diff --git a/cms/djangoapps/contentstore/utils.py b/cms/djangoapps/contentstore/utils.py
index c93efa34c2..4a26d09ae9 100644
--- a/cms/djangoapps/contentstore/utils.py
+++ b/cms/djangoapps/contentstore/utils.py
@@ -194,30 +194,35 @@ def course_image_url(course):
     return path
 
 
-class UnitState(object):
+class PublishState(object):
+    """
+    The publish state for a given xblock-- either 'draft', 'private', or 'public'.
+
+    Currently in CMS, an xblock can only be in 'draft' or 'private' if it is at or below the Unit level.
+    """
     draft = 'draft'
     private = 'private'
     public = 'public'
 
 
-def compute_unit_state(unit):
+def compute_publish_state(xblock):
     """
-    Returns whether this unit is 'draft', 'public', or 'private'.
+    Returns whether this xblock is 'draft', 'public', or 'private'.
 
     'draft' content is in the process of being edited, but still has a previous
         version visible in the LMS
     'public' content is locked and visible in the LMS
-    'private' content is editabled and not visible in the LMS
+    'private' content is editable and not visible in the LMS
     """
 
-    if getattr(unit, 'is_draft', False):
+    if getattr(xblock, 'is_draft', False):
         try:
-            modulestore('direct').get_item(unit.location)
-            return UnitState.draft
+            modulestore('direct').get_item(xblock.location)
+            return PublishState.draft
         except ItemNotFoundError:
-            return UnitState.private
+            return PublishState.private
     else:
-        return UnitState.public
+        return PublishState.public
 
 
 def add_extra_panel_tab(tab_type, course):
diff --git a/cms/djangoapps/contentstore/views/component.py b/cms/djangoapps/contentstore/views/component.py
index a7946c55c9..75c66cb99a 100644
--- a/cms/djangoapps/contentstore/views/component.py
+++ b/cms/djangoapps/contentstore/views/component.py
@@ -26,7 +26,7 @@ from xblock.runtime import Mixologist
 
 from lms.lib.xblock.runtime import unquote_slashes
 
-from contentstore.utils import get_lms_link_for_item, compute_unit_state, UnitState, get_modulestore
+from contentstore.utils import get_lms_link_for_item, compute_publish_state, PublishState, get_modulestore
 from contentstore.views.helpers import get_parent_xblock
 
 from models.settings.course_grading import CourseGradingModel
@@ -107,8 +107,8 @@ def subsection_handler(request, tag=None, package_id=None, branch=None, version_
         can_view_live = False
         subsection_units = item.get_children()
         for unit in subsection_units:
-            state = compute_unit_state(unit)
-            if state == UnitState.public or state == UnitState.draft:
+            state = compute_publish_state(unit)
+            if state in (PublishState.public, PublishState.draft):
                 can_view_live = True
                 break
 
@@ -282,7 +282,7 @@ def unit_handler(request, tag=None, package_id=None, branch=None, version_guid=N
             ),
             'section': containing_section,
             'new_unit_category': 'vertical',
-            'unit_state': compute_unit_state(item),
+            'unit_state': compute_publish_state(item),
             'published_date': (
                 get_default_time_display(item.published_date)
                 if item.published_date is not None else None
@@ -322,6 +322,7 @@ def container_handler(request, tag=None, package_id=None, branch=None, version_g
             'context_course': course,
             'xblock': xblock,
             'xblock_locator': locator,
+            'unit': None if not ancestor_xblocks else ancestor_xblocks[0],
             'ancestor_xblocks': ancestor_xblocks,
         })
     else:
diff --git a/cms/djangoapps/contentstore/views/helpers.py b/cms/djangoapps/contentstore/views/helpers.py
index f351f481f5..946fa1637d 100644
--- a/cms/djangoapps/contentstore/views/helpers.py
+++ b/cms/djangoapps/contentstore/views/helpers.py
@@ -97,5 +97,5 @@ def xblock_studio_url(xblock, course=None):
     course_id = None
     if course:
         course_id = course.location.course_id
-    locator = loc_mapper().translate_location(course_id, xblock.location)
+    locator = loc_mapper().translate_location(course_id, xblock.location, published=False)
     return locator.url_reverse(prefix)
diff --git a/cms/djangoapps/contentstore/views/item.py b/cms/djangoapps/contentstore/views/item.py
index bbbd71a2b8..ab2a2d60b4 100644
--- a/cms/djangoapps/contentstore/views/item.py
+++ b/cms/djangoapps/contentstore/views/item.py
@@ -297,9 +297,9 @@ def _save_item(request, usage_loc, item_location, data=None, children=None, meta
         if publish == 'make_private':
             _xmodule_recurse(existing_item, lambda i: modulestore().unpublish(i.location))
         elif publish == 'create_draft':
-            # This clones the existing item location to a draft location (the draft is
+            # This recursively clones the existing item location to a draft location (the draft is
             # implicit, because modulestore is a Draft modulestore)
-            modulestore().convert_to_draft(item_location)
+            _xmodule_recurse(existing_item, lambda i: modulestore().convert_to_draft(i.location))
 
