question archive What are macro-environmental influences on the health care system in Canada and the United States?
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What are macro-environmental influences on the health care system in Canada and the United States?
The concept of 'macro environment' is associated with environmental uncertainty in an economy and related management regulations imposed by the government. Therefore, the concept of a 'macro environment' also includes ecological elements.
With respect to the healthcare system of Canada, the role of the public is significant while paying for the services through taxes and social security. Life expectancy in Canada is comparatively high with an aging population and this has increased the need for healthcare services. However, the government ensures the quality of care through regulations. A significant portion of the GDP is spent on healthcare services. Investments in healthcare technology and services have also been on a rise in the past few years.
With respect to the US economy, the cost of healthcare services is funded by private agencies and insurance companies or directly paid by the patient. There is a strong presence of government involvement in healthcare insurance and healthcare delivery. Comparatively, the implementation of changes is slow in the US due to political influence on policy reforms. There is a fast-growing acceptance of standardization and transparency of healthcare plans in the industry.
The structural and demographic differences are responsible for such impacts in both countries. The US economy is more advanced than the Canadian economic system due to the availability of more capital resources and a high level of human capital.