This final report to the Federal Trade Commission on proprietary vocational and home study schools by the staff of the Bureau of Consumer Protection consists of two parts. Part I presents an analysis of all materials contained in the rule-making record, all documentary evidence, transcribed testimony, comments, and rebuttals. It describes the vocational school industry, the students it enrolls, the claims and representations it makes, and its use of commissioned sales representatives. This part also analyzes dropout rates and refund policies, student job placement difficulties, and existing regulatory patterns. Part II contains the staff's conclusions drawn from the record and its recommendations based on these conclusions, along with a section-by-section description of the proposed rule and the basis for the recommendations. Industry arguments against the proposed rule are included. This report further provides detailed references to the prevalence of acts and practices treated by the proposed rule, the Bureau's analysis of how these practices are unfair or deceptive, and a discussion of the economic effect of the rule on both small businesses and consumers. (MF)