     if data:
         # TODO Allow any scope.content fields not just "data" (exactly like the get below this)
diff --git a/cms/djangoapps/contentstore/views/tests/test_container.py b/cms/djangoapps/contentstore/views/tests/test_container.py
index 766b86f8f3..0752ca6141 100644
--- a/cms/djangoapps/contentstore/views/tests/test_container.py
+++ b/cms/djangoapps/contentstore/views/tests/test_container.py
@@ -28,9 +28,9 @@ class ContainerViewTestCase(CourseTestCase):
     def test_container_html(self):
         self._test_html_content(
             self.child_vertical,
-            expected_section_tag='<section class="wrapper-xblock level-page" data-locator="MITx.999.Robot_Super_Course/branch/published/block/Child_Vertical"/>',
+            expected_section_tag='<section class="wrapper-xblock level-page" data-locator="MITx.999.Robot_Super_Course/branch/draft/block/Child_Vertical"/>',
             expected_breadcrumbs=(
-                r'<a href="/unit/MITx.999.Robot_Super_Course/branch/published/block/Unit"\s*'
+                r'<a href="/unit/MITx.999.Robot_Super_Course/branch/draft/block/Unit"\s*'
                 r'class="navigation-link navigation-parent">Unit</a>\s*'
                 r'<a href="#" class="navigation-link navigation-current">Child Vertical</a>'),
         )
@@ -46,11 +46,11 @@ class ContainerViewTestCase(CourseTestCase):
                            category="html", display_name="Child HTML")
         self._test_html_content(
             xblock_with_child,
-            expected_section_tag='<section class="wrapper-xblock level-page" data-locator="MITx.999.Robot_Super_Course/branch/published/block/Wrapper"/>',
+            expected_section_tag='<section class="wrapper-xblock level-page" data-locator="MITx.999.Robot_Super_Course/branch/draft/block/Wrapper"/>',
             expected_breadcrumbs=(
-                r'<a href="/unit/MITx.999.Robot_Super_Course/branch/published/block/Unit"\s*'
+                r'<a href="/unit/MITx.999.Robot_Super_Course/branch/draft/block/Unit"\s*'
                 r'class="navigation-link navigation-parent">Unit</a>\s*'
-                r'<a href="/container/MITx.999.Robot_Super_Course/branch/published/block/Child_Vertical"\s*'
+                r'<a href="/container/MITx.999.Robot_Super_Course/branch/draft/block/Child_Vertical"\s*'
                 r'class="navigation-link navigation-parent">Child Vertical</a>\s*'
                 r'<a href="#" class="navigation-link navigation-current">Wrapper</a>'),
         )
@@ -67,3 +67,6 @@ class ContainerViewTestCase(CourseTestCase):
         self.assertIn(expected_section_tag, html)
         # Verify the navigation link at the top of the page is correct.
         self.assertRegexpMatches(html, expected_breadcrumbs)
+        # Verify the link that allows users to change publish status.
+        expected_unit_link = 'This content is published with unit <a href="/unit/MITx.999.Robot_Super_Course/branch/draft/block/Unit">Unit</a>.'
+        self.assertIn(expected_unit_link, html)
diff --git a/cms/djangoapps/contentstore/views/tests/test_helpers.py b/cms/djangoapps/contentstore/views/tests/test_helpers.py
index d0bf3ffc24..cfefeb3e81 100644
--- a/cms/djangoapps/contentstore/views/tests/test_helpers.py
+++ b/cms/djangoapps/contentstore/views/tests/test_helpers.py
@@ -16,7 +16,7 @@ class HelpersTestCase(CourseTestCase):
 
         # Verify course URL
         self.assertEqual(xblock_studio_url(course),
-                         u'/course/MITx.999.Robot_Super_Course/branch/published/block/Robot_Super_Course')
+                         u'/course/MITx.999.Robot_Super_Course/branch/draft/block/Robot_Super_Course')
 
