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eople with low income may not be able to afford medical expenses. They cannot improve their health by pharmaceutical manufacturing innovation. Thus, in this paper, we consider the moderating role of income level between pharmaceutical manufacturing innovation and perceived health. Health is major factor of human resources and statistically affects economic growth [31]. Therefore, the ability to promote good health and minimize the negative effects of catastrophic medical expenditure is a productive investment in the nation. Since severe disease continues to grow alongside the ever-increasing lifespan of humans, healthcare spending will increase and income disparity and instability of labor market employment will become more serious in the future. Accordingly, this research examined the direct burden of household medical expenses on income in order to estimate problems related to high medical expenditure incurred by households. We stratified the levels of burden according to multiples of average annual medical expenses for high medical expenditure groups. We designed a quasi-experimental study to observe difference between households that otherwise have similar features.