Workers from hospitals across Toronto held a series of rallies today outside St. Joseph’s Health Centre, St. Michael’s Hospital, and Providence Healthcare to speak out against the Ford government’s plan to privatize hospital services. Healthcare workers from the three sites, which are operated by Unity Health Toronto, included nurses, personal support workers, laboratory technologists, health care aides, cleaners, clerical staff, and many more.
Yeah, the essential and irreplaceable nature of healthcare is one reason for it to be a public service.
Another reason that public healthcare is much better than private is that most healthcare services are “Credence Goods” where the person receiving the care cannot determine the value/quality of the service received.
Example: If someone gets hit by a car and needs surgery, how would they determine the surgery was the best possible surgery? If it was unsuccessful was it due to the lack of skill of the doctor, or was it because the accident was too severe and could not be solved by any living doctor on the planet?
If the value of goods cannot be determined, it is hard to fit it into economic models for competitive markets.
This is on top of the other obvious benefits:
single payer systems driving down total costs for everyone
maintaining standards across clinics
a healthy population is more productive, pays more taxes, drives innovation, etc.
a healthy person is more likely to contribute money into the economy vs. take money out of the economy (through welfare, disability, etc.)
– this is definitely not to say that welfare and disability benefits should be reduced in favour of healthcare, they are both needed. Most people would prefer to actually get treatment and get back on their feet than not get treated and be on EI or welfare until they die young.
Thanks for making me aware of the concept of “Credence Goods.” I will have to do some more reading on that subject.
The thing that confuses me about the other points you make is not the points, but that, in addition to seeming self-evident to me, they are backed by both experience and analysis yet still rejected by people who I think should know better.
Yeah, the essential and irreplaceable nature of healthcare is one reason for it to be a public service.
Another reason that public healthcare is much better than private is that most healthcare services are “Credence Goods” where the person receiving the care cannot determine the value/quality of the service received.
Example: If someone gets hit by a car and needs surgery, how would they determine the surgery was the best possible surgery? If it was unsuccessful was it due to the lack of skill of the doctor, or was it because the accident was too severe and could not be solved by any living doctor on the planet?
If the value of goods cannot be determined, it is hard to fit it into economic models for competitive markets.
This is on top of the other obvious benefits:
Here is an Unlearning Economics video that goes into this more.
Thanks for making me aware of the concept of “Credence Goods.” I will have to do some more reading on that subject.
The thing that confuses me about the other points you make is not the points, but that, in addition to seeming self-evident to me, they are backed by both experience and analysis yet still rejected by people who I think should know better.
Yeah they are all super obvious, but I repeat them all even if I think most people would already know them by now.
Leave no opportunity for intentional deception (ex. Doug Ford) or innocent misunderstanding (people who just don’t follow this stuff).
Yes, I have to get better at making sure I’m not taking shortcuts or making assumptions.