According to the theory of aesthetic education, contemporary concepts in the field of education tend to display theatrical education as a dual process. Such process can be described by two separate forms: education through art and education to art. Another category to be distinguished apart from education through theater and education to theater is the "education in theater" (considered as a group of people involved). The author wished to recognize the practice of theatrical education. For this purpose she made her research in 54 theaters of youth which run their activity in Cracow middle and secondary schools as well as other educational and cultiral institutions. For the purpose of this paper the theater of youth shall be considered a formal form of extra classes in theater dedicated to attendants of middle and secondary scholl who are eager to follow particular artistic and educational curriculum under supervision of a trainer, either in school premises or in the institution of culture and education. The crucial element of what the theater of youth does is its educational function. What must be emphasized is influence of such classes on participants, therefore, much attention should be paid to preparations and rehearsals as a process of achieving final result in a form of performance. And this is the basic and probably most significant difference between school and professional theater, as the latter is aimed mainly at achieving the final result. Research shows that participation in theatrical classes has positive impact on social development of young people, it expands their knowledge of literature and art, helps to choose their professional way, make them more confident and aware of their advantages. It fulfills educational, social and therapeutic functions.