Is the dream of a society fueled on merit dead?

I remember a time when people collectively agreed that kingmakers and handouts from kings were less impressive and significantly less “American dream” than someone who uses skill, hard work, a good idea, and objectively better whatever to achieve something. This used to be an ideal—and though nepotism was VERY common, we at least as a society frowned upon it and generally knew it was a distasteful thing. People hid the benefits given to them from their forebears. Lately, I am seeing troves of academic research extolling the virtues that nepotism “ain’t that bad,” “isn’t that harmful,” and generally seemingly pushing people toward the thought that (by depriving ourselves of things that could be objectively the best and instead going for mediocre stuff produced by those who aren’t the best at whatever but less risky bc they are well connected and have access to financing or whatever) nepotism is alright, man, and actually pretty cool. Initially I believed these thought pieces were based on fighting back against hyper competitive corporate culture, but I think I am realizing it really evolved from a sense of hopelessness about the unachievability of a true meritocracy. Is the hope for a meritocratic society dead? Have people abandoned the ideal? Why now? What does this mean for everyone with the wrong last name? Is this a normal contraction during tough economic times because people become more averse to risk? Would love to hear thoughts.