Less Competition, More Meritocracy?

Uncompetitive contests for grades, promotions, retention, and job assignments, which feature lax standards limited candidate pools, are often criticized being unmeritocratic. We show that, when contestants strategic, exclusivity can make selection more meritocratic. When many compete a few strategic adopt high-risk strategies. Risk-taking reduces the correlation between performance ability. Through reducing effects of risk-taking, “Peter-Principle” promotion policies, entail promoting some that unlikely to be worthy, increase overall ability, thus further goal meritocratic selection.