GROUP 10 HCD 303 PAPER

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Arizona State University *

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303

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Health Science

Date

Feb 20, 2024

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1 China’s Healthcare System Group 10 Sonia Diaz, Amy Ramos, Hovo Ivanov Arizona State University HCD 303: Global Healthcare Systems Dr. Biviji April 5, 2023

2 Background of China China is the largest country in East Asia and the fourth largest country in the world. It is approximately 9.6 million square kilometers (3.7 million square miles). China is 2% larger than the United States, the current population in China is about 1.4 billion people. China is a large country that has various landscapes as its area is surrounded by mountains, high plateaus, sandy deserts, and dense forests. According to National Geographics, one-third of China's land area is made up of mountains and has thousands of rivers (National Geographic Kids 2022). About a third of Chinese citizens live in cities and the rest of the population lives in the country. China’s current political system is a national communist government. A communist government is a form of government associated with the ideas of Karl Marx. According to National Geographic, his goal was to “encourage a system that promoted a classless society in which everyone shared the benefits of labor and the state government controlled all property and wealth”( National Geographic). He did not want the poor to be separated from the rich, he wanted equality among them. That is the form of government that China is a part of. They have three branches in their government, executive, legislative, and judicial. Their entire government is led by a single official. China's current GDP is 13.343 trillion USD. Similar to other countries China's economy was affected by the Covid-19 outbreak but has slowly been getting back to its path. According to OECD prior to Covid-19 China's economy GDP per capita was 69% lower than OECD’s best performers. Their pit of pocket spending was high in 2019. According to The New York Times, China is going through a demographic crisis, its population is decreasing. Because there are no babies being born China is expected to not have young people working and 600 million people will become elderly and the government is not sure that they can provide healthcare to all the

3 elders. China is mostly similar to the United States because of the population rates and the size of the country. But in terms of healthcare, health spending in the US is 60% higher than the average of all developed countries. The US GDP is much higher than China’s GDP. Health Costs per capita in the US are $10,586 and in China, it is $688 (Health care in the U.S. and China. US. 2020). Historical Development of the Health Care System Given that China is the country in Asia with the largest population, the development of its current healthcare system has been a long progress. An important key point that has shaped China’s healthcare system is that their goal for their healthcare system is an institutional arrangement to reduce people’s medical burden, improve their well-being, and maintain stability within the country. Their main focus in establishing a healthcare system is to help people with their worries concerning their illnesses (Yi, B 2021). The stakeholders are the providers and the Chinese citizens. The providers are affected by this development because providing care is their job and if people are not receiving the care that they need because of the lack of access then the providers are not getting paid for their job. Furthermore, the citizens are affected by this development because without health insurance they are unable to get the help that they need. Since China achieved the universal coverage model and has publicly funded medical insurance they provide insurance through an employer similar to the U.S. According to Roosa Tikkanen et al. This plan covers primary, specialty, hospital, mental health care, and prescription drugs including traditional Chinese medicine. The employers do pay, deductibles, copayments, and reimbursement ceilings. Although there is no annual cap on out-of-pocket spending. Private health insurance helps cover cost-sharing and coverage gaps (Tikkanen et al, 2023). The Chinese

4 healthcare system decided this was the best decision for each citizen because each citizen is entitled to receive basic healthcare services. Structure and Financing In addition, in healthcare, there are a variety of healthcare structures that allow individuals, organizations, and different resources to integrate healthcare services that allow consumers to have when trying to have care in healthcare. In healthcare there are four different models are that implemented in countries such as the Beveridge model, the Bismarck model, the national health insurance model, and the out-of-pocket model. Essentially each of the healthcare models has different elements in the way they help regulate different countries. The Bismarck model is a model in which medical and hospital services are provided through both private and public services and paid for through sickness funds. The government maintains large amounts of control over the systems to control costs, therefore, this model provides nationwide insurance coverage no matter the individual circumstances however it could be more expensive than the Beveridge model. The Beveridge model is a model in which funding and delivery are primarily provided by the government as medical and hospital services are provided by the government and paid for by taxes. The National Health Insurance model is a model where medical and healthcare services are provided through both public and private entities and is paid for by a single government insurance plan, funding is public but facilities are private. Also, this model makes healthcare affordable for everyone and provides freedom of choice to the patients but there will be a chance that individuals have to pay higher taxes to pay for healthcare. However, on the other hand, the Out-Of-Pocket model is the only model in which medical and healthcare services are provided through both public and private entities and are paid for by the individual

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