Tailored-for-industry programs like South Carolina's Special Schools and Minnesota's New Jobs raise questions concerning the effectiveness of such programs in creating jobs and their influence on future local and national education policy. Almost every state has a subsidized for-industry program which trains workers for new or expanding industries at little or no cost to the industries; some benefit industry primarily by screening potential employees for labor union background, behavioral and other characteristics. The content and direction of the programs reflect the specific needs of the industry rather than those of the students. Through the programs, states may use funds from federal agencies and programs to compete against one another for industrial development and jobs, often resulting in job shifting rather than job creation. In many cases, industry's use of subsidized training appears to be related more to receiving subsidies than to training workers. No significant evidence demonstrates that the subsidized aspect of these programs plays a critical role in expanding or maintaining jobs in a state. The fact that education departments provide programs in which industry determines the content, location, and criteria for choosing trainees has definite implications for the future of state-supported education. If such programs become a model for future vocational education policy, the content and availability of vocational education could become seriously limited. (CM)