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Health‐seeking behavior and hospital choice in China's New Cooperative Medical System

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  • Philip H. Brown
  • Caroline Theoharides

Abstract

Since the dissolution of the Rural Cooperative Medical System at the end of the commune period, illness has emerged as a leading cause of poverty in rural China. To address the poor state of health care, the Chinese government unveiled the New Cooperative Medical System in 2002. Because local governments have been given significant control over program design, fundamental characteristics of the program vary from one county to the next. These differences may influence the decision to seek health care as well as the choice of hospital conditional on that initial decision. In this paper, we use a nested logit model to analyze household survey data from 25 counties to analyze the determinants of such health-seeking behavior. We find that age, the share of household expenditures allocated to food consumption (a measure of relative income), and the presence of other sick people in the household negatively affect the decision to seek health care while disability has a positive influence. Further, conditional on seeking treatment, the reimbursement scheme in place in each county and the average daily expenditure associated with hospitalization strongly influence hospital choice. Copyright (C) 2009 John Wiley & Sons, Ltd.

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File URL: http://hdl.handle.net/10.1002/hec.1508
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Bibliographic Info

Article provided by John Wiley & Sons, Ltd. in its journal Health Economics.

Volume (Year): 18 (2009)
Issue (Month): S2 (July)
Pages: S47-S64

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Handle: RePEc:wly:hlthec:v:18:y:2009:i:s2:p:s47-s64

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Web page: http://www3.interscience.wiley.com/cgi-bin/jhome/5749

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Keywords: hospital choice ; insurance ; China ; New Cooperative Medical System ;

References

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Cited by:
  1. Raza, W.A. & Panda, P. & Van de Poel, E. & Dror, D.M. & Bedi, A.S., 2013. "Healthcare Seeking Behavior among Self-help Group Households in Rural Bihar and Uttar Pradesh, India," ISS Working Papers - General Series 575, International Institute of Social Studies of Erasmus University Rotterdam (ISS), The Hague.
  2. Li, Li & Lin, Chunqing & Wu, Zunyou & Scott Comulada, W. & Ding, Yingying, 2012. "Regional differences in HIV prevalence and individual attitudes among service providers in China," Social Science & Medicine, Elsevier, vol. 75(2), pages 283-287.
  3. Martine Audibert & Yong He & Jacky Mathonnat, 2011. "Income Growth, Price Variation and Health Care Demand: A Mixed Logit Model Applied to Tow-period Comparison in Rural China," Working Papers halshs-00552192, HAL.
  4. Winnie Yip & Adam Wagstaff & William C. Hsiao, 2009. "Economic analysis of China's health care system: turning a new page," Health Economics, John Wiley & Sons, Ltd., vol. 18(S2), pages S3-S6, July.

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