In the past, handicapped and nonhandicapped children traditionally have been segregated in many settings. Recent legislation, however, indicates that there will be greater integration of handicapped children, particularly in public school settings. The resulting social adjustment of handicapped and nonhandicapped children to each other is a major concern. The purpose of this investigation is to study (1) the effects of physical disability on social interaction, and (2) the effectiveness of two strategies to promote positive attitudes and positive interpersonal interaction among handicapped children and their peers. Experimenters observe and code the behaviors of handicapped and nonhandicapped children ages 5-10. Observations are made in school classrooms and in small group free play situations before and after curriculum intervention. The children's behaviors are coded with respect to the amount and quality of several aspects of interaction.