For example allocating funds to fire departments based on how many fires they put out. That encourages them to stop putting work into fire prevention and, at the extreme, creates an incentive for outright arson.
The medical system. (Does that even need explaining?)
I gather Australia’s medical system is just as notoriously bad as America’s (as per Yvain’s excoriations)?
Finland’s Healthcare system and to a lesser extent the NHS seem to mostly have proper incentives in place, as uncured folk means less capacity to treat oneself. Surely medical care the world over isn’t guided by perverse incentives? That is more a question than an assertion.
For example...?
For example allocating funds to fire departments based on how many fires they put out. That encourages them to stop putting work into fire prevention and, at the extreme, creates an incentive for outright arson.
The medical system. (Does that even need explaining?)
I gather Australia’s medical system is just as notoriously bad as America’s (as per Yvain’s excoriations)?
Finland’s Healthcare system and to a lesser extent the NHS seem to mostly have proper incentives in place, as uncured folk means less capacity to treat oneself. Surely medical care the world over isn’t guided by perverse incentives? That is more a question than an assertion.