... have goals and try to fulfill them as best as they can The Incentive Principle: An agent (person, firm or society) is more likely to take an action if its benefit rises, and less likely to take ... “I’d like to introduce you to Marty Thorndecker He’s an economist but he’s really very nice.” Hi, I am Marty… Hi, I am Marty… Can we express yourself? Suppose you had the chance to meet ... Incentives matter in our analysis of behavior and in designing economic policies 15 The Cost-Benefit Principle An individual (or a firm or a society) should take an action if, and only if, the extra...