ABSTRACT
Objective To explore effective excitation and restriction mechanisms for public hospital managers under market economy conditions and establish innovation mechanisms for hospital management posts. Methods On-the-spot surveys, literature reviews and discussions were conducted to collect data, which were then analyzed using such statistical methods as description and principal component analysis. Results Investigations into existing excitation and restriction methods and purposes for public hospital managers led to the discovery of some problems in the current mechanisms and suggestions were put forward for establishing on the basis of reform in the property right system new distribution mechanisms, competition mechanisms for appointing hospital managers, and innovation mechanisms for adopting human capital management with regard to hospital management posts. It was also suggested that restriction of hospital managers' powers by rules and health policies be reinforced. Conclusion It is proposed that excitation and restriction mechanisms that fit in with market economy conditions be established.