What are economic incentives? What are the key forces that drive the behavior of economic agents? Economics is based on the assumption that incentives drive the market. This means the incentives of both individual people and also individual firms, each of which are working to benefit their own particular well-being. In this article, we’ll explore the incentives of both firms and individuals and some ways in which incentives can work poorly, distorting the market instead of allowing it to function properly.
What Are Economic Incentives?










