Question
Think of a policy where a government has tried to change people's behaviour. This is likely be from implementing a law or regulation, but may
Think of a policy where a government has tried to change people's behaviour. This is likely be from implementing a law or regulation, but may also be from eg publicity of information or something else. This might be the US or any other country you can think of, in the present day or historical. Any change like that will inevitably have multiple consequences as people adapt to the new incentives. Some are more interesting than others though! In this discussion, reply to this post with your answer. Briefly describe the circumstances, people involved, the policy. What was the goal of the policy? Describe the policy goal in terms of changes in a Marginal costs Marginal benefits model. (Make sure to include what behaviour is increasing or decreasing. How the MC and/or MB curves have changed due to marginal shifts in the policy and the expected result of that on the behaviour. To help think through this, consider whether from your description someone else could draw a rough graph of what is going on.) What was another effect that was a consequence of people's changed incentives from the policy. On someone else's post, think about the change they have described and comment with an additional non-obvious consequence that also might be possible, either directly from the policy, or from the changed behaviour as people adapted to it. You can agree with what someone else has said already, but your answer needs to come up with something new.
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If anyone is having trouble coming up with an idea, this set of policies regarding the Covid rent support program can be looked at in terms of incentive changes on a number of levels
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