Abstract
Deinstitutionalization of the mentally ill has had an enormous impact on the mentally ill, the community, family members and taxpayers. This paper assesses the impact of deinstitutionalization on each of these groups. The approach is interdisciplinary in nature, using schools of thought found in the fields of political and economic thought in analyzing the effect of deinstitutionalization on each stakeholder group. Although assessments vary by stakeholder group, some overall observations can be made. Ironically, both libertarian and utilitarian arguments favor deinstitutionalization, although for different reasons. A deontological view, however, finds deinstitutionalization lacking.