This problem occurred with 2.7.1 and is still occurring with 2.8.
It happens with any theme, so does not appear to be theme related.
It happens with all plugins deactivated, so it does not seem to be a plugin conflict of any sort.
My client's blog http://tinyurl.com/cd5slm is set to have the Front page display blog posts. But no matter what value is selected for the "Blog posts show at most", the home page shows all blog posts, currently 36.
For the life of me I cannot find out how to fix this. Any ideas as to what could cause this and what a remedy might be?