This report presents the findings of a review of 45 selected references on issues associated with high risk students and dropouts. The literature was analyzed according to: (1) the manner in which high risk students and dropouts are characterized; (2) the suggested causes and conditions driving the problems of high risk and dropping out; (3) the demographic projections at the State and national level and their implications; (4) the value position reflected in the research on high risk students; and (5) current educational reform implications for high risk students. The major conclusion was that the grave problems of high risk and dropout students will become even worse as their numbers increase through demographic changes and the failure of educational policy and practices to adequately address many of the causes and conditions of the problem. The inability of policy makers and practitioners to mitigate these causes and conditions stems from the failure to incorporate data into policy decisions regarding program direction and resource allocations. Two recommendations are offered: (1) the data used for policy making should be derived from interactional research models integrating personal/sociocultural and school-related factors; and (2) interactional research models should provide for examining policies and procedures of city councils and other local legislative bodies which may have an impact on educational facilities and services. The document is physically organized into five sections, as follows: (1) executive summary (p.1); (2) review and discussion (p.2-30); (3) annotated bibliography of the 45 references (p.31-52); (4) lengthy 2-3 page abstracts of the 45 references (p.53-156); and (5) profiles of 10 effective programs (p.157-177). (KH)