(especially in Marxist theory) a way of thinking that prevents a person from perceiving the true nature of their social or economic situation (esp used to mislead members of the proletariat about their own exploitation)
French degree holders thus were in the grips of a form of false consciousness. They thought their degrees entitled them to certain positions that would have been available to them in a previous state of the field, but these positions were becoming scarce as more people entered higher education.