Study On Supply Of Institution In Chinese Medical Market

The market economy is the law economy. The market mechanism couldn't be formed and worked unconditionally. The systemic and perfect institution is the key to market mechanism. Without institution, the market mechanism not only couldn't works, but also leads to confusion. The Chinese medical market is the representative example. Recently, the confusion of the Chinese medical market has gotten worse. Each procedure, including pharmacy enterprise,medical current enterprise,medical management in hospital,medical supervisory,price and quality, is almost out of control. Chinese government must consider that how regulate medical market effectively.The conclusion of the analysis is that the main cause of confusion in Chinese medical market is a shortage of effective institution. The shortage of institution includes formal institution and informal institution. The lack of informal institution leads to invalidation of formal institution. The development of informal institution depends on perfect formal institution. Through learning outstanding management experience of American medical market, Chinese government should advance the ability of institutional supply and make sure that both formal institution and informal institution could be supplied and developed proportionally.This thesis is composed of three parts:The first part refers to the main cause of confusion in Chinese medical market: the shortage of effective institution. Through the analysis of institutional shortage on the basis of confusion, the thesis explains the logic between confusion and institutional shortage, the relation between formal institution and informal institution. This part establishes the framework of the thesis.The second part includes the revelation of medical market in the USA. The American medical market is the most normative and the institution is the most effective. The perfect institutional supply in American medical market can guide for constructing institution in Chinese medical market.The third part: constructing institution to regulate Chinese medical market. The perfect institutional management in the American medical market is used for reference. To solve the status quo of institutional shortage, Chinese government should advance the ability of institutional supply and construct the formal institution and informal institution.The author tries to explain the cause of confusion in Chinese medical market on the basis of the neo-institutional economy, and put forward some advice and suggestion. However, because of the author's limited academic level, this thesis is not perfect in its depth and completeness. Further research in this field is still in need.