Abstract:The sticking points of economic distress in state medical service is overdependence on health institutions and overestimation on the value of medical facility. The government and the public always focus on medical facilities which only make 10%~15% impacts on human health, it is inevitable that the health service is grossly under funded. Inner health resources such as the function of human self regulation and recovery are awfully neglected. Attention to the inner health resources is the academic characteristics of traditional Chinese medicine. To develop traditional Chinese medicine and modern medicine on an equal basis is the only way to reduce the financial burden on health service and finish the reform of medical and health care system.