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But then this employee approaches retirement.
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Everyone knows that in April or something they're going to retire,
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then the future can't provide incentives anymore.
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And you have to switch over from the implicit incentive of knowing
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you're going to be interacting in the future,
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to an explicit incentive of putting incentive clauses in the contract.
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So retirement can cause, if you like, a lame duck effect.
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This is even true in personal relationships.
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In your personal relationships with your friends,
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if you think that those friendships are going to go on for a long time,
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be they with your significant other
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or just with the people you hang out with,