I think you are way overblowing this whole idea.

Sure, peers matter, and yes, probably competitive people may tend to aggregate in some places but that does not lead to the implications and numbers you drive. It's mostly about bias and network.

> people who went to MIT were in a culture that pushed them the entire time, so they’ll have maximized their talent

It's funny you mention a university which publishes their own tests. I'd like to see a comparison with similar tests from less prestigious university. Calculus/analysis tests seem quite standard, where's the unusual push?

You seem to regurgitate university ads.

It's also funny how the article points how prestige...is much less of a factor for STEM than economics or law...maybe because stem needs results besides prestige?