Meritorious replies sometimes helps to spot out scam replies too. I heard about it once
Yes, this is true. Suppose a member made a reply in 50 words about some bitcoin exchange. Now it got 50 merits from another member. It is obvious that both accounts are operated by same person or they are friends. Many of such cases had been reported here. Some people are too dumb to make it evident I guess.
No never. its the worst thing. Now we have to work even harder to get promoted

for bounty programs
Of course, it is worst thing for shit posters. They needed this treatment for quite long. And OP mentioned that merit is the best thing for the "forum" but you obviously do not care about that and are worried about your own interests here only.