This book describes in non-technical language how a small school can greatly expand its course offerings by forming a two-way interactive television (I-TV) network with surrounding school districts. I-TV is the linkage of 3 to 10 school districts over fiber optic, coaxial cable, or dedicated copper telephone lines which enables participating schools to share teachers and electronically combine students. The book provides insights into the process of teaching and learning in the I-TV classroom, useful checklists, and sample surveys. A cost-benefit model details how to assess the local economic impact on individual adopters, rather than relying on statistical averages. The book is divided into 11 chapters: (1) The Need for Distance Learning: An Introduction to Two-Way Interactive Television; (2) I-TV Technology Options; (3) Establishing a School-Based I-TV Network; (4) Network Organization and Administration; (5) I-TV Evaluation; (6) Technology Tools in the Virtual Classroom; (7) Teaching and Learning in the Virtual Classroom; (8) Issues in Human and Social Capital; (9) Conducting an I-TV Cost-Benefit Analysis; (10) Global Technology, Local Application: Economic and Community Development via I-TV; and (11) You Can't Get There From Here: Impediments to I-TV Adoption. A list of I-TV sites to visit and a list of I-TV resources are appended. A glossary is also included. (Contains 103 references.) (SWC)