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In many ways, the satire is a very simple one in this case. The Yahoos are meant to represent the general condition of the human race. As Gulliver comes to understand, these beings are so incredibly selfish and so driven to vice and disgusting behavior, that any time they gain an advantage or find a way to get more resources, etc., they immediately turn that windfall or that gain into a further journey into vice.
By contrast, he makes it clear that the Houyhnhms are so incredibly rational. So much of what they do makes great sense, etc. Of course Gulliver tries as hard as he can to make himself into the latter and avoid interaction with or implication that he is in fact the former.
This satirical treatment of the human race is only strengthened by later parts of the story when Gulliver returns home and voices his disgust with the behavior of the people he interacts with.
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