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For the past sixteen months, headlines have been broadcast across our televisions cautioning us that the elderly and vulnerable populations are most at risk of this life-threatening COVID-19 virus if we do not stop the spread. Despite the preventative measures, long-term care (LTC) homes have been hit the hardest by the pandemic. In Ontario, of the approximately nine thousand deaths in the province, 41 percent , occurred in these homes. The public response to this tragedy has become a growing outcry to “nationalize” or rather have the province make all residences publicly funded and controlled. The worst part of this rallying cry, noble as it may be, is the assumption that LTC homes are private to begin with. In reality, the only thing “private” about long-term care homes is their name. These homes are almost entirely funded by the province, with the rest of the cost highly regulated. Doomed from the start, it is no wonder that these institutions collapse under the slightest amount of external pressure.
Article by Trevor Schleihauf from Mises .
When one says that a business is private, it conjures images of free enterprise and entrepreneurship. Even if that is not the first picture that comes to mind, one likely imagines that the consumer, or in this case, the patient, pays for the services. The unfortunate side effect is that people also think, “The greedy capitalist murdered my grandmother.” Those who think this way are the folks that wish to gallop down the trail to full public ownership. While one can understand the sentiment, the basis of this outcry is flawed at best.
In the 2020 April budget, the Ontario government spent $ 5.76 billion on LTC homes. This egregious sum of money goes toward all medical staff and supplies, recreation programs, support services, and even the groceries purchased for the home. The price charged to the residents is effectively an administration fee and covers nonmedical support staff as well. The catch to this cost is that the province sets maximum levels for these fees, essentially regulating what extras the homes can and cannot afford. At […]
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JD Rucker – EIC