Skip to main content
Top
Published in: BMC Health Services Research 1/2015

Open Access 01-12-2015 | Research article

Measurement and explanation of socioeconomic inequality in catastrophic health care expenditure: evidence from the rural areas of Shaanxi Province

Authors: Yongjian Xu, Jianmin Gao, Zhongliang Zhou, Qinxiang Xue, Jinjuan Yang, Hao Luo, Yanli Li, Sha Lai, Gang Chen

Published in: BMC Health Services Research | Issue 1/2015

Login to get access

Abstract

Background

Policy interventions have been taken to protect households from facing unpredictable economic changes that may cause catastrophe in China. This study aims to estimate the change of overall proportion of households incurring catastrophic health care expenditure (CHE) and its income-related inequality in the rural areas of Shaanxi Province from 2008 to 2013.

Methods

The data were drawn from the National Household Health Service Surveys of Shaanxi Province conducted in the years 2008 and 2013. In total, 3,217 households in 2008 and 13,085 households in 2013 were selected for analysis. A “Capacity to pay” approach was used to measure the incidence of CHE. The concentration index was employed to measure the extent of income-related inequality in CHE. A decomposition method, based on a logit model, was used to decompose the concentration index into its determining components.

Results

From 2008 to 2013, the overall proportion of households incurring CHE dropped from 17.19 % to 15.83 %, while conversely, the inequality in facing CHE strongly increased. The majority of observed inequalities in CHE were explained by household economic status and household size in 2013. In addition, the absence of commercial health insurance and having elderly members were also important contributors to inequality in CHE.

