An updated version of Taba's 1966 "Social Studies Inference Test" and "Application of Principles Test" for elementary students is studied. The original tests measured students' abilities to generalize and draw inferences from short paragraphs containing data relevant to social studies. The "Social Studies Inference Test" specifically measured students' ability to discriminate between various items given in the problem and to recognize the limits of the data and not over-generalize. The method used in the current research was to develop new stories from which over 200 students in grades 4-6 could draw generalizations and inferences. Strengths and weaknesses of the modified tests are listed and summary statistics on raw scores of each test instrument are reported. Results of the"Social Studies Inference Test" indicated that the new stories were easier for the students to understand, that the test is fairly reliable, and that the test efficiency should be upgraded. Results of the "Application of Principles Test" indicated fair efficiency, appropriate difficulty, but poor reliability and poor standard error of measurement. Copies of the modified test instruments are included. Additional testing, test development, and story development is recommended. (Author/DB)