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How Economists think about Incentives—and why poorly designed Systems can make Rational People produce Irrational Outcomes | Perverse Incentives, Goodhart’s Law, Public Choice Theory, Rational Ignorance, and Mechanism Design all reveal the same uncomfortable idea: sometimes the problem isn’t the people playing the game—it’s what the game rewards. #Economics #PerverseIncentives #GoodhartsLaw #PublicChoiceTheory #MechanismDesign #PoliticalScience #LearnOnTikTok
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Generally they lack both rational and critical thinking skills. It is down to belief perseverance and comfirmation bias, while also being absent of any real evaluation skills, which allow you to come to actual critical and rational conclusions, regardless of your prior beliefs. I’m happy to explain to anyone what confirmation bias and belief persitance mean. #messi #ronaldo #goatdebate #ego #confirmationbias
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