Fifteen years ago, Burstein (1980) argued that the key to methodologic
al progress in studies of classroom and school effects depended on the
development of appropriate models and methods for the analysis of mul
tilevel data. Considerable progress has been made in the intervening y
ears such that anyone familiar with the growing school effectiveness r
esearch literature will have encountered the methodological imperative
: 'Pay attention to the multilevel organisational structure in which s
chooling occurs' (i.e., students within classes within schools). Resul
ts are now available from a number of studies that have employed multi
level modelling to investigate school and teacher effectiveness. In th
e main, these results suggest that variation between classes is far mo
re significant than variation between schools, although in detail the
evidence often appears to be contradictory and open to a variety of in
terpretations. This article considers why different studies generate d
ifferent findings, identifies some key issues in the design of studies
for investigating the relative importance of class and school effects
and relates this to the presentation and discussion of findings from
an Australian study of school and teacher effectiveness.