THE PURPOSE OF THIS GUIDE IS TO ASSIST VOCATIONAL AGRICULTURE TEACHERS IN STIMULATING JUNIOR AND SENIOR HIGH SCHOOL STUDENT THINKING, UNDERSTANDING, AND DECISION MAKING AS ASSOCIATED WITH PROFIT-MAXIMIZING PRINCIPLES OF FARM OPERATION FOR USE IN FARM MANAGEMENT. IT WAS DEVELOPED UNDER A U.S. OFFICE OF EDUCATION GRANT BY TEACHER-EDUCATORS, A FARM MANAGEMENT SPECIALIST, AND TEACHERS AND REFINED AFTER TRIAL USE IN 16 HIGH SCHOOLS. UNITS INCLUDE DIMINISHING RETURNS, FIXED-VARIABLE COSTS, SUBSTITUTION, OPPORTUNITY COSTS, COMBINATION OF ENTERPRISES, AND TIME RELATIONSHIPS. EACH UNIT IS ORGANIZED TO TEACH ECONOMIC PRINCIPLES BY THE INDUCTIVE PROCESS. TERM DEFINITIONS, OBJECTIVES, AND STATEMENT OF PRINCIPLE ARE GIVEN FOR THE WHOLE UNIT. EDUCATIONAL EXPERIENCES (EXAMPLES INCLUDING LEADING QUESTIONS, KEY QUESTIONS, AND CONCLUSIONS), ASSOCIATION OF EXAMPLES, FORMULATION OF THE PRINCIPLE, AND STUDENT ACTIVITIES (APPLICATION OF THE PRINCIPLE) DEVELOP THE CONTENT. TABLES, ILLUSTRATIONS, SUGGESTED TEACHER ACTIVITIES, STUDENT EXERCISES, QUIZZES, AND REFERENCES ARE GIVEN. SEVEN WEEKS ARE REQUIRED FOR COMPLETION OF THE SIX UNITS. THE GUIDE IS IN LOOSELEAF FORM IN A PLASTIC BINDER. THIS DOCUMENT IS ALSO AVAILABLE FOR $2.00 FROM OHIO VOCATIONAL AGRICULTURE, INSTRUCTIONAL MATERIALS SERVICE, THE OHIO STATE UNIVERSITY, 2120 FYFFE ROAD, COLUMBUS, OHIO 43210. (JM)