When paying for performance doesn't work

Research on how high incentives affect cognitive biases (or not)

Takeaway

Getting paid more increases effort but not necessarily performance

Does performance change with incentives?

Imagine you had to solve a math problem. Do you think your performance would be better if you got a $10 reward for solving it? What about a $1,000 reward?

We like to think that getting more money better incentives us, leading us to put in mor…