As the parent of two exceptionally-achieving children who were rejected from the "elite" colleges - I've become a lot more sympathetic to the mindset behind this line of thinking. My kids literally couldn't have done more or tried harder - since kindergarten - than they did. They both graduated valedictorian with perfect GPAs, scored in the top 99% of the SAT, did sports, did clubs, volunteered, worked, studied... and when they applied to the ivy's, they didn't even get waitlisted. When I see that somebody like, say, Jared Kushner graduated from Harvard... yeah, it makes me mad. I'm mad on behalf of my two kids who tried so hard for so long.
But - I don't really see a "solution" besides some sort of "populist revolt" _against_ these "elite" institutions. The solution is - just stop assigning so much importance to colleges like Harvard. This isn't Harvard's problem, it's all of us that are doing it.