ABSTRACT

This chapter provides a political analysis of the healthcare reforms in post-Mao China. It first examines the policy process and outcome of the previous round of healthcare reform. Then, the chapter explores the causes, contents, and consequences of the new round of reform efforts. China's healthcare reform began in the early 1980s, in tandem with its economic reform. The national agenda shift towards economic development highlighted the tension between the state's role as a developmental agency and its traditional role as a social redistributor. Post-Mao bureaucratic and fiscal decentralization reflected clear attempts to redefine government responsibilities in the health sector. Until 2000 healthcare reform featured attempts to improve the supply side of healthcare through reducing the role of the state. The reforms improved the financial status of urban health institutions. Better equipped and more motivated, they offered patients more options in seeking care, which to some extent alleviated the quality problems inherent in the Maoist health system.