How do we get everyone through Ivy League without lowering the bar? How do you propose the government manage social connections to powerful people?

You're right about it affecting the first, though. Also as a purely hypothetical illustration, it might create a multiple generation-spanning dependency on social programs, make single parent households more economically feasible and socially acceptable as a lifestyle, and foster class warfare that downplays the importance of one's own choices by blaming only others for one's own outcomes.