The Hidden Cost of Reward: Why Rewards Don't Always Work

We reward someone, especially youngsters, to reinforce a behaviour or attitude. We often pay the hidden cost of reward. This unintentional and hidden cost diminishes the person's intrinsic drive for the action.

Take an example. This phenomena aims to explain why people are more creative when they draw and write for fun rather than reward or expense. Thus, paradoxical examples include external benefits decreasing motivation.

First, the two types of incentive must be distinguished to understand the hidden cost of reward. Intrinsically driven behaviours are spontaneous actions we conduct for pleasure or curiosity. These are activities we do without reward, incentive, or control. Thus, these activities are ends in themselves, not just means.

Environment-based incentives and consequences drive extrinsic motivation. It comes from a contract to “do this” (necessary behaviour) and get “that” (contingent fee).

A behaviour may look intrinsic or extrinsic. The source that motivates and guides behaviour distinguishes the two. MI results from the activity's spontaneous psychological demand satisfaction. ME has extrinsic incentives and repercussions.

People reward others to boost motivation and performance. Extrinsic appraisals hinder learning and self-regulation. One explanation for the reward's hidden cost.

Imagine that parents consistently give their son money for good grades. After a few repetitions, the schoolchild will just cram for gratification. Thus, he will study for rewards rather than innate motivation to learn.

Instead of external demands, people will be more creative when they are motivated by the work's interest, joy, fulfilment, and challenge.

Simply said, forcing or over-incentivizing people, even with money, re-weights autonomy and environment-related reasons for doing this activity (Deci et al., 1999).

Expected rewards reduce intrinsic drive, whereas unexpected ones do not. However, these reinforcers make the reward's hidden cost more or less noticeable.

Money, awards, and trophies control behaviour. In family, school, and job, they inspire people to do things they wouldn't otherwise.

Many research show that non-expected physical rewards and those not contingent on homework do not harm IM. Neither increase nor decline. Remember that they are given regardless of performance. However, conditional rewards for participation, completion, and execution reduce IM.

This motivates us in what ways?
Sometimes extrinsic incentive succeeds, so the prize has no hidden cost. There are exceptions where external incentives, consequences, and rewards are advantageous. In particular, these are less interesting activities.

Examples include recycling, energy savings, following traffic laws, and getting senior folks moving. Rewarding good behaviour helps in all these activities. They would not actively perform their duty otherwise.

Extrinsic reward versus intrinsic motivation has a hidden cost only in tasks which are already interesting.

You can always enjoy an activity in two ways. For enjoyment, fitness, and skill improvement, we will play music intuitively. The extrinsic way involves doing it to win money, awards, and trophies or impress others. You identify with one route or both?

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