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At least one reason: universities are overwhelmingly funded by public money. Perhaps (/perhaps/) private institutions should be allowed to explicitly advantage wealthy applicants, but forcing all of us fund institutions that advantage the wealthy is perverse.

Note, even "private" universities (eg not the UC school discussed here) receive tremendous amounts of public money, as well as tax-exempt status. See, for e.x. [1]: the Ivy league received >$40B in public money and benefits from 2010-2015.

IIRC, research at MIT is >66% funded by federal grants.

[1] https://www.openthebooks.com/ivy_league_inc/




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