In this study, the author examines the effects of various decisions on the cost of education in school districts that have many remedial students. As the focal point of the investigation, a junior high school population (grades 7-9) was selected. The junior high years represent a critical period in the education of remedial students -- those with low IQs, those who have failed several grades, or those who are unable to perform high school work. Most States permit students of 14-16 years to drop out of school. This age group corresponds to the junior high school level. Having dropped out, people with poor junior high school educations have great difficulty finding work, and many of these dropouts turn to unemployment, welfare, or crime. The author uses a model to show that by reducing the number of dropouts and by providing better education, the community burden of supporting these people may be decreased. (Author)