This report evaluates two arguments for the use of computers as an important tool in learning: (1) there is a need to develop the kinds of skills and knowledge that will allow youth to find good jobs in a changing, information-based national and international setting; and (2) computers are capable of improving the overall level of student achievement. Chapter 1 compares claims about computer education to actual outcomes, and examines the distribution of computers among nations, as well as the cost effectiveness of computers. Real-world applications of computers are reviewed in chapter 2 along with the issues surrounding computer use in education. Experts on computer education also provide insights on the use of computers in many countries of the world. Chapter 3 focuses on the effect of computer education on employment and skills, while chapter 4 assesses the effects of computers on learning and reviews the literature that measures the impacts on learning of different applications of computers in schools. Finally, the cost effectiveness of computer education is analyzed both in different configurations and when compared with alternative technologies. Initial conclusions based on the assessments made in this book include that: (1) there is little evidence that computers used for general education help individuals get better jobs; (2) there is little evidence that computers in schools help nations become more competitive; and (3) computers are more cost-effective than some technologies, and less so than others. An extensive bibliography is provided. (DB)