A 2-year study examined the use of the General Educational Development (GED) credential and its use in Wisconsin. Reading scores were located for GED holders applying to the University of Wisconsin-Milwaukee and the Milwaukee Area Technical College (MATC) and for persons on general assistance (welfare) in Milwaukee County. In all cases, there were GED holders with high school and above reading levels as well as substantial numbers who could not read at a high school level. A review of the performance of all GED holders who entered the 13 universities of the University of Wisconsin system found that GED holders had serious retention problems and few graduated. The performance and graduation rate of GED holders at MATC were similar to those of high school dropouts. Admissions officers at postsecondary institutions were usually satisfied with the preparation of GED holders who met other requirements. A survey of Wisconsin employers indicates that the GED credential is well received and considered by most to be equivalent to a high school diploma. Six changes in GED policy were recommended, including raising the minimum age for testing to 18.5 years, requiring GED applicants to demonstrate 10th-grade reading and mathematics skills, and developing a "second chance" diploma for high school noncompleters. (YLB)