Monetary fines can replace shame with a purchasable fee, worsening behavior.

Evidence

In Haifa, day care centers wanted to get parents to pick up their children on time. At six of these centers, fines were imposed on late parents, following typical prescriptions from economics. If people respond to incentives, then fewer parents should come late if they will be fined. In response, the rate of late parents doubled. Twelve weeks later, when the fine was revoked, parents still kept picking up their children just as late and did not return to the pre-fine levels. That is, the fine made things a lot worse. Adding a fine had apparently changed the implicit social norm, making arriving late merely something that could be purchased with a fee instead of a violation of an interpersonal social obligation that induces shame, embarrassment, or empathy for the staff. — Joseph Henrich, The Secret of Our Success, 1059

Categorization

  • CANDY: The doubling-of-lateness and persistence-after-repeal detail is a vivid anecdote for conversation.
  • XREF: Connects to crowding-out literatures in behavioral economics and to The Frankfurt School discussion of incentives vs. internalized norms. — connects to: Disguising unlawful payments weakens restraint without reducing guilt’s self-costs.

Broader Connections