Comments on: Incentives Demoralizes Professional Activity

By: Paul Hebert

Paul Hebert — Thu, 02 Apr 2009 19:31:04 +0000

I don’t think this is an indictment of incentives in general – but of putting incentives on a “moral” choice. As Ariely said in his book – when we cross the line from social to transactional – we get drop in performance. However, remove the social/moral constraint and incentives do work. We shouldn’t take a single application of incentives that didn’t work and apply it to all activity.

By: Ethan

Ethan — Sun, 15 Mar 2009 16:00:39 +0000

A co-worker (human factors expert) and I have had a few conversations about how too many options leaves you unable to make a choice. He went on to say that often people are more content with a purchase when they had fewer choices because more options make you wonder if you made the right selection.

By: Jim

Jim — Sun, 15 Mar 2009 02:52:20 +0000

Yep, I remember those points from Ariely’s book, which I recommend to anyone who is a fan of behavioral economics.

By: Matthew Krieger

Matthew Krieger — Sun, 15 Mar 2009 02:13:43 +0000

Joel Spoksly echoes this sentiment in this Inc column http://www.inc.com/magazine/20090101/how-hard-could-it-be-thanks-or-no-thanks.html as well as on his Joel on Software posts http://www.joelonsoftware.com/items/2006/08/09.html and http://www.joelonsoftware.com/items/2006/08/10.html.

By: Ken Montville - The MD Suburbs of DC

Ken Montville - The MD Suburbs of DC — Sun, 15 Mar 2009 01:35:20 +0000

Okey Doke. I watched the video. Very inspiring. Very uphill battle. TED was the right place to have the talk. A lot of thought leaders end up there.

By: bill mccollam

bill mccollam — Sun, 15 Mar 2009 01:29:01 +0000

Take a read of Predicably Irrational. Some very good research describe that illustrates that paying for social services actually diminishes the perceived value. eg. paying late fees for daycare actually makes it okay to be late.

By: Ken Montville - The MD Suburbs of DC

Ken Montville - The MD Suburbs of DC — Sun, 15 Mar 2009 01:12:33 +0000

I didn’t watch the video yet but I read The Paradox of Choice when it came out years ago. He makes good points and tries to illustrate them with interesting anecdotes. I wonder, though, if his moral imperative analogy would work throughout the world? My guess is not.

However, I think that in an age where CEOs are receiving obscene “incentives” to perform at mediocre levels, at best, that “incentives” can be demoralizing especially if the incentive is purely financial.

By: Luke

Luke — Sat, 14 Mar 2009 23:55:19 +0000

I wanted to really enjoy this video, but in the end found it mediocre.

I truly applaud the call to a higher purpose and the need to not let the system and bureaucracy get in the way of what is right.

His conclusions from the example of the toxic waste site in Switzerland seem too shallow and simple. Of course, if you ask someone to view a question from only a money standpoint, they will answer it from that standpoint. No one lives in a vacuum and all decisions are made after looking at multiple factors.

Also, he really lowered himself with his jabs at George W. Bush. Everyone knows that GWB is not a good orator, nor a great communicator, which the quote that Mr. Schwartz used shows.

On the other hand, Barack Obama is a great orator and can really talk the talk. In any event, it is the actions of each of these men that make them, not their words.

By: Nate @ Debt-free Scholar

Nate @ Debt-free Scholar — Sat, 14 Mar 2009 22:19:12 +0000

So I guess I need to convince my readers that subscribing to my RSS feed is a moral obligation… Really though, that really is an interesting study! I wonder how it applies to blogging.

Thanks,
Nate