Problems facing health professions schools and academic health centers that can damage health were identified by the Southern Regional Education Board, along with recommendations for action within the states. Nine problems for these schools and centers concern: declining applications and enrollments for dental schools and many schools of pharmacy, nursing, and allied health programs; declining enrollment of minority and disadvantaged students as a result of rising tuitions and loan reductions; certain professions are pressing for higher academic levels of education; young practitioners continue to choose the more lucrative specialties in medicine; teaching hospitals are losing both paying patients and staffs to more competitive community hospitals; teaching hospitals are expected to provide more indigent care; teaching hospitals may lose a portion of their teaching cost revenues from Medicare and from patients whose hospital bills are paid by business/industry; health professions curricula are oriented to younger patients rather than the elderly; and curricula emphasize illness rather than prevention. To respond to these problems, 23 recommendations are offered to state officials, boards of higher education, licensure boards, health planners and program managers, and leaders in academic health centers and professional schools. (SW)