Tracazolate, a pyrazolopyridine, is an anxiolytic known to interact with ␥-aminobutyric acid (GABA) A receptors, adenosine receptors, and phosphodiesterases. Its anxiolytic effect is thought to be via its interaction with GABA A receptors. We now report the first detailed pharmacological study examining the effects of tracazolate on a range of recombinant GABA A receptors expressed in Xenopus laevis oocytes. Replacement of the ␥2s subunit within the ␣13␥2s receptor with the ⑀ subunit caused a dramatic change in the functional response to tracazolate from potentiation to inhibition. The ␥2s subunit was not critical for potentiation because ␣13 receptors were also potentiated by tracazolate. ␥2/⑀ chimeras revealed a critical Nterminal domain between amino acids 206 and 230 of ␥2, governing the nature of this response. Replacement of the 3 subunit with the 1 subunit within ␣13␥2s and ␣13⑀ receptors also revealed selectivity of tracazolate for 3-containing receptors, determined by asparagine at position 265 within transmembrane 2. Replacement of ␥2s with ␥1 or ␥3 revealed a profile intermediate to that of ␣11⑀ and ␣11␥2s. ␣11␦ receptors were also potentiated by tracazolate; however, the maximum potentiation of the EC 20 was much greater than on ␣11␥2. Concentration-response curves to GABA in the presence of tracazolate for ␣11⑀ and ␣11␥2s revealed a concentration-related decrease in maximum current amplitude, but a leftward shift in the EC 50 only on ␣11␥2. Like ␣11␥2s, GABA concentration-response curves on ␣11␦ receptors were shifted to the left with increased maximum responses. Tracazolate has a unique pharmacological profile on recombinant GABA A receptors: its potency (EC 50 ) is influenced by the nature of the  subunit; but more importantly, its intrinsic efficacy, potentiation, or inhibition is determined by the nature of the third subunit (␥1-3, ␦, or ⑀) within the receptor complex.