If colleges are truly need blind

But you have to remember that Caltech’s FA office is also tiny. Any FA office is only staffed for the average number of FA applications it receives every year. The way Caltech operates (i.e. FA applications are processed after acceptances) means that it can keep even a smaller FA office, as other people in the admissions office can help with FA applications without conflict. As a matter of fact, the sequencial (rather than concurrent) processing of admissions and financial aid makes the need-blind policy more convincing.

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