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Many U.S. colleges now use test-optional admissions. A frequent claim is that by
not seeing standardized test scores, a college can admit a student body it prefers, say
with more diversity. But how can observing less information improve decisions? This
paper proposes that test-optional policies are a response to social pressure on admission
decisions. We model a college that bears disutility when it makes admission decisions
that “society” dislikes. Going test optional allows the college to reduce its “disagreement
cost”. We analyze how missing scores are imputed and the consequences for the college,
students, and society.