms
Medical CareSponsor luxury care consortiums, clinics
Facilitate medical tourismNiche in “medical transfer market,” facilitating medical repatriations of undocumented immigrants (e.g., MexCare)
Health Insurance IndustryDubious practices:
DelistingCherry pickingPre-existing conditions
Often lower quality of careHigh administrative costs
15-30% (vs. 2-3% for Medicare and Medicaid)
Health Insurance IndustryLarge profit margins
Loyalty: shareholders (not patients)
Corruption
Prison-Industrial ComplexConstruction and management of prisons
Providing (substandard) health care to inmates
Pharmaceutical IndustryInfluence over physicians through control of CME, gifts, research funding
Conduct seeding trials to alter prescribing patterns
Secrecy, statistical torturing of data sets, selective publication
Pharmaceutical IndustryEffectively lobbied and threatened trade sanctions against developing countries in order to prevent production and importation of much cheaper, generic versions of life-saving anti-AIDS drugs
Pharmaceutical IndustryOpposes legislation aimed at limiting
pharmaceutical industry influence by publicizing gifts to providers
Opposes Federal Research Public Access Act, which would require federal agencies that fund over $100 million in external research per year to make their study results publicly available online
Chemicals IndustryChisso Corporation
Methylmercury poisoning
Minimata Disease
Minimata DiseaseW Eugene Smith
SolutionsRestructure tax systemPunish corporate scofflaws with
large fines and jail timeIncrease enforcement budgets to
combat corporate crimeEliminate confidential legal
settlements relevant to public health and safety
SolutionsLiving wage lawsWork with corporations
Healthy PRShareholder activismRisks/benefits
Solutions: Fair, Representative ElectionsPublicly financed campaigns and campaign finance reform
Open debates, free air time for candidates
Proportional representationInstant runoff voting/cumulative voting/range (rating) voting
Solutions: VoteUS voter turnout low
Wealthy vote at almost twice rate of poor
Whites > Blacks > HispanicsOld > YoungProperty owners > RentersPhysicians < general population
Voter Turnout
SolutionsActivism / Letter writing / Protesting / Whistleblowing
Join community groups – become involved in local as well as national issues
Lobby legislatorsRun for office
SolutionsIncrease funding of public education
Independent scientific review of school curricula
Prohibit use of sponsored curricula
SolutionsEstablish safeguards re corporate involvement in academic research
Higher standards of journalism
Support alternative media
Solutions: EducationMedical ethics overemphasizes
fascinating dilemmas involving expensive technologies (e.g., gene therapy, cloning, face transplants)
Medical ethics underemphasizes the psychological, cultural, socioeconomic, occupational, and environmental contributors to health
Solutions: EducationIOM recommends ¼ to ½ of medical students earn the equivalent of an MPHOnly 10% of students at US public health schools are physicians, down from 60% in the 1960s
SolutionsAugment and improve international aid package
Sign, ratify, and adhere to major international treaties
Support Millenium Development Goals
Air Pollution
Factory Farming
Global Warming
Famine
2009 Federal Budget$2.65 trillion
SolutionsBased on Precautionary PrincipleRecognize nature’s net worthCalculate economic prosperity based on Genuine Progress Index or Global Happiness Index, rather than Gross Domestic Product
Voltaire
“The comfort of the rich rests upon an abundance of the poor”
“All men are created equal”Declaration of Independence
“Some people are more equal than others”George Orwell
Hudson River, 2009
Primo Levi“A country is considered the more civilized the more the wisdom and efficiency of its laws hinder a weak man from becoming too weak or a powerful one too powerful.”
Günter Grass
“The first job of a citizen is to keep your mouth open.”
Anita Roddick"If you think you are too small to have an impact, try going to bed with a mosquito in your tent"
Contact Information and References
Public Health and Social Justice Website
http://www.publichealthandsocialjustice.org
http://[email protected]