It is not clear from the above whether the author thinks that we actually live in an economic system based on meritocracy.
It is a fact, however, that many economic libertarians and market fundamentalists claim that we have, in Western democracies, a system of remuneration based on merit.
It is also
assumed that we
do have such economic system. The evidence for this is that the large disparities in income and accumulated wealth are not challenged as indicating possible
misappropriation of income and wealth.
Meritocracy is a lie which says that, by and large, people get the remuneration for their work (or generally for their contribution to society) which reflects the value they create to be enjoyed by everyone else.
So, for example, what Bill Gates did for his 43 billon dollar wealth is many thousands of times more valuable than what a Prime Minister of Britain or the President of the United States does.
This is patently absurd. The truth is stated at 95% of the money is made by 5% of the people: "Salaries have nothing to do with how amazing your skills are- but they have everything to do with how many other people can, and are prepared to, do pretty much the same thing" evilandi.