New Rural Cooperative Medical System and Rural Residents' Medical Security

Using the data of China Health and Nutrition Survey (CHNS) in 2004,this article analyzes the influence of new rural cooperative medical system on rural residents' security to explain the difficulties faced by the rural cooperative medical system.Two decision making models for rural residents ' choices to participate in the rural cooperative medical system and medical expenditures are constructed.The results show that the peasants with best and worst health in self-evaluation are not willing to join the rural cooperative medical system,indicating the system encounters adverse selection and the ability to disperse the risk of medical services is much lower.The medical expenditure model suggests that the probability and quantity of medical expenditure for rural residents depend mainly on the severity of illness and are not affected by enrolling in the cooperative medical system.Therefore,We conclude that the membership of new rural cooperative medical system has not provided enough medical security.
JOUR
Xuguang, Chen Zaiyu Kuai
2007
Chinese Journal of Population Science
3
1554