Questions tagged [incentives]

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Is there a standard term for this tradeoff when subsidizing: inducing dependence vs providing support?

I've often heard it informally argued "people will become lazy if you give them handouts". Although I doubt the economic sophistication of most such assertions, I do think they have a real point: you ...
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Has contest theory ever been used to design real-world contests?

Contest theory, very much like auction theory, studies how people act in a contest and the properties of such a competition. There is a large literature that investigates different aspects of the ...
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Would search engine spam still be a problem even if every incoming click were to cost money?

Search engine spam can be thought of as any activity that seeks to gain attention for a web page through deceptive means. I suspect that search engine spam is a natural result of profit-maximizing ...