Economic illogic in top Economics graduate programs

I've had enough of blogging about the INS Sindhurakshak's accident and the bleak situation on board, so I'm looking at economics now.

Via Economic Logic - tenured professors are hired solely on basis of reputation

The situation, in a nutshell - graduates are hired for professorship based on the reputation of their college and not on their individual capacity.

This utterly destroys the entire point of the program instituted to create professors worthy of tenure, and brings in less-qualified students from highly ranked institutions at the expense of far better qualified students from lower ranked institutions. Heuristics at their destructive best.