If this is true, then less-than-deserving children will have successfully used their parents' wealth to artificially improve their station in life. Which means that our higher education system is helping to perpetuate class divides (even though it claims to be greatly interested in not doing so).
80% of American households earn less than $100k and if 80% of the students got their education for free that wouldn't work out well for the universities.
Actually, it would work out just fine (for top-tier universities). They can easily survive on the investment returns from their endowments, along with donations from wealthy alumni.
Also, removing the tuition would make them look cheap to their target audience. In reality, a significant majority of students do end up getting financial aid. It just has to be indirect, so it doesn't harm the school's reputation.
I don't know anything about CMU's financial aid system, but in the Ivies, this situation certainly would not have occurred.
I'm amazed this question is being asked. It's obvious that bullshitters do well.
As they move up in life, they will move up in consultants, so long as they have access to the wealth necessary to pay for it.
At a guess, they'll do better in life than the ones that didn't make it but not as good as the ones that were honest and made it but I have zero proof for that. It's just that they will get some of the benefits from these colleges but not all of them while the group that didn't make it gets none.