The Presidential Commission on Indian Reservation Economies was established by Executive Order 12401 on January 14, 1983 to identify obstacles to Indian reservation economic development and to promote the development of a healthy private sector on Indian reservations. Nine appointed Commissioners, six Indians and three non-Indians, spent more than a year working with Indian tribes, federal, state, local governments and businesses to: identify specific impediments to Indian reservation development; analyze interrelationships among problems; propose and refute among themselves different conceptual approaches to solving problems; and deliberate on appropriate recommendations to be made to the President. Part I of the report contains the 37 recommendations of the Commissioners in reference to development framework (modernization of tribal governements, coordination of government support systems); capital formation (private ownership of tribal enterprises, Indian tax status); business development; labor markets (wage rate regulation, right to work); and development incentives. Part II provides the findings upon which the recommendations were made and presents a systematic identification of the problems found. Appendices include a population profile, budget breakdown for federal Indian domestic assistance, national hearing sites and names of individuals testifying, an overview of the private sector opportunities and constraints study, and a discussion of tribal water rights issues. (ERB)