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What you describe sounds awfully like what Michael Young had in mind when he created the term "meritocracy" - which is actually quite different, and rather more interesting, than its common usage:

http://www.guardian.co.uk/politics/2001/jun/29/comment

e.g. The UK Civil Service is probably very proud of being a meritocracy - where the "best" people are promoted. However, none of their definitions of "merit" actually relate to ability to perform current or promoted roles!



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