A literature review focused on ways for teachers to increase students' motivation. A total of 37 annotations were organized in terms of positive and negative effects of rewards on students' motivation, the issue of whether negative effects of rewards can be manipulated to have a positive effect, and suggestions for the classroom teacher on the use of rewards to maximize learning. The literature indicated that: (1) rewards play an essential role in the classroom; (2) tangible rewards decrease intrinsic motivation; (3) rewards for highly motivated children lead to decreased motivation; (4) children begin school with a high intrinsic interest in learning; (5) ways of using rewards determine whether rewards increase or decrease intrinsic interest; (6) children's prior experience with rewards produces differing reactions to rewards; (7) timing of rewards is a central issue; (8) rewards undermine intrinsic motivation and self-esteem when they are administered by a control-oriented person; (9) praise is an effective form of reinforcement; and (10) modeling is an important method of increasing students' intrinsic motivation to learn. The report suggests that teachers should observe students carefully to know when to reward and what kind of reward to use. Recommendations for educational pracatice, a glossary, and a summary of study findings are included. (RH)