I'm reading a book right now that describes the difference between market norms and social norms.  Market norms are based upon supply and demand, wages and profit motives.  Social norms are based upon social relationships and the expectations contained within the community.  It is not surprising to me that social norms often work better in terms of increasing productivity. 

For example, if I am told that I will be paid twenty dollars an hour to tutor a kid, my motive will be financial.  I won't stay a minute longer.  I won't have any incentive to work hard.  Yet, if a student comes to me and says, "I really need help in math," I will work as hard as I can to help the student be successful. 

In a similar vein, if I call my friends and say, "I'm moving on Saturday.  Can you help me?"  most likely, they will say, "Yes."  If I called five friends and said, "Hey, can you come move furniture for me at ten bucks an hour?"  they would be offended.  If they said yes, there would be no strong motive to work hard. 

Schools almost always work within the business model.  From the professional attire to the grading system, to the standardization of knowledge, they work hard to create Professional Learning Communities.  Using the market motivation of punishment and rewards, they assume that behaviorism will work.  Yet, studies demonstrate that punishments must become increasingly harsh and rewards increasingly high in order to increase motivation.  (Perhaps it all goes back to the whole intrinsic / extrinsic motivation)

The problem is that schools will use market motivation and then act shocked when students do the bare minimum to accomplish a task.  When students ask, "Is this on the test?" or "Will this be graded?" it's not unlike the times that someone asks, "Will I get overtime?" 

I de-emphasize grading in my class.  I don't offer credit for all of the student community service hours.  I don't throw reward pizza parties when students accomplish a goal.  Instead, I get to know students relationally and establish strong social norms.  In return, I have fewer discipline problems and a higher level of productivity than when I used to focus on grades and referrals.