MONEY, AS IT turns out, is very often the most expensive way to motivate people. Social norms are not only cheaper, but often more effective as well.

In a separate example, each participants get 20 tokens and secretly chooses how many to put into a common pot. Tokens in the pots are multiplied and split evenly among 4 group members. After seeing everyone’s contributions, each player can spend 1 token to deduct 3 tokens from any teammate (“punishment” option).

Research around the world shows that,... See more