| With the significant development of the economy in Yunnan province, people’s living standards have been improved and their demands for health services have been gradually increased, which is due to the reform and opening policy.However. currently, the health care system in Yunnan province cannot satisfy the development of our society, which is resulted from the existing economic system. Thus, the difficulty of getting medical services and the high cost of getting medical treatment are becoming two growing serious problems. Furthermore, the public hospitals, which are the core of the whole health care system are facing some problems as well:the insufficient governmental investment, unseparated management from operation, imbalanced medical resources allocation, and backward internal administration mode. Those problems are causing some other problems, to start with:the medical fee is rapidly rising and the doctor---patient relationships are becoming strained.And then, the basic nonprofit purposes of those public hospitals are waning and the scandals of doctors’ group corruption are being exposed, which results in the damage of their social trust and limitation of their operation and development. Therefore, how to solve the existing difficulties and problems in public hospitals and resolve poor access and high fee in public health care system have becoming two urgent problems at all levels of government. Based on those problems, the Party Central Committee and the State Council have launched a new round of the reform of the health care system. At the same time, all levels of local governments have published some relative corresponding policies, such as allowing social capital to participate in the reform of public hospitals, diversifying the ways of running hospitals. which is the most outstanding point and a breakthrough in this round of medical reform. Specifically. Yunnan Province as a developing border area lacks of health resources and the distribution of those resources is uneven. This undeveloped health care system has significantly limited the development of the economy and retarded our social progress. In order to change this situation. Yunnan Province treats deepening reform of the system for health care and medical treatment as a priority of government work. This includes:positively introducing social capital to participate in the reform of public hospitals, diversifying the ways of running hospitals. and leading to expansion of the total via incremental guided by the stock. To promote the standards and quality of the health care system in Yunnan province via moderate competition, the market competition mechanism has been introduced to break the monopoly of public hospitals. However. Rome was not built in a day.It takes time to tackle some problems when Yunnan Province is introducing social capital and diversifying the ways of running hospitals, such as:the policies are not perfect, social discrimination is serious, management and operation are not separated, the misplacement of government function is serious and so on. Given these, this essay is intended to analysis the origin, the position, and the existing problems of public hospital; to look into the necessary and possibility of the introduction of social capital; to investigate the mode of diversifying running hospitals via introducing social capital in China: to conclude the positive effects and existing problems of introducing social capital to participate in the reform of public hospitals and diversifying the ways of running hospitals; and to provide some practical suggestions for giving supporting policies, further emancipating the mind, separating the management and operation, enhance supervision and strengthen internal construction. All in all. the purpose of this essay is trying to find an appropriate way to reform the public hospitals in Yunnan Province, which will lead to releasing the contradiction between the doctors and the patients, promoting the standards and quality of health care services, tackling poor access and high fee of getting medical treatment. |