The recent shift away from traditional liberal education to vocational training is examined, along with the effects this trend may have on the United States. After a preliminary review in Chapter 1, "American Higher Education: Recent History and Present Condition," Chapter 2, "How Well-Educated Are the American People?" examines past trends in educational attainment, future trends in educational attainment, educational content, findings from studies of competence, knowledge, and values, and a periodic survey of educational attainments. Chapter 3, "Progress of the Nation," discusses the population, the economy, social conditions, communications, and quality of life. In Chapter 4, "Problems Facing the Nation," economic, social, political and educational problems, the informed and responsible citizen, and the plight of the youth are discussed. Chapter 5, "Education in Democracy," discussed equilibrium, economic problems, political problems, values, and the role of education. Sources of influence, liberal learning, and higher education's role in social change are examined in Chapter 6, "Higher Education and Social Change." Chapter 7, "Toward a Nation of Educated People," discusses the baccalaureate degree, the course of study, characteristics of a well-educated person, educability, and what a nation of well-educated people would be like. Chapter 8, "Agenda for Higher Education," discusses the notion of a nation of educated people, education for values, American youth, international reconciliation, and offers concluding remarks. It is concluded the responsibilities of highest priority for higher education are: (1) to strengthen and extend higher education so that America might become a nation of educated people; (2) to elevate the values of the American people; (3) to redeem the lives of the millions of disadvantaged youth in America; and (4) to lay the groundwork for international reconciliation. Appendices include: indicators of economic and social progress in the United States, 1950-1980, and data on the educational attainments of the American people. (LC)