Microeconomics,, 16th Canadian Edition

(Sean Pound) #1

Dramatically rising costs in Canada’s publicly financed healthcare sector
represent a serious challenge for Canadian governments.


Newscom


Advocates of allowing a greater role for private hospitals and clinics argue
that, to a significant extent, Canada already has a two-tiered system. For
example, for such services as laser eye surgery and diagnosis with MRIs,
private clinics have existed for several years; people have a choice
between waiting in line for service in the public hospitals, sometimes for
many months, or going to a private clinic immediately and paying for the
service. They also argue that two-tier systems do not seem to lead to
major healthcare inequalities in the countries of the European Union,
most of which operate some form of two-tier system.


Income-Support Programs


Canada has various programs that provide assistance for people in dire
financial need—these programs constitute what is often called the “social
safety net.” The overriding objectives of this safety net are to reduce

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