[jacquesm]

Because if they don't expand acceptance with the number of applications being done for every class they would end up being a program that you have almost no chance of getting into if you apply. They might miss out on quality that way, there is most likely a fairly fixed relationship between #applicants and #accepts in order to make the formula work.

[danieltillett]

Yes Jacques this is a very good point. If YC is perceived to be a total lottery then nobody with any talent will bother applying.

Personally I think this problem is best solved by making the selection criteria narrower. Rather than expanding, YC should be narrowing its focus. Of course this requires that they narrow to the right area which is very hard problem.

[gmarx]

People continue to apply to Harvard. The problem YC has will be similar. At some point the thing changes from being a thing that improves its students to a credential or at least a marker. Once you make that transition, smaller size is needed to maintain the perceived value of the marker

[danieltillett]

Harvard has an self-described problem where a large percentage of the students they would admit don't apply (particular those from low income backgrounds) because they think they won't get in. Sure YC will keep its pipeline full, but if it is worried about getting the best then it needs to adjust what it is doing.