Canadian Medicosclerosis

Take a minute and check out Dr. Michel Accad’s Blog.  He practices cardiology in the USA and writes about healthcare systems and philosophy. He says,

“I see three problems as fundamental to the health care crisis in Western societies:

1) a strong tendency to mix or conflate medical care and public health

2) extreme centralization of medical doctrine

3) an inability to define what medicine should (or should not) be about.”

Here’s his most recent post, shared with permission. It looks better on his site with original formatting: Canadian medicosclerosis | Alert & Oriented

Canadian Medicosclerosis and American Medicomania

Impossible to compare

Canadian-border

follow several physicians from Canada on Twitter.  Since I do not have first hand experience of that health care system, I find their accounts instructive.

Some tweets are sadly biting:

Shawn Whatley, a Canadian physician I also follow, wrote in a recent blog post entitled “Medicine resists change” that:

Canadians took a bold, progressive move in the 1960s and created Medicare. And we’ve blocked change ever since.

Sure, we dribble in new technology. Embarrassment demands we buy at least a few PET scanners and robotic surgical assists. But our core system is unchanged.

Government and Organized Medicine insist that basic clinical services work the same as in the 1960s. Patients see their family doctor. Doctors send patients for ‘high-tech’ X-Rays, ultrasounds or blood tests. Patients drive to licensed and controlled lab facilities. Then they trudge back for results days later.

That sounds grim.  But the apparent Canadian medico-sclerosis Whatley describes would have been even worse if it weren’t for the American medico-mania which has disgorged an unbelievable number of innovations and technologies over the last half century.  Most of these innovations, such as the PET scanner, have been exported all over the world, including Canada.

It occurred to me that the extent to which other countries have benefited from this American cornucopia seems to be under-recognized in the perennial debates that compare different health care systems.  What would single-payer systems like those of Canada and Europe (let alone those of the developing world) look like today without the impetus exerted by the American dynamo?

“Life expectancy is just as good in the NHS!” we are told.  But hasn’t the NHS benefited from the development of modern intensive care units, pacemakers, heart-lung machines, bypass surgery, coronary angioplasty, neonatology, CT scanners, MRIs, and myriad inventions which have seen the light of day primarily by virtue of the existence of the American system?

Now, in pointing out the technological and scientific dependence of the world’s health care systems on the US, I am neither trying to boast about American inventiveness (clearly, a large number of inventors have been foreign born, and a good number of inventions originated abroad—even in Canada!) nor establish the American health care system as superior.

In fact, to the extent that our system’s medicomania is fed by a bulimia of debt, that it defers onto future generations a painful day of reckoning, that it creates boondoggles and encourages cronyism, and that it causes those with health care benefits to inevitably drive prices out of the reach of those without those same privileges, then I am perfectly willing to accept that the American model offers as much to be embarrassed about as the Canadian one.

The point worth making is how difficult it is—impossible, in fact—to make any economic comparison of one system against the other on the basis of empirical observations alone.  One can’t say “Look, here, single-payer system, it works!” anymore than one can say “Look, there, crony capitalism, it works!”

Yet that’s precisely the approach that a colleague has taken to rebut my previous criticism of single-payer economics.  Adam Gaffney, a Boston physician and active member of Physicians for a National Health Program wrote that

Now…it’s a bit quixotic to invoke the political philosophy of a neoliberal economist to argue against what is essentially [an] empirical point, i.e. that the United States spends more on health care administration than nations that have a single-payer system (emphasis mine).

But Gaffney missed the point I had made at the end of my post where I said:

Although a single payer could conceivably reduce administrative burden and cut costs, its doing so will never be on the basis of “knowledge of the particular circumstances of time and place” that is at the heart of genuine medical care.

The realm of human affairs is an inextricable mishmash of causes and effects.  It can be clarified only if we begin with first principles and proceed by way of reasoned deductions.  An appeal to empiricism just won’t do.¹

So as to which of Canadian medicosclerosis or American medicomania is the best disorder to have, I’d say they both need radical surgery and would simply leave it at that.


Notes:

1.  Anyone interested in learning about these first principles of natural economic reasoning should definitely read Henry Hazlitt’s 1946 classic essay Economics in One Lesson, now available free online.

Doctors’ Political Blind Spot

Ferris_Bueller's_Day_OffYears ago, my best friend got called out of class to the principal’s office. My friend is smart and sociable. A coral necklace and bushy blond hair dangled around his tanned shoulders as he swaggered down the hall in untied boat shoes.

I wonder what the principal wants?” he thought. “Maybe he needs my advice on something? Oh, I know. I bet he nominated me for an award!

With a huge grin, he flopped down across the desk from the principal. “Hey Mr. Warwick! How’s it going?

Sensing someone else in the room, he twisted around to see his mom frowning from the back of the office. He didn’t get an award. But he’s now a surgeon and medical professor.

Doctors care for patients. They assume medical politics is about improving patient care. Doctors form large organizations to represent the views of dozens of different specialties. They raise issues and try to work out solutions using input from different doctors’ groups. MDs believe clinical facts drive solutions to medical issues.

Like my friend sauntering to the principal’s office, most doctors don’t understand why politicians want to talk. Of course, politicians want to improve patient care. But they want something else much more.

