The social and economic impacts of adult and community education (ACE) in Australia were examined in an exploratory study. A provider survey that was sent to approximately 1,900 ACE providers elicited 315 responses (response rate, approximately 17%), and a student survey that was sent to 4,000 ACE students generated 400 responses (response rate, 10%). Six student focus groups were also held. The study established that, although non vocational education and training (non-VET) ACE still accounts for most ACE provision, the sector has been characterized by increasing provision of VET and an increasing role as a "transition platform" into formal VET or higher education. Although categorization of adult learning experiences into non-VET ACE versus VET ACE was convenient (or necessary) for education and training policymakers and statisticians, the distinction did not appear very relevant to actual ACE participants. ACE's community-based mode of provision was frequently said to suit the needs of women, non-English speakers, disabled individuals, older learners, indigenous people, rural residents, unemployed individuals, and early school leavers. ACE has been playing an increasing role in provision of VET to small businesspeople. (Fourteen tables/figures are included. The bibliography lists 15 references. A technical appendix on the human capital model and confidence intervals for the economic impact estimates are appended.) (MN)