Compilers for higher-order programming languages like Scheme, ML, and Lisp can be broadly characterized as either "direct compilers" or "continuation-passing style (CPS) compilers", depending on their main intermediate representation. Our central result is a precise correspondence between the two compilation strategies. Starting from the theoretical foundations of direct and CPS compilers, we develop relationships between the main components of each compilation strategy: generation of the intermediate representation, simplification of the intermediate representation, code generation, and data flow analysis. For each component, our results pinpoint the superior compilation strategy, the reason for which it dominates the other strategy, and w...