Politicians run for office to shape society. They seek to serve voters by influencing policy towards a particular political vision.

Doctors’ Political Blind Spot

Doctors come unprepared to compete. They pay attention to the wrong things. It’s as if they want the most aerodynamic helmets in a diving competition, or the best golf shoes for downhill skiing. Ontario Medical Association members obsess about whether the right balance of specialties gets elected instead of obsessing over what their representatives think (substantive representation).

Doctors compete for the wrong prize. They assume that politicians want to find the best way to fix patient issues. They don’t realize (or intentionally ignore) that politicians want to find the best ways to advance political agendas by creating solutions to patient issues.

Physicians have a huge political blind spot.

Doctors Want Answers

Many docs ask their provincial associations to respond to articles in journals and newspapers. Most associations only respond to correct factual errors, if a dignitary makes a remark that begs retort, or if they have a policy related to the content in question.

But there’s a bigger reason medical associations cannot respond to media.  Most responses require a political opinion. Medical associations aren’t structured to develop political opinions, let alone have one prepared.

So if politicians say we need a powerful, central organizing body to coordinate national healthcare, doctors’ associations can only comment about patient care and health human resources. They cannot say anything about the politics involved in large, centralized bureaucracies running services per se. That requires a political opinion. Medical associations aren’t allowed to have one.

Get Political

A past president of the OMA once told me, “Doctors need to understand that the OMA is a political body. It’s really more like a lobbyist organization.

I didn’t understand him but finally see what he meant. By the time elected doctors in medical leadership see that the ‘clinical’ issues are not medical but political agendas in disguise, it’s too late. They’ve termed out of office and must move on, and there’s a whole new crop of elected clinicians to convince.

Doctors must get explicit on what they believe about basic political principles. People often talk about being ‘political’ but really mean something like image control or buying voter support. Political opinions dig deeper than media spin and public sympathy. Doctors need to wrestle with fundamental political issues that inform questions like:

  • Should we reward hard work or should all workers be treated the same?
  • Do bureaucrats know how to organize clinical practices better than doctors?
  • Can we drive excellence with more and more regulation or is there a better way?

Doctors must address the political blind spot built into the structure of their associations. If they do not, they will remain only supporters of political change instead of drivers of it. It takes enormous energy to resist the growth of medical bureaucracy even if doctors can see it. And doctors are feeling very tired indeed.

Good Monopolies – Medicare?

googles-utopian-vision-quest-benevolent-tech-monopoly-of-the-future12Good monopolies escape competition. A service monopoly often implies a greedy, exploitative weed that thrives off a niche habitat of bureaucratic rot and legislative fertilizer.

Peter Thiel wrote about good monopolies in the Wall Street Journal. He uses Google as an example. Despite protests insisting that Google has real competition, it actually owns its market space. And we love it, because Google treats us well. Google knows that great service is the best way to own the whole market. (see also Google’s Utopian Quest)

Nationalization

Canadian Medicare enjoys a monopoly only if it offers reasonably good service most of the time. Escalating wait times and arbitrary cuts to doctors and nurses undermine the Medicare monopoly and tarnish the whole franchise of parliament.

Nationalization evangelists argue that many industries show ideal conditions for natural monopolies. Take the military. It seems logical to have one army; same thing with the courts.

Looking to other services, large swaths of uninhabited Canadian countryside make basics like travel and telephone a challenge. But people need these basic services. We ought to provide them in the name of compassion, of Canadian values.

Apologists pause at this point in their sermon.

With right hand on chest, they remind us of our success when we all laboured together under the war measures act. They leverage our patriotism and national pride as reasons to support nationalized monopolies in education, health, transportation, hydro, phone and every other service they can imagine.

Queue a few bars of John Lennon:

Natural Monopolies

Forty years ago, Medicare fit the natural monopoly narrative. Widely separated communities defied even the most ardent laissez faire capitalists to come up with a true market.  It’s pretty tough to have meaningful healthcare or educational choice in Atikokan.

Canada looks different since Tommy Douglas first sermonized about Medicare.  Our population is larger (18 million in 1960 vs. 35 million today) and older (average age mid-20s in 1960s vs. 41 yrs old today). We travel more, and do so more easily. The number of Canadians exploited by niche monopolies based on geographic isolation has decreased dramatically. Retailers cannot gouge customers in Shebandowan like they used to. Everyone has eBay.

Same Motivation, Different Reasons

The arguments supporting nationalized services thin and fade with improved technology and population growth. Canadians do not need a national airline anymore. Privatized ones offer better service and quality for a fraction of the cost. We do not need nationalized telephone service or nationalized railways today.

No nationalized telephone service in the 1970s meant Nipigon went without telephone. Now Nipigon has cell phone service as does Marathon, Terrace Bay and all the other communities over the North Shore.

NOTE: Just because nationalized telephone outlived its usefulness does not mean we can do away with government. We need politicians and bureaucrats to do the work that only they can do. We just don’t need them to run telephone or airline companies anymore.

Despite all that has changed, our motivation remains the same. Compassion dictated that we nationalize services in the 1950s. Compassion now dictates we improve Medicare by allowing competition to improve services just like we did with air travel, telephone and mail. Healthcare stands to improve with a bit of competition.

Is Medicare a good monopoly today?

photo credit: bussiness2community.com