As the second report on physics disciplines, a balanced picture of recent progress in relation to other scientific fields and human civilization is presented in this first volume prepared by the Physics Survey Committee. Fourteen chapters are included with the first one dealing with the origin, objectives, and organization of the Committee. The second chapter is concerned with recommendations made for federal agencies, physics education, manpower problems, and international communications. The remaining chapters are related to the nature of physics as a science and a part of Western culture; a summary of subfields and interfaces; questions of priority, program emphases, and levels of support in research; consequences of deteriorating supports; roles of physicists and physics in U.S. society; implications of international interactions for U.S physics; evolution and career patterns of physicists in various institutions; historical origin of federal supports and their present operation; physics in education and education in physics; manpower supply and utilization; dissemination media of physics knowledge; and conclusions and findings for long-range planning. The whole report is devoted to the justification for the recommendations and conclusions arrived at. Included are a list of survey panel members and contributors and a sketch of survey topics. (CC)