The 1980's found the U.S. economy vulnerable in the global marketplace. Many observers have argued that workforce education and skill levels are too low. Rural workers have especially low levels of education and the 1980's were especially unkind to these workers. This study examines the education crisis, the relationship between the education shortfall and rural economic stagnation, the importance of local workforce education levels for local area growth, and the options for upgrading the skills of the rural workforce. The central conclusion is that education's potential as a local area rural development strategy is probably quite limited, but that the need to raise education and training levels for rural youth, wherever they will work, is critical.