A comparative study on the health care and medical service consumption of urban and rural households in China
Purpose – The purpose of this paper is to present a nonparametric comparative study on the HCMS consumption of urban and rural households in China. Design/methodology/approach – This paper applies the panel data for China's thirty provinces in 1991-2007 as a sample and presents a local linear estimation to the nonparametric Working-Leser panel data models on the HCMS consumption of the rural and urban households in China. The nonparametric Hausman test is applied to test the random effects specification against the fixed effects. Findings – Both the parametric and nonparametric estimation of the Working-Leser panel data models give us a similar result: that the HCMS commodity is quite elastic in both the rural and urban China. Nonparametric estimate also shows that the urban-rural difference of the HCMS expenditure share in the total expenditure is mainly due to the large urban-rural difference of total expenditure. Under the same total expenditure, the HCMS is more elastic in the urban than in the rural regions. Practical implications – To decrease the urban-rural difference in the HCMS consumption, the government should enhance the income or total expenditure level of the rural households, especially in the impoverished and remote areas in China. Urbanization plays a critical role in access to health care and can help make substantial changes in rural health care in China. Originality/value – Compared to the parametric estimation, the nonparametric estimation gives us the added information that the expenditure elasticity of the HCMS consumption in China gradually declines as one moves up the per capita total expenditure distribution. The paper could make a contribution to the relatively thin literature on the Chinese medical and health consumption market.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 38 (2011)
Issue (Month): 1 (January)
|Contact details of provider:|| Web page: http://www.emeraldinsight.com|
|Order Information:|| Postal: Emerald Group Publishing, Howard House, Wagon Lane, Bingley, BD16 1WA, UK|
Web: http://www.emeraldinsight.com/jes.htm Email:
When requesting a correction, please mention this item's handle: RePEc:eme:jespps:v:38:y:2011:i:1:p:17-29. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Virginia Chapman)
If references are entirely missing, you can add them using this form.