A Study On Regional Equalization Of Financial Expenses In Public Health Of China

Regional health service inequality not only affects the citizens’ health, but also will bring a series of social problems, and an important means of achieving medical services regional equalization is accomplishing financial public health expenditure of regional equalization, therefore, the research about regional equalization of the public health expenditures has important theory and practical significance on overall regional coordinated development in China and the equalization of public health service, as well as medical and health system reform. First of all, from a different Point of view, this paper elaborates the theoretical basis of the equalization on financial expenses in public health. Secondly, this paper focuses on the regional differences of financial public health spending, based on the predecessor’s research foundation, analyses the regional differences of financial public health spending from1997to2010by Gini coefficient, and is mainly to the analysis of fairness. Meanwhile, it further discusses those fundamental factors causing inequality of fiscal health expenditure based on AR(p)’s Constant Elasticity Models. Thirdly, Non-equalization of the financial public expenditure on. health effects were analyzed, including the health and economic effects. In analyzing the economic effects, by means of Cobb-Douglas production function form, this thesis constructs an economic growth model in which health investment is added. Panel data from31provinces or towns between1999and2010are adopted to analysis the function which health investment have on provincial economic growth. Finally, the paper discussed the main causes of China’s fiscal expenditure of public health regional non-equalization and the implementation of regional equalization.Through the above research, this paper obtains the following conclusions:District difference of fiscal health expenditure is significant, that is, Eastern China is most unequal, followed by Western China. In addition, the contribution of intraregional difference essentially caused by Eastern China to national difference is greater than that of interregional, and the gap is getting bigger and bigger. Moreover, the provinces in eastern region maintain the greatest differences. At the same time, Health effects show significant regional differences, and with the financial public health spending is highly relevant relations. When analysis the Economic effect, we found that it is evident for education investment and health investment to accelerate the economical growth. However, it is notably different for education investment and health investment to contribute to the economical growth. According the per capita expenditure of education investment from government and individual in all distinct and their effect, we find that it is not necessary for the distinct which have relatively less contribution to the economical growth to increase their expenditure, the effective management may be a question needed to be considered more.Finally, this paper argues that the main causes of China’s fiscal expenditure of public health regional non-equalization are the financial public health policy for the deviation, as well as regional differences in levels of economic development, and the imperfection of transfer payment system. The way of achieving financial public health expenditure equalization are to arrange regional coordinated development, improve the health financing system, and boot money trans-regional flow.