Describes the evolution of national educational assessment in the United States, its present stage of development, methodological and reporting problems, and approaches applicable to assessment data. Examines how proposed approaches can be applied in the California Assessment Program and in the National Assessment of Educational Progress. (MJL)

Notes that the methods used to set standards for National Assessment of Education Progress (NAEP) tests suggest recommendations for state-level policymakers. Explains the national assessment, basic assumptions in setting performance standards on NAEP, selection of judges, standard-setting methodology for NAEP, and measurement issues in setting…