Learning economics from the world's best boss
In this clip (found only on the deleted scenes sadly), Dwight attempts to justify the raise he feels he deserves. Dwight correctly identifies the relationship between inflation and his real wage. If Dwight’s nominal wages do not increase at least at the rate of inflation the real purchasing power of his wages will fall!
Jim loses his incentive to work when corporate institutes a cap on commissions.
When Andy becomes the new manager, he institutes a 'points system' to incentivize the office to sell more paper. His plan works better than expected when he offers to tattoo himself as the grand prize. This clip is a funny example of the power of incentives.
The office puts together a search committee to hire a new boss. One candidate (played by Warren Buffet), negotiates for a higher wage and then asks about job perks. A good example of bargaining and the principal-agent problem that arises in the workplace.
After Jim loses his incentive to sell, he looks for other ways to fill his time. A good example of incentives.
After Jim loses his incentive to sell, he starts bothering his colleagues looking for ways to kill time.
After Jim loses his incentive to sell, he pranks Gabe.