In the many national studies and reports on improving the quality of formal education in the United States that have been published recently, the importance of quality teaching is emphasized repeatedly. Questions concerning the realization of this goal focus on recruitment, preparation, retention, and reward strategies. However, there is little mention of the importance of preparation in economics, which should be a fundamental component of teacher training. It is critically important that the Joint Council on Economic Education issue a new policy statement defining the role of economics in teacher preparation. Such a policy should state the following: (1) prospective teachers need to complete required formal study in basic economics; (2) economic concepts and knowledge should be made an integral part of general methods courses for elementary school teachers; and (3) a formal course in economics should be required for all secondary level social studies, business, and home economics teachers. In addition, states requiring competency examinations for prospective teachers should include an adequate number of general economic items as well as more complicated questions for social studies, business, and home economics teachers. (LP)