Clarifying the Social Status of Medical Industry to Accelerate the reform of Hospital Management System and Operational Mechanism

Medical industry in China is a public welfare business run by the government under the national welfare policy. The Constitution provides that the establishment of medical industry by non-government organizations should be encouraged as long as the purpose is not for profit. The 2nd National Health Conlerence put it forward that the operation of Chinese medical industry should be adapted to the development of market economy but not marketized. At present, the key to hospital reform is not the ownership transferring from public to private but the establishment of hospital management system and operational mechanism that fit the. development of market economy.