On a pirate ship, a common rule was that the lookout who first spotted a vessel that was later captured would receive the best pair of pistols from the prize, on top of their normal share. From an economic perspective, why was this rule a particularly effective way to motivate the lookouts?

Evaluating Incentive Structures on a Pirate Ship

Incentive Design for Software Developers

Analyzing the Pirate Lookout's Incentive

The articles of a pirate ship often included a rule rewarding the lookout who first spotted a prize with the best pair of pistols, in addition to their regular share. Match each component of this incentive system to its primary economic function.

Evaluating a Modern Incentive System

Unintended Consequences of an Incentive System

Modifying the Pirate Lookout Incentive

Analyzing the Nature of an Incentive