The recommendations were made in 84 GAO reports issued from January 1974 through December 1978 and focused on both Federal and Federal/State health programs. The reports contained 262 cost-saving recommendations to the Congress and Federal agencies. Agency statements on actions taken or planned and other agency or congressional documents were reviewed to determine what action had been taken to implement these recommendations. Discussions with agency officials were also held. Results showed that 98 recommendations have been fully implemented at a savings of millions of dollars. Examples include the closing of the New Orleans Naval Hospital and the reduction of beds planned for Indian Health Service facilities in the Navajo area. Nevertheless, 164 recommendations have been carried out only in part or not at all. Additional savings of millions of dollars can be realized if these recommendations are implemented. Examples include making more nursing home beds available to Medicare and Medicaid patients who currently use high-priced hospital disabled. Footnotes are included. Sixteen appendixes list the recommendations which have been partially implemented or not implemented, the recommendations grouped according to the agency to which they were made, and the recommendations made to Congress. (Author abstract modified)