As one of four sites in the NIMH Treatment Strategies in Schizophrenia Cooperative Agreement Program, the purpose of this study is to investigate the efficacy of three drug maintenance strategies and their relationship to two psychosocial management strategies in the treatment of schizophrenic patients over two years beginning just after an acute episode. The study examines the effects of three antipsychotic drug treatments: continuous low dose (20% of standard dose); discrete targeted early intervention with placebo maintenance; and continuous standard dose. Each will be studied in combination with either supportive family management consisting of one educational workshop and monthly multiple-family meetings, or applied family management which supplements the supportive program with one year of in-home psychoeducational family treatment. Subjcts will be schizophrenic outpatients either living with or in regular contact with their family of origin, although patients will be identified for study during a period of symptom exacerbation associated with a hospitalization.