POLB50Y3 Chapter : POLA51 Federal-Provincial Programs (Shared-cost vs. Block Payments)

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In canada, all citizen"s health care is administered via a public system. A pool of fund, collected via taxation, is managed and paid out by government. Federal and provincial governments share the costs. Shared-cost programs dollar: ottawa"s contribution matches the provincial spending dollar for, the canada assistance plan (scrapped in 1995, ad hoc caps and freezes rampant throughout s-c history, education & health costs started as shared cost programs. Feds argued that s-c programs did not encourage provinces to control program costs. Health care funded through the canada health transfer (cht) Social assistance and postsecondary education funded through the. Block funding: ottawa"s contribution is geared to the previous year"s subsidy plus an amount calculated on the basis of growth in the recipient province"s gross product, ottawa is not obliged to match provincial spending. Indeed, more and more of education and healthcare costs are being shouldered by the provinces.

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