Insuring Rural China's Health? An Empirical Analysis of China's New Collective Medical System

Insuring Rural China's Health? An Empirical Analysis of China's New Collective Medical System

Health is an important factor in the process of economic development. Good

health is important for increasing the productivity of labor force and for raising the

income-earning ability of farm households. Health also has been shown to have positive and statistically significant effects on economic growth. For example, Fogel (1994) argues that about a third of income growth in Britain between 1790 and 1980 can be attributed to improvements in health. In developing countries, good health is viewed as a critical input into poverty reduction and long-term economic development. In short, it has been argued that investment in health is good business in many different settings and environments.