In 84 patients and 30 normal volunteers, small intestinal mucosal specimens were obtained through peroral biopsy with Watson capsule. The thickness of mucosa, height (H) and width (W) of villi, depth of crypt (C), inter-epithelial lymphocyte count (L), mitotic rate of crypt cells (N), etc. of each specimen were measured under microscope. The results showed a significant increase in L, C, and N, and decrease in H/C ratio in specimens obtained from patients with chronic diarrhea. A significant increase in L existed in specimens from patients with steatorrhea. A significant increase in W and decrease in H and H/C ratio were observed in specimens from patients with systemic scleroderma. However, in specimens from ulcerative colitis patients, no significant change was observed. Unexpectedly, only one case of nontropical sprue was encountered in this group. The authors consider that the Watson capsule is simple, efficient and easy to manipulate, but its chief shortcoming is only one specimen could be obtained each time.