Organization and Finance of China’s Health Sector
China has exploded onto the world economy over the past few decades and is undergoing rapid transformation toward relatively more services. The health sector is an important part of this transition. This article provides a historical account of the development of...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
SAGE Publishing
2016-01-01
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| Series: | Inquiry: The Journal of Health Care Organization, Provision, and Financing |
| Online Access: | http://inq.sagepub.com/content/53/0046958015620175.full.pdf |
| _version_ | 1818301072804937728 |
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| author | Hui Li PhD Peter Hilsenrath PhD |
| author_facet | Hui Li PhD Peter Hilsenrath PhD |
| author_sort | Hui Li PhD |
| collection | DOAJ |
| description | China has exploded onto the world economy over the past few decades
and is undergoing rapid transformation toward relatively more services. The health
sector is an important part of this transition. This article provides a historical
account of the development of health care in China since 1949. It also focuses on health
insurance and macroeconomic structural adjustment to less saving and more consumption.
In particular, the question of how health insurance impacts precautionary savings is
considered. Multivariate analysis using data from 1990 to 2012 is employed. The
household savings rate is the dependent variable in 3 models segmented for rural and
urban populations. Independent variables include out-of-pocket health expenditures,
health insurance payouts, housing expenditure, education expenditure, and consumption as
a share of gross domestic product (GDP). Out-of-pocket health expenditures were
positively correlated with household savings rates. But health insurance remains weak,
and increased payouts by health insurers have not been associated with lower levels of
household savings so far. Housing was positively correlated, whereas education had a
negative association with savings rates. This latter finding was unexpected. Perhaps
education is perceived as investment and a substitute for savings. China’s shift toward
a more service-oriented economy includes growing dependence on the health sector. Better
health insurance is an important part of this evolution. The organization and finance of
health care is integrally linked with macroeconomic policy in an environment constrained
by prevailing institutional convention. Problems of agency relationships, professional
hegemony, and special interest politics feature prominently, as they do elsewhere. China
also has a dual approach to medicine relying heavily on providers of traditional Chinese
medicine. Both of these segments will take part in China’s evolution, adding another
layer of complexity to policy. |
| first_indexed | 2024-12-13T05:17:12Z |
| format | Article |
| id | doaj.art-94dba0fd0c2d437c917e1843cbd58ee6 |
| institution | Directory Open Access Journal |
| issn | 0046-9580 1945-7243 |
| language | English |
| last_indexed | 2024-12-13T05:17:12Z |
| publishDate | 2016-01-01 |
| publisher | SAGE Publishing |
| record_format | Article |
| series | Inquiry: The Journal of Health Care Organization, Provision, and Financing |
| spelling | doaj.art-94dba0fd0c2d437c917e1843cbd58ee62022-12-21T23:58:24ZengSAGE PublishingInquiry: The Journal of Health Care Organization, Provision, and Financing0046-95801945-72432016-01-015310.1177/004695801562017510.1177_0046958015620175Organization and Finance of China’s Health SectorHui Li PhDPeter Hilsenrath PhDChina has exploded onto the world economy over the past few decades and is undergoing rapid transformation toward relatively more services. The health sector is an important part of this transition. This article provides a historical account of the development of health care in China since 1949. It also focuses on health insurance and macroeconomic structural adjustment to less saving and more consumption. In particular, the question of how health insurance impacts precautionary savings is considered. Multivariate analysis using data from 1990 to 2012 is employed. The household savings rate is the dependent variable in 3 models segmented for rural and urban populations. Independent variables include out-of-pocket health expenditures, health insurance payouts, housing expenditure, education expenditure, and consumption as a share of gross domestic product (GDP). Out-of-pocket health expenditures were positively correlated with household savings rates. But health insurance remains weak, and increased payouts by health insurers have not been associated with lower levels of household savings so far. Housing was positively correlated, whereas education had a negative association with savings rates. This latter finding was unexpected. Perhaps education is perceived as investment and a substitute for savings. China’s shift toward a more service-oriented economy includes growing dependence on the health sector. Better health insurance is an important part of this evolution. The organization and finance of health care is integrally linked with macroeconomic policy in an environment constrained by prevailing institutional convention. Problems of agency relationships, professional hegemony, and special interest politics feature prominently, as they do elsewhere. China also has a dual approach to medicine relying heavily on providers of traditional Chinese medicine. Both of these segments will take part in China’s evolution, adding another layer of complexity to policy.http://inq.sagepub.com/content/53/0046958015620175.full.pdf |
| spellingShingle | Hui Li PhD Peter Hilsenrath PhD Organization and Finance of China’s Health Sector Inquiry: The Journal of Health Care Organization, Provision, and Financing |
| title | Organization and Finance of China’s Health Sector |
| title_full | Organization and Finance of China’s Health Sector |
| title_fullStr | Organization and Finance of China’s Health Sector |
| title_full_unstemmed | Organization and Finance of China’s Health Sector |
| title_short | Organization and Finance of China’s Health Sector |
| title_sort | organization and finance of china s health sector |
| url | http://inq.sagepub.com/content/53/0046958015620175.full.pdf |
| work_keys_str_mv | AT huiliphd organizationandfinanceofchinashealthsector AT peterhilsenrathphd organizationandfinanceofchinashealthsector |