Magic Statistics

“I accept no responsibility for statistics, which are a form of magic beyond my comprehension.” — Robertson Davies

June 10th, 2007 at 6:07 pm

Whitehorse General Hospital rocked by public criticism, low morale

The management of Whitehorse General Hospital (WGH) has become embroiled in a major political row.  Charges and counter-charges have been aired in the Yukon Legislative Assembly, as Health Minister Brad Cathers defends hospital CEO Michael Aeberhardt against accusations of high-handedness and incompetence leaked to the Liberal Party opposition by hospital insiders.  For his part, Mr Aeberhardt, who was appointed only last October, either stonewalls, maintaining everything at WGH is just fine, or refuses to speak to the press.

Even more damaging allegations emerged this week.  A former chair of the hospital’s Board of Trustees says that the problems are even more grave than formerly known, and a letter signed by several local doctors calls on CEO Aeberhardt to resign.

Marny Ryder suddenly quit last November after four years as board chair.  This week she went public, charging that the hospital has serious problems, finance-wise, health care-wise, and otherwise.

“It has been the tip of the iceberg for two or three years,” says Marny Ryder, who served as the chair for four years. “Not sufficient funding, poor communication, the whole thing. It’s just bubbled up.”

The Yukon Medical Association and the Yukon Registered Nurses Association have publicly stated there are staffing shortages at the hospital and the territory as a whole is at a crisis point.

Hospital CEO Michael Aeberhardt, however, has maintained there isn’t a problem.

Other concerns mentioned by Ms Ryder include lack of communication between Health Minster Cathers and the hospital board, poor recruitment and retention of nurses, and doctors getting increasingly fed up with Mr Aeberhardt.  The doctors themselves soon verified the latter claim.

Doctors at Whitehorse General Hospital have delivered a letter to Michael Aeberhardt, the new CEO, asking him to resign.

“We have had some patient care concerns and we have had issues regarding patient care delivery and style of management of the CEO,” Dr. Rao Tadepalli, president of the Yukon Medical Association, told the Star in an interview this morning.

“We have let the hospital know of the reservations that the doctors have had with regard to his style of functioning.”

Tadepalli declined to comment on the actual contents of the letter, saying it’s a private petition that wasn’t ever intended to be publicly released.

There are, however, concerns with Aeberhardt, he said.

“There’s a perception out there that he does not understand a community like Yukon and hasn’t helped with the staff morale. It continues to go low.” 

(That Whitehorse Star story is behind a subscriber wall, unfortunately.)

The CBC tried to contact the embattled CEO for his reaction, but without success.

Aeberhardt, who assumed the position on Oct. 31, 2006, was out of the territory Thursday and was not available for comment.

But the doctors' letter came following remarks this week from former hospital board chair Marny Ryder, who slammed Aeberhardt for what she said was his lack of commitment to the territory.

This blog post is based entirely on publicly available news reports.  Information that I have received from other sources, however, corroborates Marny Ryder’s claim that this is just the tip of the iceberg.

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June 10th, 2007 at 4:24 pm

Creation of property rights affects beliefs about free markets

Research published in the Quarterly Journal of Economics indicates that creation of secure property rights leads people to adopt more favourable attitudes toward economically free markets.  Three economists studied the opinions of hundreds of people living in a squatter settlement near Buenos Aires, Argentina.  About two-thirds of the inhabitants had been granted secure title to their properties twenty years before, but the rest had not.  The allocation of titles was not based on characteristics of the residents, only on their acceptance of an offer by the state.

There were no significant difference between the owners and non-owners with respect to age, sex, education, size of occupied lands, or other personal characteristics.  Yet, the researchers found large and significant differences in the views held by the two groups concerning the workings of economic markets and related issues.

Dr Daniel K. Benjamin, Alumni Distinguished Professor of Economics at Clemson University, explains.

To reach their conclusion, the authors randomly selected about 40 percent of the 1,100 squatter families and then evaluated their answers to several key survey questions. For example, squatters were asked whether they thought that individual (as opposed to group) action can yield success in life; whether material success is important in determining individual well-being; whether hard work is likely to be rewarded; and whether one can trust other people. Compared to the unlucky squatters, the lucky ones who received secure property rights concluded in the affirmative in each case; they believe individual actions can yield positive outcomes, that material success is important to personal well-being, that hard work is rewarded, and that other people can be trusted.

The authors summarised the questionnaire responses in an index of “market” beliefs, and estimated that the index was 20 percent higher among those with property rights than among squatters without title.  In fact, the market beliefs of titled property holders were quite similar to those held by the general population of Buenos Aires.

The importance of this study is that it suggests that changes in attitudes are no accident, and that it may be possible, on a broader scale, to overcome the widespread hostility toward market systems. The aphorism that “seeing is believing” is rarely more applicable, for it appears that the creation of private property rights has the potential to fundamentally change how people perceive the world, and thus, perhaps, the institutions and policies they are willing to adopt. For those who believe that environmental quality, individual choice, and personal freedom are important, this is good news indeed.

The original article, entitled “The Formation of Beliefs: Evidence from the Allocation of Land Titles to Squatters”, was co-authored by Rafael Di Tella, Harvard Business School; Sebastian Galiani, Washington University, St. Louis; and  Ernesto Schargrodsky, Universidad Torcuato Di Tella, Buenos Aires.  It was published in the February 2007 issue of the QJE.

An abstract is posted here.  Non-subscribers to the QJE can purchase the full text for US$10.

Prof Dan Benjamin taught at Department of Economics, University of Washington, when I was taking post-graduate courses there.  I took a couple of classes from him and benefited greatly.

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June 10th, 2007 at 6:00 am

The First Sunday After Trinity

The collect for today, the 1st Sunday after Trinity, from the 1662 Book of Common Prayer:

O God, the strength of all them that put their trust in thee, mercifully accept our prayers; and because through the weakness of our mortal nature we can do no good thing without thee, grant us the help of thy grace, that in keeping of thy commandments we may please thee, both in will and deed; through Jesus Christ our Lord. Amen.

The Epistle: 1 St John 4:7-21
The Gospel: St Luke 16:19-31

Click for larger view

Artwork: Bonifacio Veronese, Dives and Lazarus, 1540-50, oil on canvas, Gallerie dell'Accademia, Venice.

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