This expansion of the Sanford Lectures, delivered at Duke University (North Carolina) on March 23 and 24, 1988, discusses the issue of whether universities are doing enough to meet the many challenges that affect the United States' ability to maintain a growing, competitive economy while providing adequate security and opportunity for all its citizens; and the issue of whether universities are doing enough to build a stronger sense of civic responsibility, ethical awareness, and concern for the interests of others. It analyzes how higher education is responding to these issues and how they can contribute even more. It points out the importance of scientific research effort to economic progress and to the position of the United States with other industrial nations. Universities can contribute indirectly but significantly to almost all the efforts required to make the economy stronger and society more humane, especially in the fields of management education, engineering, and public administration. Many forms of personal responsibility that are essential to overcoming the most pressing national problems are being eroded; students need to be helped to develop stronger ethical standards and a greater concern for the welfare of others. Universities must pursue opportunities to promote ethical standards and civic responsibility through their curricula, rules of conduct, community service programs, and other policies and practices. References accompany each chapter. (JDD)