Our university has already adapted. We get little homework now, but have to write (very) short mini-tests at the beginning of each lesson. They typically take up 5-10 minutes and contain 1-2 questions which you can easily answer if you understand the course materials.

schools are extremely useful for the economy because in the last 200 years, contributing to economy was much more efficient if the kids got some education. That is why the education was often revolving around practical skills such as math, reading comprehension or natural sciences.