This is sometimes also called the over justification effect and it's a danger in any kind of system that uses rewards, including systems involving gamefication, this substitution effect that the intrinsic motivation goes away and is replaced by the less effective and problematic extrinsic motivation of the rewards. Now, this may sound counter-intuitive, but it's been confirmed by study after study in a wide range of areas. So here's some examples of some of the studies that have shown this demotivating effect. The first one or set of studies involves creative activities like drawing. And the experimenters would give a group of kids some paper and pencils and crayons and say go draw. And some of the kids were more into drawing than others, but some of the kids really loved drawing. They just sat and did it. They drew great pictures and they did it because they loved doing it, intrinsic motivation. Then the experimenter gave the kids rewards, said alright. We're going to give you something for the drawing and there are a variety of different rewards used. Maybe we'll give you an actual tangible prize for the best drawing, maybe we'll just give you a gold star, good job. Maybe we'll just give you a verbal compliment, well done, that's it. But in each case the idea was not just draw for it's own sake, but draw for some reward. And then, after doing that for a while, the experimenter took the reward away. Now, kid s we're back to where we started, just go and draw for fun. What happened? Low and behold, the kids who had been intrinsically motivated, they were going to draw just for the fun of it. Once the reward was added and then taken away we're no longer as motivated to draw and the drawings that came up with just weren't as good. Because they have substituted that extrinsic motivation of the reward for their intrinsic desire to draw. So, this has been replicated across many different kinds of creative or artistic kinds of pursuits and you can think about this in examples of gamefication that involves something creative. This is probably more likely to be in an internal or enterprise case of gamefication than on some of the external marketing ones, but. It's a real concern in those areas where the goal is to motivate people to innovate and be creative, in business context and the reward, the gamified system may actually push away from that. Second study came from Israel, and it has to do with of all things, daycare pick-up. And in this case, the researchers looked at a daycare centre where parents had to pick up their kids at a certain time after work. And some of the parents were late. And the daycare center didn't like that, it wasn't fair to them, they had to stick around more, and they thought, well, how do we motivate the parents to come on time? And they thought, alright, we'll use a punishment. Again, punishment is just a flip side of a reward. It should work the same way in the opposite direction. We'll charge parents, I don't remember what the number was but let's say $ten, anytime they are more than five minutes late picking up their kids. And they thought this would incentivize the parents to come on time. What happened? Parents came even later. Why? Well, we can think about it if we look at what's going on in those parent's minds subconsciously before what was getting them to pick up their kids on time. Social pressure, desire to not inconvenience the workers at the daycare center and so forth. Now all o f a sudden this is an economic exchange. It's worth $ten to pick up my kids late. If the thing I've got going on at work, or whatever else is happening, seems like it's worth more to me than $ten, I'll just pay the $ten and all of those intrinsic motivations caring about the people at the daycare center, caring about their kids getting picked up on time. Caring about other parents and so forth, go out the window, it gets replaced by the extrinsic reward. And the effect, in that case, is people come even later. Similarly studies of blood donation have found that when encouraging people to donate blood, primarily based on civic duty, and helping other people, and dealing with disasters and so forth. Is replaced by primarily paying people to give blood, people are less likely to give blood, it crowds out that intrinsic motivation. Final set of studies, and these are somewhat controversial, suggest that teacher merit pay, paying teacher is based on the results of the kids in their classes don't actually produce better results. For the same reason, they tend to crowd out the intrinsic reasons for teaching well and turn it into purely a calculus about how to get the desired results for the reward. So, all of these kinds of studies suggests that there's a danger in rewards that will actually make people less motivated to do the task, and thus produce worse results than intended.