Money Quote by Sebastian Marshall
““Policy: pay money for dead cobras. First-order consequence: cobras hunted and killed, less cobras. Second-order consequence: cobra breeding starts taking place.””
About This Quote
Paying for dead cobras reduces their numbers but encourages breeding, showing unintended consequences of incentives.
In simple terms: Incentives can backfire.
Key Takeaway
Consider long‑term effects of policies.
Themes
policy design
unintended consequences
economics
Mood
cautious
critical
Type
policy
analytical
When to use this quote
- wildlife management
- public health
- environmental regulation
Key Concepts
systems thinking
behavioral economics
Questions to Reflect On
- What hidden incentives exist in your plan?
- How can you anticipate second‑order effects?
A Different Perspective
May ignore cultural factors.
