The incumbent Australian Labor Party led by Premier of South Australia Don Dunstan won a fourth term in government, defeating the Liberal Party of Australia led by Leader of the Opposition David Tonkin.

The Labor Party led by Don Dunstan, which had won the previous three elections in 1970, 1973 and 1975, defeated the Liberal Party of Australia opposition led by David Tonkin.

This was the first election after the end of Playmander seat weighting where one vote one value was introduced.

[1] The Australian Democrats ran for the first time under a joint New LM-Australian Democrats ticket, winning an average 12.3 percent of the primary vote in the 12 electorates they contested, with former LCL MP Robin Millhouse retaining his seat of Mitcham, which he would hold until 1982.

A 1979 Norwood by-election was triggered as a result of Dunstan's resignation.