Earlier quoted context omitted.
I'll make one final attempt to bring this discussion to specifics. Here is a test from CA: http://www.cde.ca.gov/ta/tg/sr/documents/cstrtqmath7.pdf Can you be specific about what "test prep" means and how it differs from "education"? Again, many larger companies (e.g., Google, Goldman, MS, DE Shaw) do attempt to standardize their hiring procedures and evaluation methods. But I suppose they are all "insane", right?
Are you seriously saying that any of those outfits uses a fill-in-the-bubble standardized test to make decisions about hiring, firing, and promotion for their software developers? If not, I don't see what your point is. I also don't believe you really don't understand where education and test prep diverge. I think that's a rhetorical technique.
They have collections of questions they ask on interviews, each assigned relative difficulties, and a standardized way to evaluate answers. They ask interviewers to stick to a certain structure, and discard results if an interviewer goes rogue. Standardization is about making sure results are objective and comparable to each other - "fill in the bubbles" is just one particular easy-to-grade method of accomplishing that.
In the past companies (pre Griggs v. Duke Power) did use even more standardized methods, which included "fill in the bubbles", they just don't get too close to completely objective standardized tests due to lawsuit risk.
I also don't believe you really don't understand where education and test prep diverge. I think that's a rhetorical technique.
For a decently designed test (such as the one I linked to) I don't believe they diverge significantly. As I suspected, you are unable to justify your claim that they do.