This monograph summarizes the literature base that informs current understanding of the best approaches to support students with disabilities in inclusive settings. In part 1, a context is established by considering the movement toward inclusive schooling practices within the larger arena of school reform. This is followed by a synthesis of information about instructional practices that support diverse students. Finally, part 3 summarizes available research about inclusion. This includes research that informs implementation efforts, as well as studies which examine outcomes. Among the findings: (1) students with disabilities demonstrate high levels of social interaction in settings with their typical peers, but placement alone does not guarantee positive social outcomes; (2) interactive, small group contexts facilitate skill acquisition and social acceptance; (3) friendships do develop between students with disabilities and typical peers; (4) teachers play a critical role in facilitating friendships; (5) the performance of typically developing students is not compromised by the presence of students with disabilities; (6) parent support for inclusion is positively affected by actual experience; and (7) although many teachers are initially reluctant about inclusion, they become confident in their abilities with support and experience. Appendices include relevant federal appellate court decisions and research study tables. (Contains over 450 references.) (CR)