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World Bank Discussion Paper 245. Experience shows that literacy levels are much more easily raised in children than in adults. Literacy is not easily transmitted to adults, and skills of neoliterates are not stable--a problem which can lower the effectiveness rate of literacy projects to as little as 12 or 15 percent. The World Bank now rarely funds these projects, but it is seeking a new strategy for meeting the challenges presented by adult literacy. To find causes for the low effectiveness of programs, a Bank team conducted two literature reviews on literacy in general and on the cognitive correlations of age and performance. The editor presents their findings, pointing to the major obstacles to and determinants of adult literacy, and suggests effective instructional methods. The team also emphasizes the need for more research on the subject.