Abstract:Objective:To study the relationship between public health expenditure and economic development in Hainan province, it provided references for formulationg public health expenditure policy of government.Methods: Based on the basis of the relevant data in Hainan province form 1997 to 2014, using the Co-integration test 、 Granger causality test and Error correction mode to analyze the relationship. Results: The public health expenditure and economic development has a co-integration relationship which is -0.405 504 in the short-term correction.The public health expenditure is the Granger cause of economic development. Conclusion: there is not only a long-term equilibrium ,but also a short-term relationship between the public health expenditure and economic growth in Hainan, the public health expenditure can promote economic growth while the promotion of economic. Growth to public health expenditure is not obvious. The government should expand the scale of the expenditure, adjust the expenditure structure, establish evaluation system for public health, increase the public health expenditure of rural, narrow the gap between urban and rural, promote economic development