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The Determinants Of Chinese Provincial Government Health Expenditures: Evidence From 2002–2006 Data

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  • Jay Pan
  • Gordon G. Liu

Abstract

There is great divergence in provincial government health expenditures in China. Real per capita provincial government health expenditures (GHE) over the period 2002–2006 are examined using panel regression analysis. Key determinants of real per capita provincial GHE are real provincial per capita general budget revenue, real provincial per capita transfers from the central government, the proportion of provincial population under age 15, urban employee basic health insurance coverage, and proportion of urban population. Roughly equal and relatively low elasticities of budget revenue and transfers imply that the GHE is a necessity rather than a luxury good, and transfers have yet to become efficient instruments for the fair allocation of health resources by policy makers. Moreover, severe acute respiratory syndrome outbreak has increased the GHE, but we find no statistical evidence that provincial GHE have fluctuated according to the public health status. Copyright © 2011 John Wiley & Sons, Ltd.

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  • Jay Pan & Gordon G. Liu, 2012. "The Determinants Of Chinese Provincial Government Health Expenditures: Evidence From 2002–2006 Data," Health Economics, John Wiley & Sons, Ltd., vol. 21(7), pages 757-777, July.
    • Handle: RePEc:wly:hlthec:v:21:y:2012:i:7:p:757-777
    DOI: 10.1002/hec.1742
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    2. Chao Song & Yaode Wang & Xiu Yang & Yili Yang & Zhangying Tang & Xiuli Wang & Jay Pan, 2020. "Spatial and Temporal Impacts of Socioeconomic and Environmental Factors on Healthcare Resources: A County-Level Bayesian Local Spatiotemporal Regression Modeling Study of Hospital Beds in Southwest Ch," IJERPH, MDPI, vol. 17(16), pages 1-23, August.
    3. Pan, Jay & Qin, Xuezheng & Li, Qian & Messina, Joseph P. & Delamater, Paul L., 2015. "Does hospital competition improve health care delivery in China?," China Economic Review, Elsevier, vol. 33(C), pages 179-199.
    4. Jay Pan & Peng Wang & Xuezheng Qin & Shufang Zhang, 2013. "Disparity and Convergence: Chinese Provincial Government Health Expenditures," PLOS ONE, Public Library of Science, vol. 8(8), pages 1-6, August.
    5. Gang Chen & Brett Inder & Paula Lorgelly & Bruce Hollingsworth, 2013. "The Cyclical Behaviour Of Public And Private Health Expenditure In China," Health Economics, John Wiley & Sons, Ltd., vol. 22(9), pages 1071-1092, September.
    6. Qin Zhou & Gordon G. Liu & Sam Krumholz, 2017. "Is Chinese National Health Insurance Effective in the Face of Severe Illness? A Perspective from Health Service Utilization and Economic Burden," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 132(3), pages 1307-1329, July.
    7. Julie Shi & Yi Yao & Gordon Liu, 2018. "Modeling individual health care expenditures in China: Evidence to assist payment reform in public insurance," Health Economics, John Wiley & Sons, Ltd., vol. 27(12), pages 1945-1962, December.
    8. Afrika Ndongozi-Nsabimana, 2020. "Tax revenues and social protection financing in African and Latin American countries," Post-Print hal-03098695, HAL.
    9. Pan, Jay & Zhao, Hanqing & Wang, Xiuli & Shi, Xun, 2016. "Assessing spatial access to public and private hospitals in Sichuan, China: The influence of the private sector on the healthcare geography in China," Social Science & Medicine, Elsevier, vol. 170(C), pages 35-45.
    10. Rajat Deb & Tapash Paul & Jaharlal Debbarma & Kiran Sankar Chakraborty, 2020. "Breaking the Stigma of Health Insurance," Management and Labour Studies, XLRI Jamshedpur, School of Business Management & Human Resources, vol. 45(1), pages 54-84, February.
    11. Xiao Tan, 2017. "Explaining provincial government health expenditures in China: evidence from panel data 2007–2013," China Finance and Economic Review, Springer, vol. 5(1), pages 1-21, December.
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    13. Xiaojun Lin & Miao Cai & Qiang Fu & Kevin He & Tianyu Jiang & Wei Lu & Ziling Ni & Hongbing Tao, 2018. "Does Hospital Competition Harm Inpatient Quality? Empirical Evidence from Shanxi, China," IJERPH, MDPI, vol. 15(10), pages 1-14, October.

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