From my understanding, there are varying reasons ranging from monopoly, to having a relatively small population spread across a large area. There is one thing

From my understanding, there are varying reasons ranging from monopoly, to having a relatively small population spread across a large area. There is one thing to note is that there are similar observations for other market segments like cars. People will pay up to 20% more for the same car in Canada vs. the US. I remember when I lived in Canada I saw multiple news segments with the gov't getting angry that Canadians were going to the US to buy new cars in order to save money. During one news segment, the Canadian car dealer being interviewed replied with "Canadians are just willing to pay more," when asked why cars are more expensive in Canada.