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Health Care Expenditure over Life Cycle in the People's Republic of China

Author

Listed:
  • Jin Feng

    (School of Economics, Fudan University, PRC)

  • Pingyi Lou

    (Nanyang Business School, Nanyang Technological University, Singapore)

  • Yangyang Yu

    (School of Public Economics & Administration, Shanghai University of Finance and Economics, PRC)

Abstract

We use individual level data from eight waves of the China Health and Nutrition Survey during 1991–2011 to investigate age profiles of health expenditure for rural and urban residents in the People's Republic of China (PRC). Employing a two-part model, we find that health expenditure of rural residents is averagely 33% lower than that of urban residents and age–expenditure profile is much steeper in urban areas than in rural areas. However, there is no evidence that the health status of the rural elderly is better than that of the urban elderly. The findings imply that health spending of the rural elderly may increase more during the process of rural–urban integration. In addition, we find a significant difference in age–expenditure profiles across time. Compared with expenditure during 1991–2000, the estimated age-expenditure profile becomes steeper during 2004–2011 in both urban and rural areas.

Suggested Citation

  • Jin Feng & Pingyi Lou & Yangyang Yu, 2015. "Health Care Expenditure over Life Cycle in the People's Republic of China," Asian Development Review, MIT Press, vol. 32(1), pages 167-195, March.
  • Handle: RePEc:tpr:adbadr:v:31:y:2015:i:2:p:167-195
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    References listed on IDEAS

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    Cited by:

    1. Wenqiang Qian & Xiangyu Cheng & Guoying Lu & Lijun Zhu & Fei Li, 2019. "Fiscal Decentralization, Local Competitions and Sustainability of Medical Insurance Funds: Evidence from China," Sustainability, MDPI, vol. 11(8), pages 1-21, April.

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    More about this item

    Keywords

    China; health care; health care expenditure; two-part model; China Health and Nutrition Survey;
    All these keywords.

    JEL classification:

    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models

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