Many branches of manufacturing industries have been highly successful in the Appalachian region; others have failed to achieve anticipated operating and employment results; and still others have suspended operations after a short time. This mixed history of accomplishment and failure has not been satisfactorily explained by traditional analyses. The solution of regional problems requires earnest and careful study and the development of programs suited to the particular conditions in each case. The important objectives of a regional development program should be (1) investment of those public facilities which are most likely to promote private investment and thereby employment in the region and (2) utilization of general and vocational education in manpower development programs. The appropriateness of recommendations will vary from one subarea of Appalachia to another since priorities within a given area are determined by its prospects for industrial development. The intention of general recommendations is to cut across industry lines and specify public activities which are generally useful in making areas attractive to public employers. (Related documents are RC 004 210 and RC 004 211.) (EJ)