correct.  you'll find shockingly large sections at any megauniversity. 

as to why students continue to go there, well I can't say for sure.  A long-term test will be how the megas fare compared to similar schools that have committed to enrollment caps in the low 20s.

btw, the original post had a high tongue-in-cheek component.  for usm purposes, as the faculty continues to shrink either the classes will continue to get larger or research (nonfunded of course) will go by the board.  since there is virtually no management at usm, i suspect we'll just stumble into some mixture of the 2.