IDEAS home Printed from https://ideas.repec.org/h/nbr/nberch/14910.html

The Economics of Long-Term Care in Canada

In: Long-Term Care around the World

Author

Listed:
  • Kevin Milligan
  • Tammy Schirle

Abstract

This paper contributes a broad overview of the Canadian long-term care system. Taking an economist’s viewpoint, we bring together supply and demand factors to provide an economic analysis of the current and future path for long-term care. Like other OECD countries, the coming demographic wave of older baby boomers will put tremendous stress on the existing financial, organizational, and physical structures of the long-term care system. Unlike other OECD countries, Canada’s system is organized almost entirely at the subnational level, with provinces and territories having by far the largest role in financing and regulating long-term care. We provide institutional and empirical details on the evolution and future of Canada's long-term care system.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Kevin Milligan & Tammy Schirle, 2023. "The Economics of Long-Term Care in Canada," NBER Chapters, in: Long-Term Care around the World, pages 35-67, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberch:14910
    as

    Download full text from publisher

    File URL: http://www.nber.org/chapters/c14910.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. M. Martin Boyer & Philippe De Donder & Claude Fluet & Marie-Louise Leroux & Pierre-Carl Michaud, 2020. "Long-Term Care Insurance: Information Frictions and Selection," American Economic Journal: Economic Policy, American Economic Association, vol. 12(3), pages 134-169, August.
    2. Schellenberg, Grant & Ostrovsky, Yuri, 2010. "Pension Coverage and Earnings Replacement Rates Among Canadian Couples," Analytical Studies Branch Research Paper Series 2010327e, Statistics Canada, Analytical Studies Branch.
    3. Kevin Milligan, 2008. "The Evolution of Elderly Poverty in Canada," Canadian Public Policy, University of Toronto Press, vol. 34(s1), pages 79-94, November.
    4. Ake Blomqvist & Colin Busby, 2012. "Long-Term Care for the Elderly: Challenges and Policy Options," C.D. Howe Institute Commentary, C.D. Howe Institute, issue 367, November.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. is not listed on IDEAS
    2. Coulibaly, Siramane & Fortin, Bernard & Isabelle, Maripier, 2025. "Demand for domestic help services: Evidence from a natural experiment," Journal of Economic Behavior & Organization, Elsevier, vol. 238(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Bev Dahlby & Kevin Milligan, 2017. "From theory to practice: Canadian economists contributions to public finance," Canadian Journal of Economics, Canadian Economics Association, vol. 50(5), pages 1324-1347, December.
    2. Nicholas-James Clavet & Rejean Hebert & Pierre-Carl Michaud & Julien Navaux, 2022. "The Future of Long-Term Care in Quebec: What Are the Cost Savings from a Realistic Shift toward More Home Care?," Canadian Public Policy, University of Toronto Press, vol. 48(S2), pages 35-50, November.
    3. Guo, Miao & Li, Yang & Zhang, Wendan, 2025. "Supply expansion of Long-Term Services & Supports: Evidence from China’s long-term care insurance pilot," Journal of Economic Behavior & Organization, Elsevier, vol. 239(C).
    4. Kluth, Sebastian & Gasche, Martin, 2013. "Ersatzraten in der Gesetzlichen Rentenversicherung," MEA discussion paper series 201311, Munich Center for the Economics of Aging (MEA) at the Max Planck Institute for Social Law and Social Policy.
    5. Lori J. Curtis & Kate Rybczynski, 2014. "Exiting Poverty: Does Sex Matter?," Canadian Public Policy, University of Toronto Press, vol. 40(2), pages 126-142, June.
    6. Philippe De Donder & Marie‐Louise Leroux, 2021. "Long term care insurance with state‐dependent preferences," Health Economics, John Wiley & Sons, Ltd., vol. 30(12), pages 3074-3086, December.
