Despite considerable progress in narrowing the health gap between whites and nonwhites (including blacks, American Indians, Asian Americans) in the last 20 years, substantial differences persist. According to most indicators, nonwhites are less healthy than whites. Yet nonwhites see physicians somewhat less often and are less likely to have sources of regular care. They are hospitalized less often than whites but for longer periods. They continue to receive far less in benefits per person from the financing programs that constitute about 80 percent of the health budget of the Department of Health, Education, and Welfare. With few exceptions, other federal health programs are small in scope or have yet to produce a significant effect on the quantity or quality of health care received by nonwhites. In this paper white/nonwhite health differentials and possible remedies are discussed in detail. The basic problem of disparities in health status is examined. The magnitude and effectiveness of federal programs addressing racial differentials in health care are reviewed. Possible short and long term approaches to the problem are assessed. Statistical data serve as a basis for the discussion and conclusions. (Author/GC)