Conclusions

Even though we used a conservative method to measure CHE, the overall proportion of households incurring CHE in Shaanxi Province is still considerably high in both years. Furthermore, there exists a strong pro-rich inequality of CHE in rural areas of Shaanxi Province. Our study suggests that narrowing the gap of household economic status, improving the anti-risk capability of small scale households, establishing prepayment mechanisms in health insurance, strengthening the depth of reimbursement and subsidising vulnerable households in Shaanxi Province are helpful for both reducing the probability of incurring CHE and the pro-rich inequality in CHE.
Literature
1.
go back to reference Hajizadeh M, Nghiem HS. Out-of-pocket expenditures for hospital care in Iran: who is at risk of incurring catastrophic payments? Int J Health Care Finance Econ. 2011;11(4):267–85.CrossRefPubMed Hajizadeh M, Nghiem HS. Out-of-pocket expenditures for hospital care in Iran: who is at risk of incurring catastrophic payments? Int J Health Care Finance Econ. 2011;11(4):267–85.CrossRefPubMed
2.
go back to reference Chen G, Inder B, Hollingsworth B. Health investment and economic output in regional China. Contemp Econ Policy. 2014;32(2):261–74.CrossRef Chen G, Inder B, Hollingsworth B. Health investment and economic output in regional China. Contemp Econ Policy. 2014;32(2):261–74.CrossRef
3.
go back to reference Xu K, Evans DB, Kawabata K, Zeramdini R, Klavus J, Murray CJ. Household catastrophic health expenditure: a multicountry analysis. Lancet. 2003;362(9378):111–7.CrossRefPubMed Xu K, Evans DB, Kawabata K, Zeramdini R, Klavus J, Murray CJ. Household catastrophic health expenditure: a multicountry analysis. Lancet. 2003;362(9378):111–7.CrossRefPubMed
4.
go back to reference Zhou Z, Gao J. Study of catastrophic health expenditure in China’s basic health insurance. HealthMED. 2011;5:1498–507. Zhou Z, Gao J. Study of catastrophic health expenditure in China’s basic health insurance. HealthMED. 2011;5:1498–507.
5.
go back to reference WP SE, Aizuddin AN, Zainuddin Z, Manaf MRA, Aljunid S. Catastrophic health expenditure and its influencing factors in Malaysia. BMC Health Serv Res. 2012;12 Suppl 1:2. WP SE, Aizuddin AN, Zainuddin Z, Manaf MRA, Aljunid S. Catastrophic health expenditure and its influencing factors in Malaysia. BMC Health Serv Res. 2012;12 Suppl 1:2.
6.
go back to reference Berki SE. A look at catastrophic medical expenses and the poor. Health Affair. 1986;5(4):138–45.CrossRef Berki SE. A look at catastrophic medical expenses and the poor. Health Affair. 1986;5(4):138–45.CrossRef
8.
go back to reference Wagstaff A, Van Doorslaer E. Catastrophe and impoverishment in paying for health care: with applications to Vietnam 1993–1998. Health Econ. 2002;12(11):921–34.CrossRef Wagstaff A, Van Doorslaer E. Catastrophe and impoverishment in paying for health care: with applications to Vietnam 1993–1998. Health Econ. 2002;12(11):921–34.CrossRef
9.
go back to reference Xu K, Evans DB, Kawabata K. Understanding household catastrophic health expenditure: a multi-country analysis. Geneva: World Health Organization; 2003. p. 565–72. Xu K, Evans DB, Kawabata K. Understanding household catastrophic health expenditure: a multi-country analysis. Geneva: World Health Organization; 2003. p. 565–72.
10.
go back to reference Xu K, Evans DB, Carrin G, Aguilar-Rivera AM, Musgrove P, Evans T. Protecting households from catastrophic health spending. Health Aff (Millwood). 2007;26(4):972–83.CrossRef Xu K, Evans DB, Carrin G, Aguilar-Rivera AM, Musgrove P, Evans T. Protecting households from catastrophic health spending. Health Aff (Millwood). 2007;26(4):972–83.CrossRef
11.
go back to reference Pradhan M, Prescott N. Social risk management options for medical care in Indonesia. Health Econ. 2002;11(5):431–46.CrossRefPubMed Pradhan M, Prescott N. Social risk management options for medical care in Indonesia. Health Econ. 2002;11(5):431–46.CrossRefPubMed
12.
go back to reference O’Donnell O, van Doorslaer E, Rannan-Eliya RP, Somanathan A, Adhikari SR, Akkazieva B, et al. Who pays for health care in Asia? J Health Econ. 2008;27(2):460–75.CrossRefPubMed O’Donnell O, van Doorslaer E, Rannan-Eliya RP, Somanathan A, Adhikari SR, Akkazieva B, et al. Who pays for health care in Asia? J Health Econ. 2008;27(2):460–75.CrossRefPubMed
13.
go back to reference Wagstaff A, van Doorslaer E, van der Burg H, Calonge S, Christiansen T, Citoni G, et al. Equity in the finance of health care: some further international comparisons. J Health Econ. 1999;18(3):263–90.CrossRefPubMed Wagstaff A, van Doorslaer E, van der Burg H, Calonge S, Christiansen T, Citoni G, et al. Equity in the finance of health care: some further international comparisons. J Health Econ. 1999;18(3):263–90.CrossRefPubMed
14.
go back to reference Ataguba JE, Akazili J, McIntyre D. Socioeconomic-related health inequality in South Africa: evidence from General Household Surveys. Int J Equity Health. 2011;10(1):48.CrossRefPubMedPubMedCentral Ataguba JE, Akazili J, McIntyre D. Socioeconomic-related health inequality in South Africa: evidence from General Household Surveys. Int J Equity Health. 2011;10(1):48.CrossRefPubMedPubMedCentral
