“…The existing literature has conducted in-depth research on the interactions among health shock, medical insurance, and family education decision-making. With respect to the existing literature, this paper makes two contributions: First, the existing literature [ 8 , 9 , 10 , 11 , 12 , 13 , 14 , 15 , 16 , 17 , 18 ] has used the enrollment rate as a measure of family education decision-making, but given that China’s primary and junior high school enrollment rate is close to 100% (according to the statistical monitoring report of China’s children development program (2011–2020) issued by the National Bureau of Statistics in 2019, the net enrollment rate of primary school-age children was 99.95%, the gross enrollment rate in junior middle school was 100.9%, and the population coverage rate in 9-year compulsory education reached 100%), this variable will no longer be applicable in China. With a theoretical model and empirical model, this paper uses education expenditure as a measure of family education decision to improve research in this field.…”