THE COMMISSION EXAMINED DATA BANKS, AUTOMATIC DATA PROCESSING PROGRAMS, AND THE INFORMATION SYSTEMS OF GOVERNMENTAL, REGIONAL, AND PRIVATE ORGANIZATIONS IN ORDER TO DOCUMENT EXISTING PRIVACY PROCEDURES AND EVALUATE THE EFFECTIVENESS OF THE PRIVACY ACT OF 1974. THE FINDINGS AND RECOMMENDATIONS OF THE COMMISSION ARE PRESENTED REGARDING CONSUMER-CREDIT, DEPOSITORY RELATIONSHIPS, MAILING LISTS, INSURANCE AND EMPLOYMENT RELATIONSHIPS, AND RECORDKEEPING IN MEDICAL CARE AGENCIES. THE ROLE OF INVESTIGATIVE SERVICES ALSO IS DISCUSSED. A DISCUSSION OF THE STATES' ROLE IN REGULATING PRIVACY FOLLOWS AN EXAMINATION OF PUBLIC RECORDKEEPING ENCOUNTERED IN SCHOOLS, PUBLIC ASSISTANCE AGENCIES, AND SOCIAL SERVICES INSTITUTIONS. FEDERAL RECORDKEEPING PRACTICES ARE EXAMINED. THE EFFECTS OF THE PRIVACY ACT ARE ASSESSED WITH THE EXTENSIONS AND REQUIREMENTS OF THE PRIVACY ACT OUTSIDE FEDERAL AGENCIES. THE RELATIONSHIP BETWEEN TAXPAYERS AND THE GOVERNMENT IS DISCUSSED IN TERMS OF PRIVACY GUARANTEES. THE PRIVACY OF PERSONS PARTICIPATING IN RESEARCH SURVEYS AND STATISTICAL STUDIES IS ANALYZED. FINALLY THE IMPLICATIONS OF THE USE OF GENERAL IDENTIFIERS SUCH AS THE SOCIAL SECURITY NUMBER ARE NOTED. AND IT IS SUGGESTED THAT THE USE OF THESE TYPES OF IDENTIFIERS BE STRICTLY LIMITED. IT IS CONCLUDED THAT AN EFFECTIVE PRIVACY PROTECTION POLICY MUST HAVE THREE CONCURRENT OBJECTIVES: (1) TO MINIMIZE INTRUSIVENESS BY CREATING A PROPER BALANCE BETWEEN WHAT AN INDIVIDUAL IS EXPECTED TO DIVULGE AND WHAT THE PERSON SEEKS IN RETURN; (2) TO MAXIMIZE FAIRNESS BY OPENING UP RECORDKEEPING OPERATIONS IN ORDER TO LIMIT UNFAIR DECISIONS; AND (3) TO CREATE AND DEFINE OBLIGATIONS WITH RESPECT TO THE DISCLOSURE AND USE OF RECORDED INFORMATION ABOUT AN INDIVIDUAL. AN INDEX AND A LIST OF WITNESSES ARE APPENDED. (DAG)