The Effect Of Health Expenditure Structure On Residents' Income Gap

In the 40 years of reform and opening up,China's economy has developed rapidly and made great achievements.However,the income gap between residents is getting bigger and bigger,and people's burden of medical and health care is getting heavier and heavier,which make China economic transition at this stage face two major challenges:Causing poverty due to illness,illness returning to poverty and widening gap between rich and poor.Therefore,how to alleviate the phenomenon of"causing poverty due to illness" and "illness returning to poverty",and narrowing the income gap among residents and improving people's living standard and satisfaction are the urgent problems to be solved.This paper makes an in-depth analysis of the structure of health expenditure in China and using the MT index to analyze the impact of government health expenditure,social health expenditure and personal health expenditure on the income gap of residents creatively form China's health expenditure structure.The expenditure gap and the impact on urban and rural residents income and other issues.First of all this article introduced the concept and definition of health expenditure structure and income redistribution,and elaborated the theory of income redistribution,including healthy human capital theory.The redistribution theory,based on the related theories,analyzes the income redistribution effect of the health expenditure structure.Secondly,this article introduces and analyzes the current situation of China's health expenditure and the status quo of residents' income gap.The status of health expenditure is divided into the status quo of the national residents' health expenditure,the status of urban residents' health expenditure,the status of rural residents' health expenditure,and the status quo of urban and rural health expenditure gaps.The resident's income gap is divided into the introduction and evaluation of the income gap between urban and rural residents,the income gap between industries,and the regional income gap.Thirdly,a statistical descriptive analysis of the effects of household income redistribution on health expenditure structures was conducted.The following results were obtained by measuring the health expenditure of each part of the health expenditure structure and structure through the MT index:the total effect of the health expenditure structure is RE;The index was negative between 1996 and 2005,and the RE index was positive between 2006 and 2016;Government health expenditure can reduce the Gini coefficient of residents,but the effect of income redistribution is low;Social health expenditures can reduce residents' income inequality;Personal health expenditure has expanded the Gini coefficient of residents' income,and the effect of income redistribution is negative;Compared with cities,the income redistribution effect of rural health expenditure is greater.Based on the statistical descriptive analysis,the income redistribution effect of the health expenditure structure is measured and analyzed.The results show that the government health expenditure has a positive effect on the resident disparity at the level of 1%,and the social health expenditure is 10%.The level of income has a positive impact on the residents'income gap,and personal health expenditures do not have a significant measurement of the residents' income gap.Finally,based on the statistical descriptive analysis and empirical findings,This article proposes the following policy recommendations based on the purpose of reducing residents' income gap:Increase the proportion of government health expenditure to make it the dominant structure of health expenditure;Increasing the proportion of social health expenditure to make it a pillar of the health expenditure structure;Reduce the proportion of personal health expenditure and improve the fairness of medical services for all residents.Reform the dual urban-rural structure and promote the integration of urban and rural health among all people.