Ranking 49th in total employment growth between 1978 and 1986, Iowa actually lost 0.48% of its workforce each year. Income fell 2.2% annually between 1978-86 (10% per annum in the farm industry) and unemployment rates doubled since the mid-1970s. This 1988 study describes the school-to-work transition of a sample of high school graduates, class of 1983, whose aspirations and expectations for employment were formed during this period of severe economic dislocation. Eleven of 98 rural school districts with less than 300 enrolled were randomly selected and a systematic strategy of precontacts and follow-ups contributed to a response rate of 83% and a sample size of 174 graduates. The survey instrument was based on the "High School and Beyond" study. Approximately 60% of the sample went directly from high school into post-secondary education. Another 15% entered postsecondary institutions sometime in the year following graduation. Nearly 80% had pursued additional schooling within five years, with 64% of the females going on to higher education, compared to 50% of the males. Thirty percent of the sample directly entered the labor force, with over 50% going into blue collar jobs. Comparison of the students' aspirations and expectations indicates that respondents generally expected to be able to do what they wanted to do following high school graduation. The quality of employment and career paths are also assessed. The chief impression is one of change; young Iowans are geographically mobile, changing educational programs and institutions frequently, but not so frequently as they change jobs. The two appendices explain research methods and occupational categorization. This paper contains 16 references. (ALL)