         # Verify chapter URL
         chapter = ItemFactory.create(parent_location=self.course.location, category='chapter',
@@ -34,17 +34,17 @@ class HelpersTestCase(CourseTestCase):
         vertical = ItemFactory.create(parent_location=sequential.location, category='vertical',
                                       display_name='Unit')
         self.assertEqual(xblock_studio_url(vertical),
-                         u'/unit/MITx.999.Robot_Super_Course/branch/published/block/Unit')
+                         u'/unit/MITx.999.Robot_Super_Course/branch/draft/block/Unit')
         self.assertEqual(xblock_studio_url(vertical, course),
-                         u'/unit/MITx.999.Robot_Super_Course/branch/published/block/Unit')
+                         u'/unit/MITx.999.Robot_Super_Course/branch/draft/block/Unit')
 
         # Verify child vertical URL
         child_vertical = ItemFactory.create(parent_location=vertical.location, category='vertical',
                                             display_name='Child Vertical')
         self.assertEqual(xblock_studio_url(child_vertical),
-                         u'/container/MITx.999.Robot_Super_Course/branch/published/block/Child_Vertical')
+                         u'/container/MITx.999.Robot_Super_Course/branch/draft/block/Child_Vertical')
         self.assertEqual(xblock_studio_url(child_vertical, course),
-                         u'/container/MITx.999.Robot_Super_Course/branch/published/block/Child_Vertical')
+                         u'/container/MITx.999.Robot_Super_Course/branch/draft/block/Child_Vertical')
 
         # Verify video URL
         video = ItemFactory.create(parent_location=child_vertical.location, category="video",
diff --git a/cms/djangoapps/contentstore/views/tests/test_item.py b/cms/djangoapps/contentstore/views/tests/test_item.py
index 06b067c13a..dbb5f6335d 100644
--- a/cms/djangoapps/contentstore/views/tests/test_item.py
+++ b/cms/djangoapps/contentstore/views/tests/test_item.py
@@ -15,6 +15,7 @@ from django.test.client import RequestFactory
 from contentstore.views.component import component_handler
 
 from contentstore.tests.utils import CourseTestCase
+from contentstore.utils import compute_publish_state, PublishState
 from student.tests.factories import UserFactory
 from xmodule.capa_module import CapaDescriptor
 from xmodule.modulestore.django import modulestore
@@ -153,7 +154,7 @@ class GetItem(ItemTest):
             html,
             # The instance of the wrapper class will have an auto-generated ID (wrapperxxx). Allow anything
             # for the 3 characters after wrapper.
-            (r'"/container/MITx.999.Robot_Super_Course/branch/published/block/wrapper.{3}" class="action-button">\s*'
+            (r'"/container/MITx.999.Robot_Super_Course/branch/draft/block/wrapper.{3}" class="action-button">\s*'
              '<span class="action-button-text">View</span>')
         )
 
@@ -663,6 +664,7 @@ class TestEditItem(ItemTest):
         self.assertEqual(resp.status_code, 200)
 
         # Activate the editing view
+        view_url = '/xblock/{locator}/studio_view'.format(locator=self.problem_locator)
         resp = self.client.get(view_url, HTTP_ACCEPT='application/json')
         self.assertEqual(resp.status_code, 200)
 
@@ -671,6 +673,49 @@ class TestEditItem(ItemTest):
         draft = self.get_item_from_modulestore(self.problem_locator, True)
         self.assertNotEqual(draft.data, published.data)
 
+    def test_publish_states_of_nested_xblocks(self):
+        """ Test publishing of a unit page containing a nested xblock  """
+
+        resp = self.create_xblock(parent_locator=self.seq_locator, display_name='Test Unit', category='vertical')
+        unit_locator = self.response_locator(resp)
+        resp = self.create_xblock(parent_locator=unit_locator, category='wrapper')
+        wrapper_locator = self.response_locator(resp)
+        resp = self.create_xblock(parent_locator=wrapper_locator, category='html')
+        html_locator = self.response_locator(resp)
+
+        # The unit and its children should be private initially
+        unit_update_url = '/xblock/' + unit_locator
+        unit = self.get_item_from_modulestore(unit_locator, True)
+        html = self.get_item_from_modulestore(html_locator, True)
+        self.assertEqual(compute_publish_state(unit), PublishState.private)
+        self.assertEqual(compute_publish_state(html), PublishState.private)
+
+        # Make the unit public and verify that the problem is also made public
+        resp = self.client.ajax_post(
+            unit_update_url,
+            data={'publish': 'make_public'}
+        )
+        self.assertEqual(resp.status_code, 200)
+        unit = self.get_item_from_modulestore(unit_locator, True)
+        html = self.get_item_from_modulestore(html_locator, True)
+        self.assertEqual(compute_publish_state(unit), PublishState.public)
+        self.assertEqual(compute_publish_state(html), PublishState.public)
+
+        # Make a draft for the unit and verify that the problem also has a draft
+        resp = self.client.ajax_post(
+            unit_update_url,
+            data={
+                'id': unit_locator,
+                'metadata': {},
+                'publish': 'create_draft'
+            }
+        )
+        self.assertEqual(resp.status_code, 200)
+        unit = self.get_item_from_modulestore(unit_locator, True)
+        html = self.get_item_from_modulestore(html_locator, True)
+        self.assertEqual(compute_publish_state(unit), PublishState.draft)
+        self.assertEqual(compute_publish_state(html), PublishState.draft)
+
 
