Econ-1.3 Formative Assessment Option 1

Categorize

Options (6)

BOGOs

Getting Grounded

Speeding Tickets

Decreased Sales

Bonus Pay

Tax Deductions for making Donations

Categorize each example given as either a positive incentive or a negative incentive.

Positive Incentive

Negative Incentive

Audio Response

I am trying to decide between buying an iPhone 15 or a Samsung Galaxy 24. Clearly provide 1 positive incentive and 1 negative incentive that would cause me to purchase the iPhone 15.

Open Audio Recorder

Audio Response

Provide 1 similarity and 1 difference between positive incentives and negative incentives.

Open Audio Recorder

Multiple Choice

Which of the following would be the proper definition of the term "Incentive"?

• A promised reward designed to motivate people to not make a specific choice at all.

• A promised reward designed to motivate people to make no choice at all.

• Anything that motivates us to act a certain way or make certain choices with our limited resources.

• Anything that motivates us to act a certain way or make certain choices with our limited resources.

Multiple Choice

How do negative incentives affect behavior?

• They encourage all forms of behaviors

• It directs I,B,G toward a specific option by giving punishments for NOT choosing that option

• It directs I,B,G toward away from a specific option by giving punishments for choosing that option

• They do not affect behavior at all

Multiple Choice

Think logically, if positive incentives were used for workers producing automobilies, what would this lead to in the long term?

• Market saturation

• Workers that increase their productivity and healthy competition

• Workers quitting

• Decreased overall performance

Multiple Choice

Does the image given represent a positive or negative incentive?

• Positive Incentive

• Negative Incentive

Multiple Choice

Which of these is an example of a negative incentive?

• Receiving extra credit for taking notes

• Winning a lottery

• Fines for littering

• Getting a bonus at work