China’s Healthcare Reform And Resources Redistribution: Lessons For Emerging Nations

Following China’s recent economic growth and healthcare reform, medical services quickly merged into the market economy. The burden of healthcare expense on the Chinese people has become a serious political issue. This research project reviews the changes in health expenditures made during the last two decades. This paper explores the cause of this rapid change in the healthcare sector and analyzes the corresponding statistics during the entire economic reform period. In addition, the paper articulates that the lack of healthcare coverage existed even before the healthcare reform formally started. As a direct result of this reform, medical resources were quickly concentrated in urban hospitals and the individual out-of pocket expense as the share of total health expenditures sharply increased. Recommendations are made for further healthcare reform.