This summary of the 1973-74 Michigan Cost-Effectiveness Study describes the results of an exploratory inquiry into compensatory education reading programs in forty-eight Michigan schools. The study is said to have as its purpose the development and implementation of evaluation techniques to determine what educational practices bring about changes in students' behavior and what costs are associated with these. On site visits to each of the schools provided measures of program characteristics, including cost data. Analysis of the data included a comparison of program characteristics with 1972-73 and 1973-74 student reading achievement. "Controllable" program characteristics, said to describe the difference between effective and non-effective compensatory reading programs, are indicated. These are a set of controllable factors related to student reading achievement and pertaining to school administrators and teachers, and those denoting that, when other things were equal and up to a point, more dollars per student means more achievement per student. Continuation of the program for 1974-75 is suggested with the following foci: identification of new variables that relate to achievement; extension of relationships between cost and achievement; and, investigation of the direction of the relationship between achievement and the various identified variables. (Author/AM)