In higher-order motion stimuli, the direction of object motion does not follow the direction of luminance change. Such stimuli could be generated by the wing movements of a flying butterfly and further complicated by its motion in and out of shadows. Human subjects readily perceive the direction of higher-order motion, although this stands in stark contrast to prevailing motion vision models. Flies and humans compute motion in similar ways, and because flies behaviorally track bars containing higher-order motion cues, they become an attractive model system for investigating the neurophysiology underlying higher-order motion sensitivity. We here use intracellular electrophysiology of motionvision-sensitive neurons in the hoverfly lobula plate to quantify responses to stimuli containing higher-order motion. We show that motion sensitivity can be broken down into two separate streams, directionally coding for elementary motion and figure motion, respectively, and that responses to Fourier and theta motion can be predicted from these. The sensitivity is affected both by the stimulus' time course and by the neuron's underlying receptive field. Responses to preferred-direction theta motion are sexually dimorphic and particularly robust along the visual midline.T here is broad evidence that essentially all animals with imageforming eyes compute visual motion by correlating the luminance from two neighboring photo-inputs, after delaying the signal from one of these inputs (1). The detection of such firstorder motion, or Fourier motion, therefore depends on the coherent correlation of luminance across space and time and forms the theoretical basis for the elementary motion detector (EMD) (2). However, motion signals in nature may not form exact spacetime correlations, but may also be composed of higher-order signals related to changes in contrast or texture.The term "higher-order motion" refers to movement of visual objects that have no net motion energy (3) or that contain paradoxical motion cues (4). A "drift-balanced" stimulus can be described as a moving object that contains an internal pattern that varies from and replaces the background as the object itself moves, but which itself is nonmoving. Drift-balanced bars generate no response from standard EMDs, but sensitivity can be generated by adding front-end nonlinearities to the inputs (5). "Theta motion stimuli" (4) consist of a moving object that contains an internal pattern that moves coherently in the direction opposite to the object itself. In this case, an EMD would encode the motion of the internal pattern (i.e., the elementary motion, or EM) instead of the motion of the object itself (i.e., the figure motion, or FM). Sensitivity to theta motion can be generated by, for example, layering two EMD networks (6) or by recurrent motion processing (7).Vertebrates, including human observers, readily perceive higher-order motion, including drift-balanced and theta motion, even though these contain no net EM cues in the direction of FM (for recent review, see ref. 8)....