"The impact of this seat scarcity has been higher prices at elite colleges, which has eventually trickled down into higher prices at other schools also. Scarcit

"The impact of this seat scarcity has been higher prices at elite colleges, which has eventually trickled down into higher prices at other schools also. Scarcity of seats leads to systemically higher prices. As we obviously want systemically lower prices, we have to start thinking about reducing the scarcity of seats at elite colleges." But that belies the whole point of "elite" colleges. They are selling a Veblen good and dilution of the "elite" brand is not what the consumer of higher-ed wants. They are purchasing "elite" status.