Can The Eagle Learn From The Little Dragon?

Coffee Brown, University of New Mexico, Talk Radio News

Taiwan, a free-market, capitalist democracy like the U.S. and Britain, developed a national health plan 14 years ago that now covers 99 percent of the people in the country, citizens or not, and enjoys 70-80 percent approval ratings, according to Michael S. Chen, Ph.D., Vice President and CFO of the Bureau of National Health Insurance, here to share that experience with America.

As journalist T.R. Reid reported on Frontline in “Sick Around the World,” Taiwan was the last industrialized nation to adopt universal health care. Except us. As latecomers, they had plenty of precedent to consider. For several years, the Taiwanese government sent representatives to examine most of the world’s existing systems, then worked to consolidate best practices into a form appropriate to their own culture and economy. Dr. Chen was here to report on their system and results as the Obama administration tackles the myriad problems involved in reforming American healthcare.

“Cost is about 100 U.S. dollars, or about two percent of their income for an average family of four," Chen said. The service is mostly paid for by mandated premiums, with about 10 percent paid for by the individual, 60 percent by the employer, and the remaining 30 percent by the government. They achieve near 100 percent enrollment by sending agents out to enroll people who do not comply. Subsidies are available to ensure affordability. Union workers do not get an employer contribution, but pay 60 percent, with the remaining forty percent again from the government, according to Chen.

Any medically justifiable expense is covered, and patients may go to any doctor they choose, though doctors in high demand may have waiting lists. The system itself does not have any backup at all, he said. When individuals are flagged as having an unusually high rate of utilization, their care is examined, and their eligibility may become limited to “just two or three clinics,” Chen said.

Total spending on the National Health Service is about six percent of GDP, which is less than the budgeted seven-to-eight percent.

Publicly, doctors have complained about compensation. “Privately they like it," Chen says, "because they are guaranteed four to five percent rate increases per year. What other occupation can say that?”

As was the case for Taiwan, America would not have to re-invent the wheel, “There are so many wheels already,” Chen said, referring to the many existing systems and long experience in other industrialized democracies.

When the 20 to 30 percent of Taiwanese who disapprove do so, he said, “It’s usually because they think $100 a month is too much money. I tell them to visit America.”

Shinn demands Chinese transparency

In a hearing from the House Armed Services Committee, James Shinn, assistant secretary for Defense for Asian and Pacific Security Affairs, urged the Chinese government to become more transparent in their governmental and military dealings. Shinn said that the Chinese people know as much as the American public about what is happening in Congress and with U.S. military, but the United States does not have a clear picture of China because they are more opaque in their actions.

Shinn outlined some things that the United States know the Chinese government is doing. The official Chinese budget is 60 billion dollars, possibly twice that, but the United States can’t be sure, the Chinese are executing a comprehensive build up of their military forces, as well as improving the training and recruitment of military personnel and their actions reflect a deliberate attempt to invest in asymmetric warfare, Shinn said. The military balance in the region is shifting to the mainland power of China, which increasingly put U.S. forces in the region at risk, Shinn said. He was also concerned that the increasing capabilities may alter their intent in their actions with other nations.

The Department of Defense and the United States government are continuing their intelligence collection on the Chinese force build up and intent. Shinn also said that the U.S. military are training, equipping and posturing forces in the Pacific, in a way that responds to shifting capabilities of the People’s Liberation Army (PLA). The United States is continuing to work closely with alliance partners in the region and helping them to build their military capabilities, so they won’t be swayed by the growing power of the PLA. Additionally, Shinn said that the U.S. government will engage the Chinese government at a number of levels to learn more about them, as well as signal U.S. resolve which will reduce miscalculation and build communication links in the region.

Speaking about the situation in the Taiwan Straights, Shinn said that the near-term focus for the PLA continues to be on preparing for military contingencies in the Straights and that the region has “materially increased in danger.” He also said that acting in the terms of the Taiwan Relations Act, the U.S. military will be maintaining their commitment to providing weapons systems as may be required to “oppose military coercion from China and the PLA. When asked about the safety and security of American athletes and spectators, Shinn said that the Chinese government hasn’t asked for U.S. military help in securing the Games, but that the Chinese government has made significant steps to make sure the Olympics will be safe for everyone.

Carnegie Endowment for International Peace Focuses on the Future of Taiwan

The Carnegie Endowment for International Peace (CEIP) today held a discussion focused on looking into Taiwan's recent election and the future of U.S. policy toward the Taiwan.

The panel leading the hearing included Douglas Paal, director of the American Institute in Taiwan and Alan Romberg, director of the East Asia Program at the Henry Stimson Center. One panel expert, Michael Swaine, noted that the new governmental situation in Taiwan is not "ideal" but is stable. Romberg described three ways the new Taiwanese President can succeed: by uniting both his supporters and adversaries in Taiwan, listening to his advisors and updating his policies (instead of disregarding critical viewpoints), and improving U.S./Taiwanese relations.

Paal said that the recent Tibetan uprisings could push governmental policy reform in Taiwan to come faster. Paal also emphasized the importance of a continued healthy U.S/Taiwan relationship.

Pentagon releases report on Chinese military power

Today the Department of Defense released its annual assessment of Chinese military power. The U.S. Congress as well as the President have been briefed on the report which outlines technical and political changes in the overall Chinese military capabilities. The report concludes that the People's Liberation Army is moving away from a massive force size aimed at gaining the upper hand in wars of attrition to a strategy of short-term, high tech engagements particularly at sea, on Chinese borders and in disputed territories.

One discovery in this year's assessment is that the Chinese have been stepping up weapons development in order to fight in "informataized" situations or a circumstance where operations are inhibited by communications jamming, electronic surveillance and precision weapons. The report also found that the Chinese are developing capabilities to deal with joint operations or the ability to engage multiple force (air force, naval, etc) offensives.

Deputy Assistant Secretary of Defense for East Asia, David Sedney held a briefing for Pentagon reporters on the report. He said that the Chinese government has always protested the report and he expects that they will protest this year's report as mischaracterizing Chinese intentions. But he said that the most difficult part of creating the report was to assess Chinese intention, because there is such a lack of transparency when it comes to investigating Chinese military assets.

He highlighted the realm of cyber military initiatives citing the report which said that cyber "intrusions' of U.S. computer systems where sensitive, and possibly proprietary business information may have been breached through invasion could be linked to the People's Liberation Army. He said that this is the newest challenge when it comes to responding to Chinese military tactics.

The military report affirmed that China has "the most active ballistic missile program in the world." One of the missiles being developed is an anti-ship missile, fired from land and designed to intercept a ship, even one as large as an aircraft carrier at medium to long-range distances. The controversial 2007 launch of an anti-satellite missile was mentioned in the report as evidence of China's space and couterspace military technology.

The report does note an uptick in Taiwan's spending to 3 percent of GDP in 2008. The increase is also directed at increasing missile technology The report said that the United States remains helpful in providing information to Taiwan to continue developing self defense technology.