Since ethnic studies in schools is an integral part of the larger social system in this country, its current status, problems and strengths must be examined within the total social context. Ruling groups determine the formulation and dissemination of knowledge (particularly negative social science research about ethnic groups and the poor). This knowledge is designed to support the status quo, and to legitimize the position of those in power. Ethnic studies programs must be replanned and novel teaching strategies formulated in order for students to effectively challenge and invalidate the assumptions about ethnic groups on which white-dominated social science research is often based. A primary goal of ethnic studies must be to help minority students to psychologically liberate themselves from myths and stereotypes and to help them to develop a commitment to social change. Unfortunately, reform of current programs is needed, as dissension among different ethnic groups, lack of funds, and inadequately qualified instructors have caused them to be self defeating. Despite the difficulties that minority leaders encounter, they should demand this reform and take steps to see that ethnic studies programs survive and gain integrity. (Author/KR)