What you're paying for is essentially to signal to employer that you've been able to make it into a very select club which is in turn acting as a proxy for intelligence/conscientiousness. As long as the seats are be limited, it will be worth the cost.
True - but if some other place existed which said "We only let in 50% children of harvard students and 50% really smart people", would that place turn out to be more desirable to hire from?
I suspect so... Those connections are perhaps more valuable than great exam grades.
