Managed care in its various forms has become a dominating force in US healt
hcare. For people who have long term serious mental illnesses, this trend h
as had undesirable consequences. In the US, states that have adopted manage
d-care systems such as New Mexico, Tennessee and Texas have been harder hit
than states that have not chosen managed care. Funds available for service
s have been reduced, hospital bed days have been shortened, formularies hav
e been limited and number of treatment sessions reduced. A basic problem is
that for-profit managed care is more interested in profits than in quality
of services.