In response to data indicating that states having fewer post-secondary enrollees in two-year colleges had higher baccalaureate attainment, a study was undertaken to examine the possibility that a major state commitment to community colleges in response to demands for access means lower baccalaureate completion rates. The study compared Florida and California, states with the heaviest reliance on community colleges in highly selective and stratified systems of higher education, with Indiana, Wisconsin, and Illinois, states with more accessible four-year institutions and varying reliance on community colleges. Baccalaureate completion rates were determined by dividing the number of four-year college graduates by the total higher education enrollment. The study report examines the demographic characteristics of high school graduates from 1980-82 who attended post-secondary institutions, and the relationship between student characteristics and choice of post-secondary institutions. Next, detailed descriptions are provided of the systems of higher education in Florida, California, Illinois, Indiana, and Wisconsin. The report then examines college attendance patterns and baccalaureate completion rates in each of these states between 1975 and 1988. The final sections of the report provide study findings, examine the impact of state funding structure on completion rates, and present policy recommendations. Principal findings indicate that states with a greater commitment to community colleges have lower levels of baccalaureate completion, and that neither higher state expenditures per student nor lower tuition increases completion rates. Data tables and an 81-item bibliography are included. (PAA)