From equalisation to rationalisation: public health care provision in New South Wales

This article examines the changing nature of the resource allocation formula for health care provision in New South Wales. It looks at the technical changes to the formula reviewing its problems and limitations and subsequent modifications. The impact of the formula on actual resource provision is established and this provision is placed in the context of health policy and public expenditure debates in Australia. Finally, the formula and its use as a rationalisation device are examined in relation to economic crisis and state practice with the suggestion being made that certain features of the Australian state may lead to a review of aspects of the theory of the state.