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This systematic literature review examines the impacts of race-conscious and race-neutral policy approaches on access to higher education for racially marginalized students, and the organizational responses of postsecondary institutions to shifting political and legal landscapes. Synthesizing 35 empirical studies published between 2004 and 2024, the review reveals that bans on race-conscious policies—such as affirmative action—consistently reduce the representation of Black and Latino students at selective institutions, while race-neutral alternatives fail to redress these disparities. The literature further demonstrates that institutional adaptations often prioritize legal compliance over equity, leading to a dilution of racial equity efforts and a symbolic rather than substantive commitment to addressing racial inequality. This review highlights the limitations of prevailing policy dichotomies and calls for a reimagining of equity frameworks that center on structural racism, institutional behavior, and the lived experiences of racially marginalized students.