An examination of the educational principles and aims that should guide the future development of multicultural education in Australia is presented in six chapters. The intention is to set up a national policy framework of broad principles that can be applied throughout the spectrum of education, within strategies appropriate for local needs. Following the introduction, chapter 2 presents a historical overview of developments in multicultural education in Australia with specific attention to the role of the Commonwealth in influencing the growth and direction of multicultural education at the formal school level. This examination of the changing perspectives in multicultural education provides the basis for the more systematic analysis of the nature and scope of multicultural education as well as its domain and rationale presented in chapter 3. Chapter 4 examines the constituent elements of multicultural education, specifically, the issues of equity, understanding, and identity. The concept of "equitable multiculturalism" is explored. Chapter 5 concentrates on issues of the practice of multicultural education in terms of curriculum and school organization. Chapter 6 reviews prospects for the future in the light of the past achievements of multicultural education in Australia and identifies some emerging areas of concern. The three appendices contain a list of abbreviations, 47 references; information, including terms of reference, about the NACCME (National Advisory and Co-Ordinating Committee of Multicultural Education); a list of 12 commissioned background papers, and an executive summary of a review of existing facilities for information exchange in multiculutral education. (MLF)