Information concerning characteristics of California and its educational system are presented, with attention to population trends, the proportion of ethnic residents, the age distribution, median family income, the economy, school enrollments and completion rates, and college attendance and graduation. Notable findings/conclusions include: 15% of Californians were born in another country; many of California's children are born into poverty, into homes where no English is spoken, or without two caring parents; a majority of Californians will be Black, Asian-American, Native American, and Hispanic shortly after the year 2000; public school quality, as measured by achievement test scores, has dropped during more than a decade, as have most measures of school funding; the quality of California higher education is affected by the quality of the public schools; the three levels of California higher education (community college, state university, University of California) are not currently functioning to increase the participation of minority groups in higher education, particularly in terms of the transfer function from one level to the next; the state needs to pay more attention to the entire educational system and how each level affects the others; particularly important are preschool and junior high, as well as the transfer function in higher education. (SW)