In a series of experiments we investigated the time course of adaptation and recovery of channels in the human auditory system selectively sensitive to frequency and amplitude modulation (FM and AM). We determined the rate of loss of sensitivity to modulation using sinusoidal frequency or amplitude modulation (SFM or SAM) of a 50 dB SL, 500‐Hz pure tone carrier over a 30‐min period. Adaptation stimuli were modulated at ten times the preadaptation modulation detection threshold, as determined immediately before the 30‐min adaptation session. Modulation rates investigated were 2, 4, 8, 16, and 32 Hz. Long exposure to SFM always elevated thresholds for detection of SFM more than this exposure elevated thresholds for detection of SAM. Similarly, adapting to SAM always elevated SAM detection thresholds more than SFM thresholds. Loss of sensitivity during adaptation was relatively slow; asymptotic loss of modulation sensitivity took 20 to 30 min. The recovery of modulation sensitivity after cessation of the modulation component of the adapting stimulus was determined in a second experiment. Recovery was found to be rapid; most of the recovery occurred within the first 60 sec. Our evidence suggests that there exist two types of modulation‐sensitive channels in the human auditory system—one selectively sensitive to amplitude modulation and the other to frequency modulation. They appear to have similar time courses for adaptation and for recovery.