Driven by fiscal pressures in the 1990s, Canada's provincial Medicare syste
ms cut inpatient care, expanded community services, and consolidated hospit
als under regional authorities in nine often provinces. Public confidence h
as been badly shaken by the transition. No province has successfully integr
ated services across the continuum of care. Home care and prescription drug
coverage vary from province to province. Efforts to reform physician payme
nt have stalled, and capacity to measure and manage the quality of care is
generally underdeveloped. Thus, for the next few years, policymakers must s
tabilize the acute care sector, while cautiously pursuing an agenda of piec
e-meal reforms.