The statements presented herein regarding the relative increase of failures for at least the first three years in school are likely to arouse some surprise among that portion of the people in the profession, with whom the converse of this situation has been quite generally accepted as true. Such an impression has indeed not seemed unwarranted according to some reports, but the responsibility for it must be due in part to the manner of presenting the data, so that at times it actually serves to misstate or to conceal certain important features of the situation. Since the dropping out is heaviest in the early semesters, and since the school undertakes the expense of providing for all who enter, it does not seem to be a correct presentation of the facts to compute the percentage of failure on only the pupils who finish the whole semester. Such a practice tends to assign an undue percentage of failures to the earlier semesters, one that is considerably too high in comparison with that of the later semesters where the dropping out becomes relatively light. It is not sufficient to report merely what part of our final product is imperfect, instead of reporting, as do most institutions outside of the educational field, what part of all that is taken in becomes waste product. This situation is sufficiently grievous to demand further comment. In his study of the New Jersey high schools, Bliss states [28] that one of the striking facts found is the "steady decrease of failure from the freshman to the senior year." If we bear in mind that Bliss used only the promotion sheets for his data, and took no account of the drop-outs preceding promotion, and if we then estimate that an average of 10 per cent may drop out before the end of the first semester (the percentage is 13.2 for our eight schools), then the percentages of failure recorded for the first year will be reduced by one-eleventh of their own respective amounts for each school reported by Bliss, as we translate the percentages to the total enrollment basis. As a consequence of such a procedure, Bliss' percentages, as reported for the second year, will be as high as or higher than those for the first year in six of the ten schools concerned, and nearly equal in two more of the schools. It is also evident that his percentages of failure as reported for the junior and senior years are not very different from each other in six of the ten schools, although there is no inclusion of the drop-outs in the percentages stated. The only pronounced or actual decrease in the percentages of failures as Bliss reports them, occurs between the sophomore and junior years, and it is doubtless a significant fact that this decided drop appears at the time and place where the opportunity for elective subjects is first offered in many schools. Yet apparently it has not seemed worth while to most persons who report the facts of failure to compute separately from the other