David Dodge Drops The Health Care Bomb
David Dodge, former governor of the Bank of Canada, dropped a ticking time bomb, ad no one seems to have noticed.
The Canadian universal health care model, with governments as the major funders of service, is fiscally unsustainable.
Dodge reports that health care spending in Canada could rise to take up almost 19 per cent of the national economy within 20 years, up from about 12 per cent today.
In dollar terms, that works out to an increase from about $5,000 today to $10,700 by 2031 in constant dollars for every person in Canada. If Election 2011 is being fought over family values, how’s this for dinner-table political chat: Health care costs for a family of four will jump 50 per cent to $42,800 within 20 years. Story:

Get this: In the US, regardless of the income tax rate, has the tax revenue ever passed 20% of GDP. Call it Hauser’s Law, because it is as central to the economics of taxation as Boyle’s Law is to the physics of gases.
There simply is not enough money to tax our way out of this… as much as Canadians seem to love new taxes.
This means that Canada’s “Free” health care model needs to be addressed quickly – which we know will not happen.
So just when all of us Baby Boomers need it most, it will collapse.. or the country will. Along with our Canada Pensions.
Make the choice soon.




