Tag Archives: Costs

New survey finds that Canadian health care system quality is declining

Map of Canada
Map of Canada

A story about a recent survey on Canada’s universal health care system, from the National Post.

Excerpt:

A new survey on attitudes about the health-care system reveals some interesting responses, confirming that Canadians have widespread misgivings about the system, even while not fully understanding how it works. They also favour using tax incentives to encourage healthier living and eating.

The survey of 2,300 Canadians carried out in April by the consulting firm Deloitte was part of a larger poll covering 12 countries. It is considered accurate to within two percentage points, 95% of the time.

Some of the highlights include:

– Just 5% of respondents gave the system an A grade; 45% giving it a B, 36% a C, 10% a D, and 4% a failing F.

– 33% of Canadians said they understood how the system works, down from 39% in 2009 when Deloitte did a similar survey.

– 69% feel that the system has not improved in the last two years, while there were slightly more who thought it had deteriorated, as opposed to improved, in that period.

– 36% believe that half the money spent on health care is wasted; interestingly, half of those skeptics blame the waste on people failing to take responsibility for their own health.

– 13% reported that they are caring for another person, up from 10% in 2009, a possible sign of the increasing personal burden posed by the aging population. In a third of those cases, the individual is caring for a spouse.

– 55% rated their health as excellent or very good … even though 52% report having been diagnosed with one or more chronic diseases.

– 63% favour some kind of tax-based incentive to encourage more healthy diets and lifestyles.

– About 80% favour expanding medical-school enrollments to increase the supply of doctors.

You can find some more videos describing horror stories in the Canadian system in this previous post.

Everyone agrees that the American health care system is too expensive, but do we at least get better quality outcomes? Let’s see.

How good is the American health care system?

Consider this article from the Hoover Institute at Stanford University.

Medical care in the United States is derided as miserable compared to health care systems in the rest of the developed world. Economists, government officials, insurers, and academics beat the drum for a far larger government role in health care. Much of the public assumes that their arguments are sound because the calls for change are so ubiquitous and the topic so complex. Before we turn to government as the solution, however, we should consider some unheralded facts about America’s health care system.

1. Americans have better survival rates than Europeans for common cancers. Breast cancer mortality is 52 percent higher in Germany than in the United States and 88 percent higher in the United Kingdom. Prostate cancer mortality is 604 percent higher in the United Kingdom and 457 percent higher in Norway. The mortality rate for colorectal cancer among British men and women is about 40 percent higher.

2. Americans have lower cancer mortality rates than Canadians. Breast cancer mortality in Canada is 9 percent higher than in the United States, prostate cancer is 184 percent higher, and colon cancer among men is about 10 percent higher.

3. Americans have better access to treatment for chronic diseases than patients in other developed countries. Some 56 percent of Americans who could benefit from statin drugs, which reduce cholesterol and protect against heart disease, are taking them. By comparison, of those patients who could benefit from these drugs, only 36 percent of the Dutch, 29 percent of the Swiss, 26 percent of Germans, 23 percent of Britons, and 17 percent of Italians receive them.

4. Americans have better access to preventive cancer screening than Canadians. Take the proportion of the appropriate-age population groups who have received recommended tests for breast, cervical, prostate, and colon cancer:

  • Nine out of ten middle-aged American women (89 percent) have had a mammogram, compared to fewer than three-fourths of Canadians (72 percent).
  • Nearly all American women (96 percent) have had a Pap smear, compared to fewer than 90 percent of Canadians.
  • More than half of American men (54 percent) have had a prostatespecific antigen (PSA) test, compared to fewer than one in six Canadians (16 percent).
  • Nearly one-third of Americans (30 percent) have had a colonoscopy, compared with fewer than one in twenty Canadians (5 percent).

5. Lower-income Americans are in better health than comparable Canadians. Twice as many American seniors with below-median incomes self-report “excellent” health (11.7 percent) compared to Canadian seniors (5.8 percent). Conversely, white, young Canadian adults with below-median incomes are 20 percent more likely than lower-income Americans to describe their health as “fair or poor.”

6. Americans spend less time waiting for care than patients in Canada and the United Kingdom. Canadian and British patients wait about twice as long—sometimes more than a year—to see a specialist, have elective surgery such as hip replacements, or get radiation treatment for cancer. All told, 827,429 people are waiting for some type of procedure in Canada. In Britain, nearly 1.8 million people are waiting for a hospital admission or outpatient treatment.

7. People in countries with more government control of health care are highly dissatisfied and believe reform is needed. More than 70 percent of German, Canadian, Australian, New Zealand, and British adults say their health system needs either “fundamental change” or “complete rebuilding.”

