The Case Against Education: Why the Education System Is a Waste of Time and Money

by Bryan Caplan

Human capital purists often protest, “Why on earth do workers signal ability with a four-year degree instead of a three-hour IQ test?” My response: employers reasonably fear high-IQ, low-education applicants’ low conscientiousness and conformity. Other critics of the education industry, however, have a more streamlined response: American employers rely on educational credentials rather than IQ tests because IQ tests are effectively illegal. Thanks to the landmark 1971 Griggs vs. Duke Power case, later codified in the 1991 Civil Rights Act, anyone who hires by IQ risks pricey lawsuits. Why? Because IQ tests have a “disparate impact” on black and Hispanic applicants. To escape liability, employers must prove IQ testing is a “business necessity.”