Traditionally Sweden's educational system has been highly centralized; physical characteristics, administrative factors, and teacher qualifications have been generally standardized as have curriculums, though local implementation has been afforded considerable freedom. In 1971 the upper secondary school (9-12) consolidated three previously separated schools. Centered on successive choice of optional subjects, operation of the secondary school requires a minimum number of students. Recent rural depopulation has influenced educational policy, as heretofore a rural school was closed when its number of students diminished below governmental prescription, not accounting for the speed of depopulation and its local consequences. The only alternatives have been long rides or boarding in a distant town, but in 1969 precedent was set when a small school on the verge of closing requested permission to administer a nongraded system in its secondary school. Knowing the problem of the increasing number of such small schools (66 in 1971 and 90 in 1980), the National Board of Education granted permission for this school to proceed on an experimental basis, and followed by the Pang project (Process Analysis of Non-Grading, 1973), research aimed at a nongrading system and a sufficient supply of students continues. Now the policy is to retain as many small schools as possible. (JC)