One of the wonderful things about economic science is that it is the science of incentives. It analyzes how humans respond to incentives and, despite evidence from other social sciences, how these responses tend to be rational. There is a lot of well documented circumstantial evidence that illustrates this rational behavior. Perhaps the best known collections of references are the books Freakonomics and Super Freakonomics and their associated blog, which present everyday life situations where people act according to incentives and behave rationally.
Not surprisingly, Bolivia is no exception. Bolivians have also proven themselves to be economically rational beings who act according to the incentives they face. A friend of mine, Mario Duran, recently wrote an article about the synthetic grass courts that Bolivia’s President, Evo Morales, is giving throughout the country as part of the “Evo Cumple” program. Interestingly, the article pointed out that even though these courts are given and built by the government, most of them have become private property. Throughout Bolivia, Neighborhood Councils, Sportive Leagues and other kinds of social organization now charge between 100 to 250 Bolivianos per game for the use of the fields.