Studying health care provider's production function can be very useful in determining reimbursement rate, and imporve the efficiency of the provider. This study focuses on investigating the production function of Chinese medicine medicine physicians (CMPs), which we know very little so far. Such information is especially crucial when National Health Insurance will cover Chinese medicine services. Based on a national sample survey of 208 CMPs, this study examines several input factors that affect the outputs of CMPs. The input factors are time input of CMP, time input of non-CMP, capital input, and organiztional structure. Health insurance contract is included as a control variable. The number of patient visits per week is the main output measurement. Results of this study indicate that there are sveral factors that can best predict CMP's output. They are, the time input of CMP, the capital input, the time input of Chinese medicine pharmacist, the size of the organization, the proportion of patients who have health insurance, whether the CMP has health insurance contract, and the ratio of population to modern Western medicine physician in the local area. This study also estimates several input-output elasticity. Using the number of patient visit as the output measure, the estimated input elasticity is 0.5 for CMP's time input, 0.24 for capitalinput, 0.3 for the size of organization, and 0.13 for Chinese medicine pharmacist. The effect of health insurance contract on the productivities of CMPs is dependent on whether such contract will increase the proportion of patients who have health insurance. This study suggests that only when there is more than 46% of a CMP's patients are insrued, will health insurance contract affect a higher output of CMP. Finally, this study estimates that the average patient visits per CMP are 195 per week in 1992. Based the estimated production funcrion, the forecasted patient visits per week per CMP for the years of 1996 and 2000 are 332 and 350, respectively.