A four-year follow-up study at two general hospital psychiatric units included a stratified sample of all first referrals for psychiatric evaluation in their catchment area. The authors found that long-term hospitalization as well as transfer to a mental hospital was largely avoided; both patients and relatives seemed satisfied with the services of the unit and preferred such a unit to mental hospital referral. However, patients living in the community on follow-up showed a relatively high rate of morbidity, unemployment, and social isolation.Abstract Teaser