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Test-Optional Policies: A Review of Recent Research

Monday, January 31, 2022  
Posted by: Stephanie Breen, Program Fellow

Reading time: 3-4 min.

The number of higher education institutions using test-optional policies in admissions decisions has increased over the last few years. As a result of the pandemic, test-optional policies have expanded to nearly all public and private institutions.

The 2021 Survey of Higher Education Enrollment and Admissions Officers from ACT reveals an increase in test-optional policies at four-year institutions after the onset of the COVID-19 pandemic. According to the report, most institutions that went test-optional due to COVID-19 continued to adopt temporary policies for this academic year. Institutions that were test-optional before COVID-19 are unlikely to return to test-required.

Increased dialogue and attention around test-optional policies have centered on the extent to which standardized tests are a valid predictor of a student’s success in college and on expanding access to higher education to marginalized student populations.

While the empirical evidence is still developing, NCAN reviewed six recent research studies that explore the implications of test-optional policies on admission trends, enrollment and graduation outcomes, and student loan debt.

Maguire Associates surveyed 250 academic and admissions staff to explore how test-optional policies during the pandemic impacted enrollment decisions at public and private institutions. The results indicate colleges that went test-optional believe that the policy is improving access, broadly speaking, for low-income, underrepresented, and first-generation students. According to the survey, there was an increase in college applications for this student population but not in enrollment rates. Survey respondents reported a heavier reliance on high school transcripts and GPAs when using a test-optional approach. In addition, respondents from public institutions were more likely to use essays and personal statements than their counterparts from private institutions.

In a separate study, Bennett (2021) examined a diverse set of about 100 private institutions that adopted test-optional undergraduate admissions policies between 2005-06 and 2015-16. Bennett found that test-optional policies were associated with a 1-2% increase in the enrollment of students who receive Pell Grant, students from underrepresented backgrounds, and women at selective private institutions. However, the results suggest no clear evidence of changes in application volume or yield rate. In addition, only 20-30% of all students took advantage of the test-optional policies.

Similarly, Pellegrino (2020) found significant positive correlations between test-optional policy implementation and the enrollment of first-time undergraduates. Specifically, test-optional policies increased enrollment and acceptance rates for students who receive Pell Grants, Latinx, Native Hawaiian, or Other Pacific Islander students.

These findings are not consistent with a separate study from Saboe & Terrizzi (2019). Using data from the Integrated Postsecondary Education Data System (IPEDS), Saboe & Terrizzi (2019) explored the impact of SAT optional policies on applicant quality, selectivity, and diversity. They found that SAT optional policies have little to no effect on racial, gender, or socioeconomic diversity, nor do they affect the quality of applicants. They did find that test-optional policies increased the volume of college applications, but the effect did not sustain over time.

Beyond examining the diversity outcomes of test-optional policies, the National Association for College Admission Counseling utilized student-record-level data from 28 institutions to assess the impact of test-optional policies on student success and graduation outcomes. When comparing test-optional colleges with peer institutions that required testing, the authors found that students who opted not to submit test scores graduated at rates equivalent to, or slightly higher than, those who submitted their test scores.

The last article we reviewed focused on the relationship of test-optional admissions policies on student debt outcomes. Utilizing student debt data from The Institute for College Access & Success (TICAS), Bevers & Mulholland (2020) found that graduates admitted under a test-optional policy borrow more than those required to submit their test scores. Specifically, "graduate borrowers admitted under the test-optional policy owe $1,358 more than those required to submit their test scores." However, as more schools switch over test-optional admissions, the increased burden of student debt subsides. Bevers & Mulholland (2020) argue that this is possible because the market demand for test-optional goes down when more schools become test-optional. From their estimates, pre-switch debt and post-switch debt will be approximately the same.

The findings of these six studies are not definitive of the impact that test-optional policies have on student outcomes and success in higher education. Nevertheless, it is important that practitioners and other stakeholders remain aware of the evolving literature on this topic. Research in this area should continue to be expanded, as it can and will affect how we prepare and support our students in their access and entry into college.


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