Following my earlier discussion of external rewards, here’s a video discussion how increased monetary rewards can lead to decreased performance. The studies mentioned here suggest that monetary rewards work well for mechanical tasks, but have negative impact on cognitively challenging tasks.
The video then discusses how things like open source and personal purpose fly in the face of traditional ideas of economical incentives.
There are many things to say about this, but I have been entertaining the idea that the “surprising finds” in the video are an artifact of a cognitive bias: Many people (such as economists) are fully aware that they are personally motivated by many different things such as pride, ambition, personal interests, social relations and so on … but nevertheless assume that everybody else is only motivated by money and gold stars.
Silly, isn’t it?
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I am not sure how directly this can be translated into the question of achievements and rewards in video games as there appear to be big differences between monetary and symbolic rewards. More about that later.