Six public policy objectives relating to general practitioner (GP) fun
ding since 1938 have been identified. They concern national health ins
urance, rural GP shortages, care for the poor, health promotion, cost
effectiveness and community control. Each of these objectives is exami
ned in turn, focusing on the extent to which each has been met. In all
cases past policies have been, at best, only partially successful in
meeting their objectives and have required little in the way of disman
tling prior to the introduction of new GP funding initiatives subseque
nt to 1993. Theoretical principles relating to the development of effi
cient and coherent public policy are discussed. New Zealand policy rel
ating to funding of GP services has rarely conformed to such principle
s. There is an emerging consensus between social democrats and liberta
rians that targeted programmes for the poor is the equitable and effic
ient way to proceed. A key policy decision concerns the balance betwee
n planned primary care services for low income groups and more traditi
onal market style arrangements for others.