Snt,—Every student of economics is familiar with Gresham's law that "bad money drives out good," though the phenomenon seems to belong to the sphere of psychology rather than economics. There is another law which is equally true but less well recognised which, for want of a better name, I venture to call W.A.G.'s law. It applies to business and industrial management. It is that appointment of personnel for reasons other than efficiency drives out the efficient person from seeking to train or occupy posts in management, and thus gradually lowers the whole standard of efficiency in the industry.
I suggest that this law should be considered (a) by the new Anglo- American Industrial Advisory Council and (b) possibly by the economic section or the psychological section at the coming meeting of the British Association at Brighton. Space forbids my illustrating this law from current experience, but no doubt your readers will be able to do this