Ask PG: Can Y Combinator do 1000 startups a year?

So, the State of the Union speech just passed and I'm wondering if innovation and entrepreneurship is the way for the U.S. to grow it's way out of this slow economy. So, Paul here's a question: If the U.S. government was willing to give an innovation/entrepreneurship grant to Y Combinator (of course this is all hypothetical) of a significant amount, then how many startups could Y Combinator theoretically fund per year? And could it make a significant impact on the U.S. economy?