The future of health care costs – in Canada

Ottawa Citizen:

Ontario, Canada’s most populous province, kicked off a fierce battle with drug companies and pharmacies when it said earlier this year it would halve generic drug prices and eliminate “incentive fees” to generic drug manufacturers.

British Columbia is replacing block grants to hospitals with fee-for-procedure payments and Quebec has a new flat health tax and a proposal for payments on each medical visit — an idea that critics say is an illegal user fee.

And a few provinces are also experimenting with private funding for procedures such as hip, knee and cataract surgery.

It’s likely just a start as the provinces, responsible for delivering health care, cope with the demands of a retiring baby-boom generation. Official figures show that senior citizens will make up 25 per cent of the population by 2036.

(Sigh!) Those who did some simple research on the net, knew it was a world wide problem indifferent to the type of plan. Based on history, it is almost certain central control will have the worst outcome. The problem is not one of delivery systems – it is demographics. But some delivery systems will do a far better job dealing with the problem.

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