In an era of tight budgets and declining enrollments, two-year colleges are increasingly viewed as feeder schools by larger, four-year colleges and universities, and are themselves exploring the costs and benefits of cooperative arrangements. Research has isolated five general types of cooperative arrangements between two- and four-year institutions. In Type 1 (Articulation and Coordination) agreements, academic programs and services are coordinated between institutions and course contents are roughly comparable, but institutions retain separate administrative processes. The second type of arrangement (on-site upper division course offerings) occurs when four-year colleges offer upper-division courses on the community college campus. This type of arrangement often represents a testing ground for closer, more permanent cooperation. In Type 3 (on-site degree programs) cooperative arrangements, two-year colleges construct buildings on their campuses expressly to house degree programs offered by four-year institutions, while type 4 arrangements (satellite campus) occur when a satellite campus of the four-year institution is established on a two-year campus. Finally, under the fifth type of cooperative arrangement (satellite university/university college) a four-year institution and one or more two-year colleges participate in a consortium agreement, necessitating uniform application and financial aid processes. In developing a cooperative arrangement, institutional research can play a crucial role by providing support for administrative decisions, data collection/assessment services, and general information. Includes an examination of the changing demographics affecting college attendance patterns, a review of the literature on cooperative arrangements, and a list of 18 partnership projects involving 50 two-and four-year institutions nationwide. (PAA)