Health on the Move: The Impact of Poverty Alleviation Relocation on Healthcare Utilization in China

ABSTRACT

Limited utilization of healthcare services remains a persistent challenge for poor populations in many countries. This study examines the impact of China's Poverty Alleviation Relocation Program (PARP) on healthcare utilization, utilizing panel data from rural households in 16 counties across eight provinces. Employing a difference‐in‐differences (DID) framework, we find that relocation leads to a 24.6% increase in clinic visits and a 36.9% increase in hospital visits per household, helping prevent minor illnesses from escalating. Despite higher utilization, relocation does not significantly raise total medical expenditure, out‐of‐pocket medical costs, or reimbursement levels, due to reduced per‐visit costs. Mechanism analysis suggests that relocation improves access to healthcare facilities and boosts household income. Our findings highlight the critical role of combining housing mobility with healthcare system improvements to promote healthcare equity, offering important insights for the design of poverty alleviation strategies in other developing country contexts where access to healthcare remains a critical constraint.