SAT Schism Roils University of California System

Watch on YouTube ↗  |  August 06, 2026 at 18:14  |  2:57  |  Bloomberg Markets
Speakers
Liam Knox — Bloomberg

Summary

Bloomberg's Liam Knox discusses the faculty pushback against the University of California's test-free admissions policy, with over 1,000 professors arguing that student preparedness has declined since dropping SAT/ACT requirements. The counterarguments cite pandemic learning disruptions and equity concerns. The conversation touches on the UC system's vast scale and heterogeneity, including its bond issuance, but offers no clear market implications.

  • Over 1,000 UC faculty signed petitions claiming incoming undergraduates are less prepared since the test-blind policy began around 2020, especially in STEM and writing.
  • Proponents of test-optional policies argue the pandemic, remote learning, and the rise of AI have also affected student readiness, not just test requirements.
  • Opponents of reinstating tests say they exacerbate racial and socioeconomic disparities, hurting access at a public system serving diverse backgrounds.
  • The UC system is massive and heterogeneous, spanning selective campuses like Berkeley and UCLA and more locally focused schools like UC Merced and UC Riverside.
  • A system-wide approach to a divisive admissions policy is problematic given the different missions and student bodies across campuses.
  • Scarlet Fu notes that UC issues bonds to cover a wide range of outcomes, and Liam Knox acknowledges the system’s heterogeneity may lead to differentiated policies, but no explicit bond market thesis is presented.
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