Distance education has become a major form of learning and teaching around the world. Distance education is planned learning that normally occurs in a different place from teaching and as a result requires special techniques of course design, special instructional techniques, special methods of communication by electronic and other technology, as well as special organizational and administrative arrangements. This study was intended to review the theoretical basis for distance education and analyze the basic elements in the course design of distance education. Moore's theory of transactional distance suggests that there are two critical underlying variables-structures and dialog-and these are in relationship to learner autonomy. This is a pedagogical theory that explains the nature of programs and courses, and the behaviors of teachers and learners. Instructional Systems Design(ISD) is a widely accepted set of procedures and processes for the development of instructional programs. Distance education institution, program, consortium and individual course can be analyzed or descrived as a system. There are two different development approaches(i.e., author-editor versus course team); each approach has its strength and weaknesses. The major design characteristics of study guides included organization of the content into units, a relatively informal writing style, and good document layout. Getting student participation is a challenge for all forms of distance learning. Evaluation considerations include data collection techniques, measurement variables, prototyping, and use of multiple methods.