“…6 Performance incentives stimulate agency efforts to produce value added, but they may also change the population served. This problem has emerged with incentive schemes in education that measure school performance using standardized test scores (Haney, 2000;Jacob, 2005), in job training that evaluate performance using labor market outcomes of trainees (Heckman et al, 2002;Finn, 2009), in German health insurance markets (Buchner and Wasem, 2003) and in health care where doctors, hospitals, and nursing homes are evaluated using "report cards" (Dranove et al, 2003;Bevan and Hood, 2006;Mukamel et al, 2009).…”