Cooperative arrangements between academic institutions and industry are examined, with attention to linkages in high technology research and development (R&D), the commercial application of R&D (technology transfer), and the preparation and continuing development of scientific and engineering personnel. Incentives and barriers to campus/corporate involvements are identified. Also examined are the historical development of R&D ties, stages of technological change and community conditions affecting this process, patterns of innovation in large and small companies, and policy issues concerning nontraditional study and faculty ties with business. Cooperation in R&D includes arrangements such as contracted research projects, cooperative research centers, and personnel exchanges, while modes of technology transfer range from seminars and publications to faculty consulting and small business development services. Ten suggestions are offered to help colleges evaluate current linkages with industry, unmet local or regional needs, and school educational and personnel policies. A conceptual model of academic/industrial cooperation shows the economic goals and development strategies that relate to each type of linkage, as well as the extent of interaction that characterizes specific cooperative arrangements. Fifteen pages of references conclude the document. (SW)