Behavior & incentives
Charles Goodhart
An economist whose work on monetary targets informs a wider measurement warning. Metrics can change behavior and weaken their own usefulness as evidence.
Independent educational case study. No affiliation or endorsement implied.
CGCAA / 35
CORE FRAMEWORK · ORIGINAL SUMMARY
When a measure becomes a target, examine incentive distortion.
Reverse-engineer. Don’t idolize.
What the herd copied
Rejecting measurement through a slogan.
What actually worked
Checking how targets change information.
What survives
Test unintended incentives to keep metrics useful.
Use it Monday at work
Make a company decision.
Pair a company KPI with a quality guardrail and remove an incentive rewarding gaming.
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