15.
go back to reference McIntyre D, Thiede M, Birch S. Access as a policy-relevant concept in low- and middle-income countries. Health Econ Policy Law. 2009;4(2):179–93.CrossRefPubMed McIntyre D, Thiede M, Birch S. Access as a policy-relevant concept in low- and middle-income countries. Health Econ Policy Law. 2009;4(2):179–93.CrossRefPubMed
16.
go back to reference Lin W, Liu GG, Chen G. The Urban resident basic medical insurance: a landmark reform towards universal coverage in China. Health Econ. 2009;18 Suppl 2:83–96.CrossRef Lin W, Liu GG, Chen G. The Urban resident basic medical insurance: a landmark reform towards universal coverage in China. Health Econ. 2009;18 Suppl 2:83–96.CrossRef
17.
go back to reference Tang S, Tao J, Bekedam H. Controlling cost escalation of healthcare: making universal health coverage sustainable in China. BMC Public Health. 2012;12 Suppl 1:8.CrossRef Tang S, Tao J, Bekedam H. Controlling cost escalation of healthcare: making universal health coverage sustainable in China. BMC Public Health. 2012;12 Suppl 1:8.CrossRef
19.
go back to reference Zhang C, Li M, Wu C, Peng Z, Zhang Z, Li T. Analyze on declining compensation proportion of New Rural Cooperative Medical Care. Chinese Primary Health Care. 2011;6:22–4. Zhang C, Li M, Wu C, Peng Z, Zhang Z, Li T. Analyze on declining compensation proportion of New Rural Cooperative Medical Care. Chinese Primary Health Care. 2011;6:22–4.
21.
go back to reference Konings P, Harper S, Lynch J, Hosseinpoor AR, Berkvens D, Lorant V, et al. Analysis of socioeconomic health inequalities using the concentration index. Int J Public Health. 2010;55(1):71–4.CrossRefPubMed Konings P, Harper S, Lynch J, Hosseinpoor AR, Berkvens D, Lorant V, et al. Analysis of socioeconomic health inequalities using the concentration index. Int J Public Health. 2010;55(1):71–4.CrossRefPubMed
22.
go back to reference Sun X, Jackson S, Carmichael G, Sleigh AC. Catastrophic medical payment and financial protection in rural China: evidence from the New Cooperative Medical Scheme in Shandong Province. Health Econ. 2009;18(1):103–19.CrossRefPubMed Sun X, Jackson S, Carmichael G, Sleigh AC. Catastrophic medical payment and financial protection in rural China: evidence from the New Cooperative Medical Scheme in Shandong Province. Health Econ. 2009;18(1):103–19.CrossRefPubMed
23.
go back to reference Gao J, Tang S, Tolhurst R, Rao K. Changing access to health services in urban China: implications for equity. Health Policy Plan. 2001;16(3):302–12.CrossRefPubMed Gao J, Tang S, Tolhurst R, Rao K. Changing access to health services in urban China: implications for equity. Health Policy Plan. 2001;16(3):302–12.CrossRefPubMed
24.
go back to reference Tang S, Li X, Wu Z. Rising cesarean delivery rate in primiparous women in urban China: evidence from three nationwide household health surveys. Am J Obstet Gynecol. 2006;195(6):1527–32.CrossRefPubMed Tang S, Li X, Wu Z. Rising cesarean delivery rate in primiparous women in urban China: evidence from three nationwide household health surveys. Am J Obstet Gynecol. 2006;195(6):1527–32.CrossRefPubMed
25.
go back to reference Pardeshi GS. Age heaping and accuracy of age data collected during a community survey in the yavatmal district, maharashtra. Indian J Community Med. 2010;35(3):391–5.CrossRefPubMedPubMedCentral Pardeshi GS. Age heaping and accuracy of age data collected during a community survey in the yavatmal district, maharashtra. Indian J Community Med. 2010;35(3):391–5.CrossRefPubMedPubMedCentral
26.
go back to reference Gotsadze G, Zoidze A, Rukhadze N. Household catastrophic health expenditure: evidence from Georgia and its policy implications. BMC Health Serv Res. 2009;9:69.CrossRefPubMedPubMedCentral Gotsadze G, Zoidze A, Rukhadze N. Household catastrophic health expenditure: evidence from Georgia and its policy implications. BMC Health Serv Res. 2009;9:69.CrossRefPubMedPubMedCentral
27.
go back to reference Van Doorslaer E, Koolman X. Explaining the differences in income-related health inequalities across European countries. Health Econ. 2004;13(7):609–28.CrossRefPubMed Van Doorslaer E, Koolman X. Explaining the differences in income-related health inequalities across European countries. Health Econ. 2004;13(7):609–28.CrossRefPubMed
28.
go back to reference Kakwani N, Wagstaff A, Van Doorslaer E. Socioeconomic inequalities in health: measurement, computation, and statistical inference. J Econometrics. 1997;77:87–104.CrossRef Kakwani N, Wagstaff A, Van Doorslaer E. Socioeconomic inequalities in health: measurement, computation, and statistical inference. J Econometrics. 1997;77:87–104.CrossRef
29.
go back to reference Wagstaff A. The bounds of the concentration index when the variable of interest is binary, with an application to immunization. Health Econ. 2005;14(4):429–32.CrossRefPubMed Wagstaff A. The bounds of the concentration index when the variable of interest is binary, with an application to immunization. Health Econ. 2005;14(4):429–32.CrossRefPubMed
30.
go back to reference Wagstaff A. Measuring and testing for inequality in delivery of health care. J Hum Resour. 2000;35:716–33.CrossRef Wagstaff A. Measuring and testing for inequality in delivery of health care. J Hum Resour. 2000;35:716–33.CrossRef
