When worker performance is monitored through data collection of what we do and how long it takes, productivity increases but perverse incentives result too.
How and why does UPS get my package to me so fast?
Occasionally, I have asked the UPS man who is always so gracious to wait a moment at my front door while I go to the kitchen. Taking a minute or so, I grab an apple for him. In a Planet Money interview,…
Healthcare and Baumol’s Disease
Asked why healthcare is relatively expensive while cell phones are not, you could answer, “Baumol’s Disease.” Described by New Yorker columnist James Surowiecki, to play Mozart’s String Quartet in G minor in 1787 and now, we need 2 violinists, 2…