8. Americans are more satisfied with the care they receive than Canadians. When asked about their own health care instead of the “health care system,” more than half of Americans (51.3 percent) are very satisfied with their health care services, compared with only 41.5 percent of Canadians; a lower proportion of Americans are dissatisfied (6.8 percent) than Canadians (8.5 percent).

9. Americans have better access to important new technologies such as medical imaging than do patients in Canada or Britain. An overwhelming majority of leading American physicians identify computerized tomography (CT) and magnetic resonance imaging (MRI) as the most important medical innovations for improving patient care during the previous decade—even as economists and policy makers unfamiliar with actual medical practice decry these techniques as wasteful. The United States has thirty-four CT scanners per million Americans, compared to twelve in Canada and eight in Britain. The United States has almost twenty-seven MRI machines per million people compared to about six per million in Canada and Britain.

10. Americans are responsible for the vast majority of all health care innovations. The top five U.S. hospitals conduct more clinical trials than all the hospitals in any other developed country. Since the mid- 1970s, the Nobel Prize in medicine or physiology has gone to U.S. residents more often than recipients from all other countries combined. In only five of the past thirty-four years did a scientist living in the United States not win or share in the prize. Most important recent medical innovations were developed in the United States.

Despite serious challenges, such as escalating costs and care for the uninsured, the U.S. health care system compares favorably to those in other developed countries.

The author of that article is a senior fellow at the Hoover Institution and a professor of radiology and chief of neuroradiology at Stanford University Medical School.

So, we saw that the quality of the U.S. health care system is good, but how can we lower the costs? Is government controlled rationing (like Canada) the answer, or is there another way?

Choice and competition in health care

The Center for Freedom and prosperity seems to have found another way: choice and competition.

Excerpt:

In many ways, America’s health care system is the best in the world. It has state-of-the-art technology and highly-skilled medical professionals. America is also home to most of the cutting-edge medical research in the world. However, there are also important problems, such as the “third-party payer” model where consumers rarely pay the full cost of their own health care. This creates an incentive for both excessive and expensive use of health care, a problem that would be exacerbated by current proposals for greater government control of the health care system.

But the third-party payer problem is not the only reason that health care costs are high. State governments impose health insurance coverage mandates, often for “gold-plated” coverage, that drive up the cost of insurance. These regulations, which are unique to each state, are imposed at the behest of interest groups seeking to increase demand for their services. Combined with protectionist barriers that prevent consumers from buying policies from providers in other states, these mandates have severe unintended consequences:

  • They limit competition in the health insurance market by preventing insurance buyers from shopping across state lines, creating monopolistic and oligopolistic situations in many states;
  • They impose coverage mandates that force health insurance buyers to purchase coverage that they either do not want or cannot afford;
  • They force insurers to use community rating instead of experience rating, which means healthy people are forced to subsidize unhealthy people – to the effect that insurance premiums rise for many buyers and healthy people are driven out of the market.

The symptoms of a dysfunctional health insurance market – foremost the significant number of uninsured, but also rising costs – are recognized by many legislators. But the problem cannot be solved, as some suggest, by means of increased government regulation. Indeed, government regulation is the cause of most problems in the health insurance market, not the solution.

Restoring a free market health care system would be a daunting task, one that would involve, 1) sweeping reforms to the 45 percent of health care directly financed by government programs, and 2) a complete rewrite of the tax code to remove the distortions that exist in employer-provided health insurance. This paper focuses on the so-called third leg of the stool – policies to remove government barriers and restore competition to the market for individual health insurance.

Reforming the government-financed programs is definitely necessary because there is so much fraud and waste, as there always is with government, when compared to the private sector. Private sector businesses have to turn a profit, so they actually try to prevent fraud and waste.

Here’s a documentary featuring John Stossel that explains the health insurance problem. (And featuring Regina Hertzlinger, too)

Part 1 of 5:

Part 2 of 5:

Part 3 of 5:

Part 4 of 5:

Part 5 of 5:

Choice and competition govern the way we buy things that we want normally, especially when we buy things online. I am pretty happy buying things from online retailers, because I have so many stores to choose from, with lots of product reviews and retailer ratings. I usually like what I buy, because I know that I am buying a good product from a good seller. And if I don’t get a good outcome, I can leave a review of the product, service or seller as a warning for the next person. That helps to encourage producers to make quality products and services Seller rating helps to make sellers care for customers, and to accept returns on items that don’t perform. Maybe we should do that with health care, and just leave health insurance for catastrophic care – like car insurance is for accidents, but not for oil changes.

Obama administration wants birth control to be covered by health insurance

Here’s the raw story from U.S. News and World Report.

Excerpt:

Beginning Aug. 1, 2012, women in the United States will have their birth control covered by insurance companies, free of co-pays, the U.S. Department of Health and Human Services announced Monday.

