A questionnaire survey of 1,812 elementary and secondary teachers sought to determine the effects of principals' leadership behavior on teachers' job satisfaction, satisfaction with supervision, and participation in decision-making. Two dimensions of leadership behavior were studied: consideration, or supportive and expressive behavior; and initiation of the work structure, such as setting schedules or performance standards. The data were gathered using the Leader Behavior Description Questionnaire, scaled items on satisfaction with the job and with the principal and on participation in decisions, and questions asking demographic information. Analysis by means of t-tests and correlations indicated that consideration was more closely related to teacher satisfaction and participation than was initiating structure. The results also showed that leadership styles high on both consideration and initiating structure had the most positive work outcomes. Among the implications of the research is that preservice and inservice training for school administrators should help them acquire consideration skills. (Author/RW)