The emphasis in this study is on the development of a diagnostic measurement model for instruction. The content used was junior high science, but the content and subjects were used primarily as a means to an end. The model represents an attempt to incorporate Gagne's learning taxonomy into Tyler's model of the educational act. Focus is on the hypothesis that if a learner can demonstrate the ability to identify new examples of concepts within a verbal statement, all that is required for the learner to gain an understanding of a statement or rule is that he put the concepts together in proper order. Project activities included: (1) structuring a unit of beginning junior high school chemistry beginning with the most basic statement possible and proceeding by adding new statements in such a way that no more than one new concept was added with each statement, (2) constructing a concept test for each of the key concepts within the statement, and (3) constructing a criterion test in which the correct answers involved the positive transfer of the rule or statement. Conclusions include: (1) In nearly every case on the pre-test, the number of students demonstrating the ability to transfer the statement increased with the number of concepts attained within the statement; (2) Teaching the specific concepts missed on the pre-test resulted in a significant percentage of the learners being able to transfer the rules and statements which contain the concepts on the post-test; and (3) The data provides for the kind of systematized instruction represented by the model. Two tests are provided (see TM 001 113 - 114). (Author/CK)