The new era in Chinese history in the 20th century, and especially for the Chinese healthcare system, is considered to be the early 1980s, just after the introduction of reform of the market economy in the country. To understand what the impacts of these reforms were on the health system, it is necessary to have a brief overview of the health system that functioned before the market economy reform in the country. During China's "planned economy period" from 1949 to 1978, every person had equal access to basic health services. In urban areas, workers received health services based on subsidies from state-owned enterprises, as well as family members of employees and retirees of state-owned enterprises, which was called the Labor Insurance Scheme (LIS ), and for other urban residents. social groups like government employees, disabled veterans, teachers and others, the Government Insurance Scheme (GIS) was applied (Blomqvist 2008; Chu 2002). Similarly, in rural areas, health care services were organized and financed by the Cooperative Medical System (CMS). ), within the framework of the collective agricultural production system and social services. The main feature of the CMS is its collective financing, prepayment system and organization of health services through a three-tier system with vertical administration comprising "barefoot doctors" called primary health care and service providers prevention, cantonal health centers – second level of health care. county facilities and hospitals - third level of health care facilities. The CMS financing plan included premium assessment, based on the plan's benefit structure and the economic situation of the local community, a collective social protection fund and grants from the higher level of government.... .. middle of document ...... entered into STATA 11 and a dataset was created.2.4. List of main variablesFor the dependent variable of the study, the utilization rate (%) of hospital beds was chosen. As independent variables NRCMS, URBMI, UEBMI, GDP growth rate (%), total health expenditure (%) of GDP, public health expenditure.2.5. Data AnalysisThe main data is analyzed with STATA 11. The descriptive analysis of the dependent variable Hospital Bed Utilization Rate (%) shows that it has a mean of 70.22 with a standard deviation of 10.01 , the number of observations (years) is 24. Time series line plots are used to observe and interpret trends in health service utilization over a specified period of time (unit of time = one year ). Line plots are also used to observe trends in changes in independent variables over the same time period that changes in the dependent variable were observed..