Based on five working papers developed as part of the Program of Studies in Nonformal Education at Michigan State University, this monograph suggests a conceptual framework for analysis of rural development and nonformal education and the relationship which exists between them. The four sections of this monograph are titled and subtitled as follows: (1) Conceptions of Rural Development (Functions, Development Cycle, Ecosystem Flow, and Power); (2) Education as an Instrument for Rural Development within the Rural Social System (General Nonformal Education and Internal Analysis); (3) Education as an Instrument for Rural Development--Approaches from the Outside (Systems Model, Definition of Concepts, Linkages and Transactions Model, Transactions and Development); (4) Conclusions (large-size, rapid--usually energy intensive and capital intensive approaches to development have not been successful; when social, economic, and political power are concentrated in the central cities, or in the hands of a few rural exploiters, rural development does not occur; packages of "modern" technology, even when supported by education, credit, and marketing arrangements, have been disappointing; unless the impetus comes from within the rural community, perhaps stimulated from outside, but controlled from inside, change will be minor; nonformal education is likely to prove a necessary component in any change strategy. (JC)