It is also hurting those it purports to help. Not eveyone is cut out for a Harvard education. Yet by forcing those who would otherwise not be eligible (or marginally so) to attend, they set them up for failure. The reason that not everyone goes to an Ivy League school is that we are all different. And a degree at a state school can be, and often is, just as good as an Ivy league school as it allows everyone to get as good an education, but in a different environment.
In 1978, the winner of the Emory games was not Harvard or Yale. It was from a state school, and that is the superbowl of Business Schools.