Friday, February 6, 2009



Government and private health and public policy analysts have compared the health care systems of Canada and the United States. The U.S. spends much more on health care than Canada, both on a per-capita basis and as a percentage of GDP.In 2006, per-capita spending for health care in the U.S. was US$6,714; in Canada, US$3,678. The U.S. spent 15.3% of GDP on health care in that year; Canada spent 10.0%. In 2006, 70% of health care spending in Canada was financed by government, versus 46% in the United States. Total government spending per capita in the U.S. on health care was 23% higher than Canadian government spending, and U.S. government expenditure on health care was just under 83% of total Canadian spending (public and private).[6]

Studies have come to different conclusions about the result of this disparity in spending. A 2007 review of all studies comparing health outcomes in Canada and the US in a Canadian peer-reviewed medical journal found that "health outcomes may be superior in patients cared for in Canada versus the United States, but differences are not consistent."[7] Life expectancy is longer in Canada, and its infant mortality rate is lower than that of the U.S., but there is debate about the underlying causes of these differences. One commonly cited comparison, the World Health Organization's ratings of "overall health service performance", published in 2000, which used a "composite measure of achievement in the level of health, the distribution of health, the level of responsiveness and fairness of financial contribution", ranked Canada 30th and the U.S. 37th among 191 member nations. This study rated the US "responsiveness", or quality of service, as 1st, compared with 7th or 8th for Canada. The average life expectancy for Canada was rated 12th at 72.0 years compared with 24th for the U.S. at 70.0 years. However, the WHO's study methods were criticized by some analyses. Some argue that Canada has had higher mortality rates for some conditions, such as heart attacks. A recent report by the Congressional Research Service carefully summarizes some recent data and notes the "difficult research issues" facing international comparisons.

The health care system in Canada is funded by a mix of public (70%) and private (30%) funding, with most services delivered by private (both for-profit and not-for-profit) providers.

Through all entities in its public-private system, the U.S. spends more per capita than any other nation in the world,[11] but is the only wealthy industrialized country in the world that lacks some form of universal health care.

Health care costs in both countries are rising faster than inflation. As both countries consider changes to their systems, there is debate over whether resources should be added to the public or private sector. Although Canadians and Americans have each looked to the other for ways to improve their respective health care systems, there exists a substantial amount of conflicting information regarding the relative merits of the two systems. In Canada, the United States is used as a model and as a warning against increasing private sector involvement in financing health care. In the U.S., meanwhile, Canada's mostly monopsonistic health system is seen by different sides of the ideological spectrum as either a model to be followed or avoided.

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