From the link:
>In other words, what we might have perceived as a difference in education quality was really the product of systematic differences in how the considered populations were put together. The groups we considered had a hidden non-random distribution. This is selection bias.
As you just stated, entrepreneur-y students self-select into Olin. The fact the school produces entrepreneurs doesn't have anything to do with the teachers, the curriculum, or the chemicals Olin puts in the drinking water. It's the non-random distribution of students.