As the interconnected nature of determinants of health becomes increasingly apparent, so does the need for intersectoral policy development. A significant challenge in this regard is the need to reallocate resources between sectors within the public sector in order to apply a determinants-of-health approach to resource allocation. This chapter examines the case of the Canadian province of Prince Edward Island (PEI), one of the first governments to design an explicit mechanism to facilitate cross-sectoral reallocation. It begins with a description of policy development and implementation, and the attempt to establish a process for evaluating health reform. It then discusses the results of four related studies of cross-sectoral reallocation in PEI. Finally, it considers the modest effects of this policy and the lessons learned from the PEI experience.
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