Social Programs and Taxation (C8) Flashcards
Social programs
Services provided by govt to reduce economic inequalities and promote QoL of citizens (e.g. free healthcare comes from taxes)
Values
Beliefs about what’s important e.g. democracy, respect, peace, honour, etc.
How are values affected?
New information, new experiences, family, school religion, media, etc.
How do values and the Canadian society relate?
Societies such as Canada are based on shared values that shape laws and social programs and etc. (e.g. health is a value, so healthcare)
Health Insurance
An agreement by a company to pay for your health services, in exchange for a fee that you pay on a basis
Private Health Care
Health care paid for by individuals
Profit
Money made from a product/service that is greater than the cost of providing it
Public Health Care
Health care paid for by taxes
What are social programs (detailed)?
- Services provided by govt to decrease econ. ≠’s and increase QoL of citizens
- (Views differ) e.g. pension plan, healthcare, income assistance, education, affordable housing, etc.
- The decision by govt to provide or not depends on different values
Canada vs US healthcare
Canada: Public (Taxes/program) US: Private (Profit), many citizens buy insurance
What legislation supports the main 3 social programs (Healthcare, Pensions for Senior Citizens, and Income Assistance) in Canada?
- Canada Health Act (federal): all citizens basic healthcare from system
- Old Age Security Act (federal): Age 65, all citizens who have lived in Canada >= 10 years can get monthly pension
- Income Assistance (different in each province): You get support if you can’t meet basic needs
What legislation supports the main 3 social programs (Healthcare, Pensions for Senior Citizens, and Income Assistance) in the US?
- Social Security Act (Healthcare): Citizens with low income receive assistance, everyone else pays for it
- (N/A) (Pensions): Senior citizens support themselves or use pension plans (401(k) etc.)
- Income Assistance (Social Security Act): Citizens unable to meet basic needs receive some assistance paid for by taxes
(Each state has its own legislation)
Govt Responsibilities in Social Programs US vs Canada
- Canada: Provinces have responsibility for healthcare; Federal government passes laws that affects procedure (peace, order, good govt)
- US: Constitution does not make specific mentions, federal laws play more important role
Canada Health Act 5 Principles
- Publicly administered (govt, no profit)
- Comprehensive (surgeons, physicians, hospitals)
- Universal (available to everyone)
- Portable (Everywhere in Canada)
- Accessible (Reasonable time and distance)
Case Study Views 1: George W. Bush
Wants to make healthcare more affordable but will keep it private
Case Study Views 2: Stephen Harper
Innovation of system to reduce wait times, but have to be consistent with CHA
Case Study Views 3: Fraser Institute Report
Government funding causes many inefficiencies, predicts that Citizens will pay more taxes, want private healthcare sector
Case Study Views 4: Advocacy groups (not YCJA) and Coalition
Should not be subject to privatization, the healthcare system can fix itself in the public as well by establishing better communication and cooperation
GST (Goods and Services Tax)
A federal sales tax in Canada (5%)
Income tax
Tax based on percentage of individual’s income (tax increases as income increases)
Median
A concept in stats where you take the middle value directly
What is the connection between social programs and taxation?
Govts collect taxes to pay for social programs; Both federal and provincial govts collect taxes for their respective social programs
- Income tax to federal
- GST to provincial
How does income tax and GST work in real life?
Any formal transaction will have GST on it (B.C. also has PST), everyone when buying will also pay this tax; Income tax for students generally isn’t a big problem as you need a minimum amount earned before you are taxed (about 10-15%)
What do taxes mostly pay for in the federal government and provincial government, and how do they differ?
- F: 1/3 Social services, Debt charges, protection of persons/property (defense+police), Health sector, Transportation, etc.
- P: 1/3 Health, 1/4 Education, 15% social services, Transportation, Industry, etc.
- Provincial focuses more on health and education while federal pays more for social services and protection
