As a subset of distance education, online learning takes place primarily in learning management systems through asynchronous interaction, that can cause transactional distance between instructor and learners. This study investigated how transactional distance may be affected by the use of Second Life, a 3-D virtual world, as a learning environment for online learners. Given the similarities between Second Life and avatar-based video games, the influence of video game play on participant perceptions was also considered. To explore transactional distance theory in Second Life, suspension of disbelief and social presence were considered as supporting theories because of their effects on learner experience in virtual environments. Participants were preservice teachers who entered Second Life for two learning experiences and reported their perceptions through interviews. Research results noted the outcomes of closeness and isolation, object and task familiarity, and video game influence. Ultimately, transactional distance may be influenced by how close learners feel they are to other people inside a virtual world, how closely the virtual world accurately matches the physical world, and how challenging their access and use to the virtual world is. Video game experience appeared to positively influence learners' experience in Second Life, thus potentially narrowing transactional distance because those with video game experience were more likely to focus on learning tasks rather than technology tasks. [The dissertation citations contained here are published with the permission of ProQuest LLC. Further reproduction is prohibited without permission. Copies of dissertations may be obtained by Telephone (800) 1-800-521-0600. Web page: http://www.proquest.com/en-US/products/dissertations/individuals.shtml.]