“Most private health care plans, including the private health care plan available to members of Congress, already include most of these services, including contraception. Family planning is something that keeps women healthy, and it was an important piece of today’s announcement,” Stephanie Cutter, a White House advisor, told ABC News Monday.

The move to make contraception free to women is one of eight new measures aimed at providing “preventive health services” to women, the HHS said. They follow on recommendations from a report issued July 19 by the Institute of Medicine (IOM), which advises the federal government.

The new initiatives are based on those recommendations and seek to expand women’s access to preventive services under the Patient Protection and Affordable Care Act.

“The Affordable Care Act helps stop health problems before they start,” HHS Secretary Kathleen Sebelius said in an agency statement released Monday. “These historic guidelines are based on science and existing literature, and will help ensure women get the preventive health benefits they need.”

The IOM report was commissioned by the U.S. Department of Health and Human Services to identify “gaps in preventive services for women as well as measures that will further ensure women’s health and well-being,” the agency said.

The problem with this is that taxpayer-funded contraception has been tried in the UK and it has been found to raise unwanted pregnancy rates. So why would anyone do this? Well, because more premarital sex means fewer stable marriages. And marital breakdown results in fatherlessness, which gives the state a crisis to solve. And whenever the state has a crisis to solve, they can push for higher taxes and more social engineering. For example, they can equalize life outcomes between single mothers and married couples by subsidizing the one former with the wealth generated by the latter.  Besides, children accept what public schools teach them much better when there is no pesky father around to compete with the government-run schools.

But there’s a more sinister reason. More unwanted pregnancies means more abortions, which are mainly provided by Planned Parenthood. Planned Parenthood will get more fees and the Democrat Party will get more donations.

I think that Dr. Jennifer Roback Morse is going to be discussing this tonight on Catholic Radio of San Diego from 6 to 7 PM Pacific Standard Time.

If Obamacare is so great, then why do so many Democrats get waivers?

Investors Business Daily reports on who is getting exemptions from Obamacare.

Excerpt:

It’s bad enough that the administration has granted another 204 ObamaCare waivers. But even worse is that nearly one in five went to employers in the district of Rep. Nancy Pelosi, House architect of the bill.

It was Pelosi who said Congress had to pass the Democrats’ health care overhaul so the country could find out what’s in it.

Seems that quite a few businesses in her backyard found out what is in it and decided they didn’t like it.

According to the Daily Caller, 204 waivers for a provision of ObamaCare were approved last month — bringing the total waiver count to 1,372. Out of that April number, 38 of the waivers “are for fancy eateries, hip nightclubs and decadent hotels in” the Democrat’s hard-left San Francisco district.

The waivers, which the administration began granting only months after the bill was passed and signed, let employers avoid terms of the Patient Protection and Affordable Care Act that require health care insurance plans to carry at least $750,000 in benefits before being exhausted.

This requirement, found in the thousands of pages that make up the ObamaCare bill, is too costly for many businesses that can afford to provide health coverage only through less comprehensive plans.

The owner of Tru Spa, one of the San Francisco businesses granted a waiver, told the Daily Caller both ObamaCare and new local laws have “devastated” businesses in the region.

The employers that were granted waivers in Pelosi’s district include Boboquivari’s, a restaurant that, reports the Daily Caller, “advertises $59 porterhouse steaks, $39 filet mignons and $35 crab dinners.”

“Then, there’s Cafe des Amis, which describes its eating experience as ‘a timeless Parisian style brasserie,’ which is ‘located on one of San Francisco’s premier shopping and strolling boulevards.'”

Also among the 38 are the four-star hotel Campton Place and the self-proclaimed four-diamond Hotel Nikko.

While Pelosi’s constituents are being protected from her party’s health care wreckage, another Democratic constituency is being taken care of, as well.

A coalition of groups operating under the name wheresmywaiver.com says that “50.26% of waiver beneficiaries are unionized, despite union workers only making up 11.9% of the workforce.”

The Service Employees International Union, whose former President Andy Stern was one of the most frequent White House visitors before he was named to President Obama’s National Commission on Fiscal Responsibility and Reform, has been well-represented on the waiver list.

So have the teacher unions.

Organized labor, of course, is a heavy donor to Democratic candidates and was among the groups that pressed hard for Congress and the president to ram ObamaCare through the legislature and into Americans’ lives.

If ObamaCare is so vital to our national well-being, why are these unions and employers in a heavily Democratic district seeking relief from the burdens it imposes?

And why would Democratic Rep. Anthony Weiner, whose brilliant thought process led him to say “the bill and I are one,” ask for a waiver for his hometown of New York City?

This is what happens when the government takes money out of the private sector and lets politicians spend it. Especially left-wing politicians who are not inclined to cut taxes and reduce regulations.

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