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Impact of China’s ‘Zero-markup Policy for Essential Drugs’ on Patients, County Hospital Revenue and Government Subsidy Levels

Impact of China’s ‘Zero-markup Policy for Essential Drugs’ on Patients, County Hospital Revenue and Government Subsidy Levels

Speaker:

  • Yanfang Su

Audio and transcript from the Asia Health Policy Program seminar "Impact of China’s ‘Zero-markup Policy for Essential Drugs’ on Patients, County Hospital Revenue and Government Subsidy Levels" on April 5, 2016, with Yanfang Su.


China implemented a Zero-markup Policy for Essential Drugs (ZPED) since 2009 and this study evaluated the impact of ZPED on patients, county hospital revenue, and government subsidy levels. Data from Ningshan and Zhenping county hospitals were collected. The primary method of analysis was difference-in-differences. The results showed that ZPED had significant effects on patients and county hospital revenue but limited impact on government subsidy levels.

Transcript