The state-by-state comparisons of results on the 1998 National Assessment of Educational Progress (NAEP) present the literacy community with some good news and a bit of a puzzle: scores have improved, but the results cannot provide answers as to why one grade or state is doing better or worse than in the past. State-by-state results show that Colorado, Connecticut, Kentucky, Maryland, South Carolina, Virginia, and Washington were among the states that made statistically significant gains from 1994 to 1998. Many experts questioned suggestions that states with strong standards movements improved, noting that standards have not been in place long enough. Comparisons across states are also dangerous in that data cannot be used to suggest specific reading instruction strategies unless the populations from state to state are homogeneous and similar in terms of numerous socioeconomic factors. Poverty has more to do with test scores than anything else. Urban high poverty states tend to do less well. Montana, which scored right behind Connecticut, has excellent public schools but also a stable student population that speaks English and comes from families tuned into the majority system of education. Although results of the NAEP are heartening, Americans have much to do in their quest to be a nation of educated people. Contains a chart listing average scale score, grade 4, from the 1998 NAEP; and a comparison of state versus national average reading scores for public schools. (RS)