To gain a better understanding of how performance indicators can contribute to state policy and improve higher education accountability, this project traced the experiences of 10 states that have instituted various types of accountability programs based on performance indicators. Case studies and accompanying analytical essays describe and evaluate current policy and practice across the 10 states. The states include Colorado, Florida, Illinois, Kentucky, New York, South Carolina, Tennessee, Texas, Virginia, and Wisconsin. The first essay, "Pointing the Way: Indicators as Policy Tools in Higher Education" (Peter T. Ewell and Dennis P. Jones), defines performance indicators, explains the reasons why states are interested in them, and offers insights into the rationale behind them."Effectiveness in Undergraduate Education: An Analysis of State Quality Indicators" (Richard C. Richardson, Jr.) employs two classification models of performance indicator development: an