    7. Giorgio Fabbri & Marie-Louise Leroux & Paolo Melindi-Ghidi & Willem Sas, 2024. "Conditioning public pensions on health: effects on capital accumulation and welfare," Journal of Population Economics, Springer;European Society for Population Economics, vol. 37(2), pages 1-21, June.
    8. Roy McGee, 2023. "Adverse Selection Among Early Adopters and Unraveling Innovation," University of Western Ontario, Centre for Human Capital and Productivity (CHCP) Working Papers 2022302, University of Western Ontario, Centre for Human Capital and Productivity (CHCP).
    9. McDonald, James Ted & Worswick, Christopher, 2013. "Retirement Incomes, Labour Supply and Co-residency Decisions of Older Immigrants in Canada: 1991-2006," CLSSRN working papers clsrn_admin-2013-23, Vancouver School of Economics, revised 29 Apr 2013.
    10. Michael R. Veall, 2008. "Canadian Seniors and the Low Income Measure," Canadian Public Policy, University of Toronto Press, vol. 34(s1), pages 47-58, November.
    11. Nicholas-James Clavet & Pierre-Carl Michaud & Julien Navaux, 2026. "Optimal Long-Term Care Provision and Insurance with Heterogeneous Preferences and Risks," Cahiers de recherche / Working Papers 07, Chaire de recherche Jacques-Parizeau en politiques économiques / Jacques-Parizeau Research Chair in Economic Policy.
    12. Claudio Daminato & Irina Gemmo, 2025. "Determinants and Life-Cycle Effects of Survival Ambiguity," Cahiers de recherche / Working Papers 21, Institut sur la retraite et l'épargne / Retirement and Savings Institute.
    13. Meango, Romuald & Girsberger, Esther Mirjam, 2024. "Identification of Ex Ante Returns Using Elicited Choice Probabilities: An Application to Preferences for Public-Sector Jobs," IZA Discussion Papers 17174, IZA Network @ LISER.
    14. Raúl Del Pozo-Rubio & Isabel Pardo-García & Francisco Escribano-Sotos, 2020. "Financial Catastrophism Inherent with Out-of-Pocket Payments in Long Term Care for Households: A Latent Impoverishment," IJERPH, MDPI, vol. 17(1), pages 1-19, January.
    15. repec:ces:ifodic:v:10:y:2012:i:4:p:19074538 is not listed on IDEAS
    16. Zheng, Jiakun, 2020. "Optimal insurance design under narrow framing," Journal of Economic Behavior & Organization, Elsevier, vol. 180(C), pages 596-607.
    17. Norina Szander & Lorenzo Ros-McDonnell & María Victoria De-la-Fuente-Aragón & Robert Vodopivec, 2018. "Sustainable Urban Homecare Delivery with Different Means of Transport," Sustainability, MDPI, vol. 10(2), pages 1-12, February.
    18. Arthur Seibold & Sebastian Seitz & Sebastian Siegloch, 2025. "Privatizing Disability Insurance," Econometrica, Econometric Society, vol. 93(5), pages 1697-1737, September.
    19. Peter Kitchen & James Chowhan & Lisa Kaida, 2025. "Canada pension plan (CPP) and maximum benefit recipients in retirement: a profile of an exclusive group and gender differences," SN Business & Economics, Springer, vol. 5(12), pages 1-23, December.
    20. Kevin Milligan & Tammy Schirle, 2025. "Retirement Incentives and Decisions Across the Income Distribution: Evidence in Canada," NBER Chapters, in: Social Security Programs and Retirement Around the World: The Effects of Pension Reforms on the Income Distribution of Retirees, National Bureau of Economic Research, Inc.
    21. Philippe De Donder & Marie-Louise Leroux & François Salanié, 2022. "Advantageous Selection Without Moral Hazard (with an Application to Life Care Annuities)," CESifo Working Paper Series 9764, CESifo.

    More about this item

    JEL classification:

    • H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
    • I13 - Health, Education, and Welfare - - Health - - - Health Insurance, Public and Private
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nbr:nberch:14910. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/nberrus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.