Seb Yves @sebkipman
Obsessed with the hidden power of incentives — sharing what I learn. Download '17 Power Laws of Incentives' ebook 👇 incentivelaws.com Free ebook ➡️ Joined October 2010-
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Disincentives are the other side of the incentive coin: - fines for speeding - jail for crimes - a performance warning at work All just as powerful as positive incentives.
Threats are a Machiavellian side of incentives. They can be used to get the outcome you want. Beware of their use against you. And use wisely — or not at all.
Perverse incentives Ep. 42 - Privatized Prisons When your business model relies on keeping people incarcerated this creates perverse incentives.
The older I get the more I realise the ego incentivizes us to do stupid things.
When biological incentive alone doesn’t work, introduce financial incentives 👇
When biological incentive alone doesn’t work, introduce financial incentives 👇
Adding removalists to this list - just hired them and zero incentive to speed up when pid by the hour
Adding removalists to this list - just hired them and zero incentive to speed up when pid by the hour
3 industries where perverse incentives dictate your experience: 1. Lawyers - the longer a case goes, the more they make. 2. Medicine - Treatment is more profitable than cure. 3. Therapy - the business model relies on weekly sessions for years, not fast resolutions. To change…
The more time there is between the present and when the reward of an incentive is realized, the lesser it’s power to motivate. Eg. Quarterly bonus vs annual bonus.
“I think I've been in the top five percent of my age cohort almost all my adult life in understanding the power of incentives, and yet I've always underestimated that power.” - Charlie Munger
My new life motto: “keep the old out”. (No, it doesn’t mean building a moat impenetrable by rascal scooters…) It means staying young in mind, body and spirit no matter the years that pass.
Committing to do something publicly creates a powerful incentive to do it. The incentive to avoid embarrassment. Or be thought a failure. It’s all ego. But works none the less.
One of the clearest signs someone is a psychopath is they do centred bullet points
Incentives are incredibly powerful. Beware how you create them. Or there will be unintended consequences.
Incentive Power Law #6 - Beware The Principal-Agent Relationship The principal (eg. Employer) delegates responsibilities to the agent (e.g. employee) to act on their behalf. If incentives aren’t aligned, the agent can act with impunity, knowing the downsides will be suffered by…
people i am instantly wary of: - anyone over 18 who rides a bmx - people with a full beard with the mustache bit shaved off - people who describe themselves as any kind of "maximalist" - people who wear a fanny pack diagonally over their shoulder/chest who'd i miss?
Before judging someone’s actions, think about the incentives they’re guided by. Not 100% fool proof. But explains most behavior.
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@sebkipman Love your unique specific focus on incentives Super interesting
I called Fluminese a no-name football club on the pod this week Already getting the most hate I've ever received
@edels0n Please make fun of Leeds United
My notes from Poor Charlie's Almanack: The Wit and Wisdom of Charlie Munger turned into maxims: 1. Find a simple idea and take it seriously. 2. Good ideas are rare. When you find one bet heavily. 3. Humans have been writing down their best ideas for 5,000 years. Read them.…
@sebkipman As with anything important that holds power
Sometimes your bug bash turns out to have been a bug party.
From a therapist's perspective, what pays the most is not effective therapy. It's making the client feel good enough about the session to schedule more. This antagonistic incentive misalignment is not unique to therapy. But once you see it there, you see it everywhere.
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@cadeinvests This is extremely pathetic. 5% gains? Where are the zeroes and commas? Read up on the rare fish market. This is just sad. I’m literally depressed after seeing this post.
@GrantCardone Thanks for including the flag and image of the map because I had no fucking idea what you were talking about
@buccocapital iPhones. "The Anxious Generation" is amazingly eye opening. It's a disaster.
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Sometimes, love feels like walking on a wire without a safety net. So I traded my comfort for courage, doubts for determination, and fears for faith. Love commanded a high price, so I paid in full to see what I was worth.
@sebkipman @CorporateMacBot What’s more powerful for influencing human behaviour - positive incentives or negative incentives?
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