Explain, The experimental studies in Section 5 challenge the idea of self-interest in economics and government policies. They show that people are motivated by factors beyond material incentives, such as civic virtue and concern for public well-being. However, offering monetary rewards for certain behaviors can actually decrease intrinsic motivation, known as motivational crowding out. Evidence from Switzerland indicates that monetary inducements reduced communities' willingness to accept a nuclear waste facility, emphasizing the need to consider non-material motivations in policy design.

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The passage highlights two key points about human behavior that challenge traditional economic and p... View the full answer