 @ddt.ddt
 class TestComponentHandler(TestCase):
diff --git a/cms/static/sass/views/_container.scss b/cms/static/sass/views/_container.scss
index 4c50103b81..b7ac403e66 100644
--- a/cms/static/sass/views/_container.scss
+++ b/cms/static/sass/views/_container.scss
@@ -30,11 +30,22 @@ body.view-container {
     label {
       @extend %t-title8;
     }
+
+    .bit-publishing {
+      margin-bottom: $baseline;
+      border-top: 5px solid $blue;
+      background-color: $white;
+      padding: ($baseline*.75) ($baseline*.75) ($baseline) ($baseline*.75);
+
+      .copy {
+        @extend %t-copy-sub1;
+      }
+    }
   }
 }
 
 // UI: xblock rendering
-body.view-container  .content-primary{
+body.view-container  .content-primary {
 
   .wrapper-xblock {
     @extend %wrap-xblock;
diff --git a/cms/templates/container.html b/cms/templates/container.html
index 83855250ed..8e5c7e5ab5 100644
--- a/cms/templates/container.html
+++ b/cms/templates/container.html
@@ -79,6 +79,15 @@ xblock_info = {
                 <section class="wrapper-xblock level-page" data-locator="${xblock_locator}"/>
             </article>
             <aside class="content-supplementary" role="complimentary">
+                <div class="bit-publishing">
+                    <h3 class="title-3">${_("Publishing Status")}</h3>
+                    <p class="copy">${_('This content is published with unit {unit_name}.').format(
+                        unit_name=u'<a href="{unit_address}">{unit_display_name}</a>'.format(
+                            unit_address=xblock_studio_url(unit),
+                            unit_display_name=unit.display_name_with_default,
+                        )
+                    )}</p>
+                </div>
                 <div class="bit">
                     <h3 class="title-3">${_("What can I do on this page?")}</h3>
                     <ul class="list-details">
diff --git a/cms/templates/ux/reference/container.html b/cms/templates/ux/reference/container.html
index 00f5e7caea..bdbf0ec501 100644
--- a/cms/templates/ux/reference/container.html
+++ b/cms/templates/ux/reference/container.html
@@ -1,9 +1,8 @@
 <%inherit file="../../base.html" />
 <%!
 from django.core.urlresolvers import reverse
-from django.utils.translation import ugettext as _
 %>
-<%block name="title">${_("Container")}</%block>
+<%block name="title">Container</%block>
 <%block name="bodyclass">is-signedin course uploads view-container</%block>
 
 <%namespace name='static' file='../../static_content.html'/>
@@ -426,6 +425,10 @@ from django.utils.translation import ugettext as _
                 </section>
             </article>
             <aside class="content-supplementary" role="complimentary">
+                <div class="bit-publishing">
+                    <h3 class="title-3">Publishing Status</h3>
+                    <p class="copy">This content is published with unit <a href="">Unit 1</a>. To make changes to the content of this container, place <a href="">Unit 1</a> in draft mode.</p>
+                </div>
                 <div class="bit">
                     <h3 class="title-3">Container Reference Page</h3>
                     <ul class="list-details">
diff --git a/cms/templates/widgets/units.html b/cms/templates/widgets/units.html
index a5862a28d4..cd8590544a 100644
--- a/cms/templates/widgets/units.html
+++ b/cms/templates/widgets/units.html
@@ -1,6 +1,6 @@
 <%! from django.utils.translation import ugettext as _ %>
 <%! from django.core.urlresolvers import reverse %>
-<%! from contentstore.utils import compute_unit_state %>
+<%! from contentstore.utils import compute_publish_state %>
 <%! from xmodule.modulestore.django import loc_mapper %>
 
 <!--
@@ -25,7 +25,7 @@ This def will enumerate through a passed in subsection and list all of the units
     <%include file="_ui-dnd-indicator-before.html" />
 
     <%
-      unit_state = compute_unit_state(unit)
+      unit_state = compute_publish_state(unit)
       if unit.location == selected:
         selected_class = 'editing'
       else: