An examination of the effects of the Adult Education Act (AEA) 25 years after its passage reveals the growth of the adult basic education (ABE) enterprise in the United States. The AEA provides funding to states to develop and maintain adult basic education programming. Because ABE was recognized as a means of improving the economic status of the poor and unemployed, the Adult Basic Education program was passed as part of the Economic Opportunity Act of 1964. In 1966, ABE was transferred to the U.S. Office of Education (USOE). The 1970s saw the creation of the National Advisory Council on Adult Education, limitations in federal discretionary funding, and emphasis on functional literacy. The rising concern for literacy in the 1980s became a national priority in the 1984 amendments. Discretionary funds for research and development, dissemination, and demonstration projects again became available. The 1988 reauthorization substantially increased federal funds and included grants for workplace and English-as-a-Second Language literacy. The National Literacy Act of 1991 continued the focus on literacy as a means of solving many social problems. AEA has been successful in contributing to the growth of the field and the training of professionals. Implementation of the AEA in its various incarnations shows that more public debate about the policy issues involved is needed. (SK)