31.
go back to reference Gravelle H. Measuring income related inequality in health: standardization and the partial concentration index. Health Econ. 2003;12(10):803–19.CrossRefPubMed Gravelle H. Measuring income related inequality in health: standardization and the partial concentration index. Health Econ. 2003;12(10):803–19.CrossRefPubMed
32.
go back to reference Yiengprugsawan V, Lim LL, Carmichael GA, Sidorenko A, Sleigh AC. Measuring and decomposing inequity in self-reported morbidity and self-assessed health in Thailand. Int J Equity Health. 2007;6:23.CrossRefPubMedPubMedCentral Yiengprugsawan V, Lim LL, Carmichael GA, Sidorenko A, Sleigh AC. Measuring and decomposing inequity in self-reported morbidity and self-assessed health in Thailand. Int J Equity Health. 2007;6:23.CrossRefPubMedPubMedCentral
33.
go back to reference Liu X, Gao W, Yan H. Measuring and decomposing the inequality of maternal health services utilization in western rural China. BMC Health Serv Res. 2014;14:102.CrossRefPubMedPubMedCentral Liu X, Gao W, Yan H. Measuring and decomposing the inequality of maternal health services utilization in western rural China. BMC Health Serv Res. 2014;14:102.CrossRefPubMedPubMedCentral
34.
go back to reference Hosseinpoor AR, Van Doorslaer E, Speybroeck N, Naghavi M, Mohammad K, Majdzadeh R, et al. Decomposing socioeconomic inequality in infant mortality in Iran. Int J Epidemiol. 2006;35(5):1211–9.CrossRefPubMed Hosseinpoor AR, Van Doorslaer E, Speybroeck N, Naghavi M, Mohammad K, Majdzadeh R, et al. Decomposing socioeconomic inequality in infant mortality in Iran. Int J Epidemiol. 2006;35(5):1211–9.CrossRefPubMed
35.
go back to reference Wang H, Zhang L, Hsiao W. Ill health and its potential influence on household consumptions in rural China. Health Policy. 2006;78(2–3):167–77.CrossRefPubMed Wang H, Zhang L, Hsiao W. Ill health and its potential influence on household consumptions in rural China. Health Policy. 2006;78(2–3):167–77.CrossRefPubMed
36.
go back to reference Kavosi Z, Rashidian A, Pourreza A, Majdzadeh R, Pourmalek F, Hosseinpour AR, et al. Inequality in household catastrophic health care expenditure in a low-income society of Iran. Health Policy Plan. 2012;27(7):613–23.CrossRefPubMed Kavosi Z, Rashidian A, Pourreza A, Majdzadeh R, Pourmalek F, Hosseinpour AR, et al. Inequality in household catastrophic health care expenditure in a low-income society of Iran. Health Policy Plan. 2012;27(7):613–23.CrossRefPubMed
37.
go back to reference Arsenault C, Fournier P, Philibert A, Sissoko K, Coulibaly A, Tourigny C, et al. Emergency obstetric care in Mali: catastrophic spending and its impoverishing effects on households. Bull World Health Organ. 2013;91(3):207–16.CrossRefPubMedPubMedCentral Arsenault C, Fournier P, Philibert A, Sissoko K, Coulibaly A, Tourigny C, et al. Emergency obstetric care in Mali: catastrophic spending and its impoverishing effects on households. Bull World Health Organ. 2013;91(3):207–16.CrossRefPubMedPubMedCentral
38.
go back to reference Wenqi F, Baoyu L, Qinghua Z, Guoxiang L. Analysis on catastrophic health expenditure in rural households of Heilongjiang. Chinese Health Economics. 2014;2(33):46–7. Wenqi F, Baoyu L, Qinghua Z, Guoxiang L. Analysis on catastrophic health expenditure in rural households of Heilongjiang. Chinese Health Economics. 2014;2(33):46–7.
39.
go back to reference Lagomarsino G, Garabrant A, Adyas A, Muga R, Otoo N. Moving towards universal health coverage: health insurance reforms in nine developing countries in Africa and Asia. Lancet. 2012;380(9845):933–43.CrossRefPubMed Lagomarsino G, Garabrant A, Adyas A, Muga R, Otoo N. Moving towards universal health coverage: health insurance reforms in nine developing countries in Africa and Asia. Lancet. 2012;380(9845):933–43.CrossRefPubMed
40.
go back to reference Abolhallaje M, Hasani S, Bastani P, Ramezanian M, Kazemian M. Determinants of catastrophic health expenditure in Iran. Iran J Public Health. 2013;42(Supple1):155–60.PubMedPubMedCentral Abolhallaje M, Hasani S, Bastani P, Ramezanian M, Kazemian M. Determinants of catastrophic health expenditure in Iran. Iran J Public Health. 2013;42(Supple1):155–60.PubMedPubMedCentral
41.
go back to reference Yan J, Yan Y, Hao N, Yang J, Gao J, Li Q, et al. Empirical studies on the relief effect of catastrophic health expenditure under three basic medical schemes. Chinese Health Economics. 2012;31(1):26–8. Yan J, Yan Y, Hao N, Yang J, Gao J, Li Q, et al. Empirical studies on the relief effect of catastrophic health expenditure under three basic medical schemes. Chinese Health Economics. 2012;31(1):26–8.
43.
Metadata
Title
Measurement and explanation of socioeconomic inequality in catastrophic health care expenditure: evidence from the rural areas of Shaanxi Province
Authors
Yongjian Xu
Jianmin Gao
Zhongliang Zhou
Qinxiang Xue
Jinjuan Yang
Hao Luo
Yanli Li
Sha Lai
Gang Chen
Publication date
01-12-2015
Publisher
BioMed Central
Published in
BMC Health Services Research / Issue 1/2015
Electronic ISSN: 1472-6963
DOI
https://doi.org/10.1186/s12913-015-0892-2

Other articles of this Issue 1/2015

BMC Health Services Research 1/2015 Go to the issue