Based on telephone interviews with educational officials from all 50 states and the District of Columbia, an overview of the use and impact of standardized tests in the United States during the 1986-87 school year was developed. In addition to interviewing officials from all state departments of education, officials from 56 sample school districts in 38 states were questioned. This FairTest survey focused on the use of standardized achievement, competency, and basic skills tests. Additional information was gathered by examining recent surveys documenting the use of standardized exams, including intelligence tests, behavioral tests, readiness tests for young children, and placement tests. During 1986-87, the sampled schools administered more than 7.8 million standardized tests to over 5.7 million students to meet local testing mandates--a rate of 1.33 tests per student. Results indicate that: (1) the number of states mandating testing has greatly increased in recent years; (2) southern states and larger school districts test more often; (3) flaws in construction, validation, administration, and use undermine claims of objectivity and produce test results that are inaccurate, unreliable, or biased; (4) racial, ethnic, and sex bias along with bias against groups of low socioeconomic status are the most prominent forms of test bias; (5) American public school have begun to treat standardized tests as the all-purpose answer for promoting school improvement and insuring accountability; and (6) tests heavily influence curriculum development. An agenda for test reform is outlined. An overview of the study methodology, an annotated bibliography, and a press release are appended. (TJH)