Excellent comment, thank you Sean.
Over time, stock inures to the competent.
Another $5 word! I like it. :)
I think you're right. Even if individuals aren't rational, the long-term economics and wisdom of the crowds does trend towards profits by those who can create profits most efficiently unless threats of violence or social shaming are involved. Where many get confused, I think, is when they tightly tie systems which create profits with human feelings, wants, desires, expectations, misunderstandings, etc, etc... all the squishy stuff which is hard to map to a spreadsheet.
Steemit, it seems, is both a corporation and a digital expression of humanity.
Whatever it is, I like it and really enjoy discussing it's details because it helps me better understand myself and the "real" world outside of Steemit.
Your comparison to insiders/nepotism is a good one. Many think nepotism is always bad no matter what. Those would probably also say self-voting is always bad. The funny thing, I think, is that often those are people who've never had real power/influence/responsibility of their own. Once they get it, they better understand the challenges involved. Without it, it's easy for them to say how others should act.