Citing examples of ideological bias and blatant advertising, the report reviews instructional materials and services provided to schools by industry, major corporations, electric utilities, and national trade associations. The document is presented in two parts. Part I, Instructional Advertising, contains a survey of promotional practices in the classroom and four chapters on curriculum areas which predominate in corporate education efforts: nutrition, nuclear power advocacy as energy education, environmental education, and economics. Part II, Review and Evaluation, offers specific proposals for reform. Separate chapters discuss past efforts by educational associations to develop evaluation criteria; the government's role, including petitions before the Federal Trade Commission and the Fairness Doctrine in the classroom; and industry self-regulation and citizen initiative. Appendices contain results of surveys of educational publications of industry and comments from teachers regarding promotional materials. A bibliography of relevant books and articles is included. (KC)