Actual work for the already incredibly underpaid, over-worked teaching staff. As the money dries up in university funding, teachers are stretched thinner and thinner. That forces them to rely more on automated testing instead of having the time to actually know more about their students' performance. That in turn makes it easier for students to cheat.

The economics (as usual) are perverting the system. The individual participants are merely suffering from the perserve incentives of the system.