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A dilemma of Chinese healthcare reform: How to re-define government roles?

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  • Wang, Hufeng

Abstract

This paper discusses the government's roles in the healthcare sector in China. The paper begins with an introduction to the Chinese healthcare sector (supply and demand side) and to the current government's roles. It then reviews the recent transformation of the healthcare sector, with an emphasis on the change in the government's roles and the problems resulting from this transformation. The following is an examination of the latest healthcare reform policies and an exploration of pending government roles. Contrary to the opinion that problems existing in Chinese healthcare are primarily caused by market failure, this paper argues that the historically ambiguous and inappropriate roles of government in the provision of health care should be reexamined. This paper concludes that the most important issue facing the Chinese healthcare sector is finding the optimal balance between market and government.

Suggested Citation

  • Wang, Hufeng, 2009. "A dilemma of Chinese healthcare reform: How to re-define government roles?," China Economic Review, Elsevier, vol. 20(4), pages 598-604, December.
  • Handle: RePEc:eee:chieco:v:20:y:2009:i:4:p:598-604
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    References listed on IDEAS

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    1. Karen Eggleston & Winnie Yip, 2004. "Hospital Competition under Regulated Prices: Application to Urban Health Sector Reforms in China," International Journal of Health Economics and Management, Springer, vol. 4(4), pages 343-368, December.
    2. Diamond, Peter, 1992. "Organizing the Health Insurance Market," Econometrica, Econometric Society, vol. 60(6), pages 1233-1254, November.
    3. Wilson, Charles, 1977. "A model of insurance markets with incomplete information," Journal of Economic Theory, Elsevier, vol. 16(2), pages 167-207, December.
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    Citations

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    Cited by:

    1. Huijie Yan, 2015. "The Integration of Energy, Environment and Health Policies in China: A Review," AMSE Working Papers 1548, Aix-Marseille School of Economics, Marseille, France, revised 10 Nov 2015.
    2. Zhou, Liping & Geng, Na & Jiang, Zhibin & Wang, Xiuxian, 2017. "Combining revenue and equity in capacity allocation of imaging facilities," European Journal of Operational Research, Elsevier, vol. 256(2), pages 619-628.
    3. Liu, Hong & Gao, Song & Rizzo, John A., 2011. "The expansion of public health insurance and the demand for private health insurance in rural China," China Economic Review, Elsevier, vol. 22(1), pages 28-41, March.
    4. Huijie Yan, 2015. "The Integration of Energy, Environment and Health Policies in China: A Review," Working Papers halshs-01247183, HAL.
    5. Yu, Hao, 2015. "Universal health insurance coverage for 1.3 billion people: What accounts for China's success?," Health Policy, Elsevier, vol. 119(9), pages 1145-1152.
    6. Li, Cheng & Yu, Xuan & Butler, James R.G. & Yiengprugsawan, Vasoontara & Yu, Min, 2011. "Moving towards universal health insurance in China: Performance, issues and lessons from Thailand," Social Science & Medicine, Elsevier, vol. 73(3), pages 359-366, August.
    7. Yu, Xuan & Li, Cheng & Shi, Yuhua & Yu, Min, 2010. "Pharmaceutical supply chain in China: Current issues and implications for health system reform," Health Policy, Elsevier, vol. 97(1), pages 8-15, September.

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