This paper documents the social changes that have taken place in the American family during the last quarter century and suggests that these changes have created the need for new directions in both public policy and developmental research. The general trend reveals progressive fragmentation and isolation of the family in its child rearing role, as evidenced by more working mothers, more single-parent families, a decline in academic performance, and a rise in the rates of child homicide, suicide, drug use, and juvenile delinquency. It appears that the critical factor in these trends is not race, but the conditions under which the family lives. Changes are occurring more rapidly among younger families with younger children: Cross-sectional differences in the well-being of families are strongly linked with economic status, but the longitudinal trends seem to be a function of increasing urbanization. It appears that the destructive effect of these changes derives from the progressive segregation by age in American society, resulting in the isolation of children from those responsible for their care. The key to correcting these problems is seen in the development of support systems for families and in research which studies development in context. (Author/JMB)