A literature review suggests educational dropout issues and problems in rural America, more specifically in Appalachia, are complicated by depressed State economies, local school politics, continuing out-migration, and external land ownerships patterns. Although some dropout problems can be alleviated by curricular reform, current cultural, social, and economic factors seem to prevent children from leaving schools. Many rural communities feel that the school should serve only local and community needs. However school curriculum are designed to allow local children to leave the community in search of employment not available to them at home. This creates ambivalence and hostility in the community. Economic decline, lack of opportunity, and loss of community as well as competing expectations among educators and policy makers regarding the purpose of public instruction are all involved with the dropout problem in rural America. 77 notes