nces, with revised objectives; and, in a great many instances, as contract providers of services authorized and funded by government. In the mid 1960s, the breadth, depth, and funding of social services entered an expansionary stage, which extended, effectively, through the mid 1970s. Medicaid, to fund health care for the poor, was one of the programs created, and Medicaid is one of the programs which is most directly affected by the DRG procedures.
In the mid 1970s, the domestic economy of the United States began to sour, along with the public mood. One of the casualties of this souring of economy and mood was funding for social service programs regardless of whether it was public or private sector funding which was involved. Those programs heavily dependent upon government funding, however, were the hardest hit. Many factors contributed to the development of the environmental changes which resulted in the reduction of funding for social service programs. The economic recession of the mid 1970s was followed by a severe but brief recession in 1980
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