This report reviews more than 30 studies that have attempted to measure the importance of size economies in the provision of education, with emphasis on the theoretical, methodological, and empirical basis of each. Size economies refer to a system of obtaining optimum use from funds available. The purposes of the report are (1) to determine the degree to which size economies in education exist; (2) to consider the potential applications of size-economies research; (3) to evaluate the theoretical basis of size-economies literature; (4) to examine the appropriateness of the data sets that have been used; and (5) to analyze the methodology applied in size-economies research. According to the paper, the consistency of the reported results suggests that increased size of elementary and secondary schools will permit some limited economies. Economies will also result when more students are administered by the same school district. The paper concludes that care should be taken in applying the results because the degree of savings also depends on other factors, such as the quality of education provided and transportation costs. (Author/LD)