Another reason applications have risen is that the influx of Asians and their desire for social acceptance is also fueling the number of applicants.
The internet-driven common application form is another reason. It's a lot easier to complete one application for six colleges than six completely different applications for six colleges that also have to be done by hand or typewrter, except for the essays.
Another reason is that the new SAT is much easier than the old one.
The exceptional kid 25 years ago had AP classes, SAT > 1500, and some outside activities. Today, this is the norm. Kids are so much smarter and parents so much more prepared that the normal AP stuff is not a separator at all.
I don't agree that kids are smarter today. Rather, I think they're better prepped for an easier SAT. Plus, AP courses have become less demanding in order to meet requirements that "everyone be able to have a chance to try them." When I was in school, most kids weren't capable of taking AP courses and most didn't (and that was okay from what I could tell). Today, everyone deserves a chance to "try" and the system has ended up making them easier.
None of this makes today's teenagers smarter than their parents.
