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Our Love-Hate Relationship with Monetary Incentives

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The rise of 'shareholder value maximization' as the primary mission of corporations has created a context that exacerbates extreme reactions to monetary compensation. As a result, argues the author, depending heavily on monetary incentives to motivate people is nothing short of dangerous, especially for a firm whose mission is truly to maximize shareholder value. When it comes to incentives, balancing them and dulling their 'sharp edges' with a supportive firm context is far preferable - for employees, the firm and for society - to unleashing them on their own.
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