Monday, October 7, 2013
As a novice to economics, such as myself, I feel like the notion of incentives is important to grasp. In our chapter, it mentions the woes of the failed socialism system where no work was actually getting done by anyone. This is a powerful point. People just wont get things done unless they have a reason to do so. There is a debate raging within our own country for more socialized systems, and as this continues, it is important for everyone to remember that without incentives these socialized systems are doomed to be exploited. A socialist economy simply doesn't work in comparison to a free market, so the question in my mind is if we've proven incentivized free markets work towards motivating progress, how can we incentivize more perfectly to increase a higher level of prosperity? Might we find ways to personalize incentives better, so they are each specifically appealing to each person? I feel as though this is the correct direction of thinking for our generation.