Forced incentives can lead to emergent behavior with negative externalities.
Lee Kuan Yew talks about how poorly designed incentive mechanisms led to garbage accumulation in Singapore in the 1960s.
I think about this story a lot when designing incentive mechanisms for @loch_chain. It's probably a good idea to consistently ask these questions:
- What is the core goal for the intended recipients?
- Is there a more direct strategy to accomplish this?
- Could this lead to unintended garbage-pile up?
- Are there any other possible emergent behaviors and externalities?