Sir John Gresham, was a 16th century financier who observed in a letter to Queen Elizabeth "that good and bad coin cannot circulate together".
"In economics, Gresham's law is a monetary principle stating that "bad money drives out good. For example, if there are two forms of commodity money in circulation, which are accepted by law as having similar face value, the more valuable commodity will gradually disappear from circulation."
He was trying to explain why the good coins made of precious metal were driven out of circulation by coins of the same denomination made of base metals because people prefer to hoard precious metals and transact with crappy coins.
Gresham’s Law for Talent Markets states that Good and Bad Talent cannot circulate together. Talent, unlike a coin, has feelings, aspirations, goals, and dreams.
Good Talent wants to circulate with Good Talent. In time, if Good Talent is hoarded somewhere else, Bad Talent will be given more movement and circulation within the Talent Market.
As more and more Bad Talent starts to circulate within a market, companies will start hiring that Bad Talent, mostly because this is the only currency being traded. If Bad Talent is rewarded with a job and power, word will go out and Good Talent will move while Bad Talent will gravitate towards whatever they can get.
Also see Talent Loops.