Incentives

June 2026

• Jun 22, 2026ConceptsGoodhart's Law: When a Measure Becomes a TargetGoodhart's Law explained through its origin in monetary policy, Strathern's famous phrasing, the four flavors of Goodhart, surrogation, reward hacking, and how to defend against it.10 MIN1.0k

February 2026

• Feb 10, 2026ConceptsHow Goodhart's Law Breaks MetricsWhen a measure becomes a target, it ceases to be a good measure. People optimize for metrics, not goals, creating distortion and gaming.21 MIN36.6k
• Feb 3, 2026ConceptsEconomic Laws Explained SimplyDiminishing returns means more input yields less output over time. Supply and demand set prices.17 MIN26.2k

August 2025

• Aug 19, 2025IdeasIdentifying Organizational Alignment ProblemsOrganizational alignment problems: unclear strategy where teams don't know priorities, misaligned incentives rewarding wrong behaviors,...25 MIN28.7k

July 2025

• Jul 17, 2025ExplainersIncentive Design Failures ExplainedSoviet nail factory paid by weight produced useless heavy nails. Cobra breeding bounty in India increased cobras. Metrics drive unintended gaming.36 MIN34.9k

June 2025

• Jun 29, 2025ExplainersHow Incentives Shape OutcomesIncentives direct attention and effort toward rewarded behaviors. They signal importance and create competition.33 MIN30.2k
• Jun 24, 2025ExplainersHow Metrics Influence BehaviorMetrics create visibility making performance transparent. Accountability follows visibility.26 MIN1.9k
• Jun 17, 2025ExplainersStep-by-Step: Analyzing Incentive StructuresMap what's rewarded with bonuses and recognition. Identify what's punished with penalties and criticism. Compare stated versus actual incentives.38 MIN4.0k

May 2023

• May 21, 2023ConceptsThe Cobra Effect: Solutions That Worsen ProblemsThe cobra effect occurs when an incentive designed to fix a problem makes it worse. Learn the origin story, Goodhart's Law connection, and how to...13 MIN7.8k

November 2022

• Nov 19, 2022ConceptsMoral Hazard Explained: Risk from ProtectionMoral hazard occurs when protection from consequences encourages riskier behavior. Learn its origins, real-world examples, and how to design...21 MIN1.3k

July 2022

• Jul 18, 2022ConceptsCobra Effect in Education: When Incentives BackfireEducation incentives often backfire. Learn how teaching to the test, grade inflation, and teacher performance pay undermine learning, and what...22 MIN2.3k