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((refimprove|date=February 2011))
An '''inducement prize contest''' ('''IPC''') is a competition that awards a cash prize for the accomplishment of a feat, usually of engineering. IPCs are typically designed to extend the limits of human ability. Some of the most famous IPCs include the [[Longitude prize]] (1714–1765), the [[Orteig Prize]] (1919–1927) and prizes from enterprises such as [https://challengeworks.org/ Challenge Works] and the [[X Prize Foundation]].

IPCs are distinct from recognition prizes, such as the [[Nobel Prize]], in that IPCs have prospectively defined criteria for what feat is to be achieved for winning the prize, while recognition prizes may be based on the beneficial effects of the feat.

==History==
Throughout history, there have been instances where IPCs were successfully utilized to push the boundaries of what would have been considered state-of-the-art at the time.<ref name=wp20140521>
((cite news |last1=Wadhwa|first1=Vivek |title=The powerful role of incentive competitions to spur innovation |url=https://www.washingtonpost.com/blogs/innovations/wp/2014/05/21/the-powerful-role-of-incentive-competitions-to-spur-innovation/ |access-date=14 January 2015 |newspaper=Washington Post |date=21 May 2014))</ref>

The Longitude Prize was a reward offered by the [[United Kingdom|British]] government for a simple and practical method for the precise determination of a ship's [[longitude]].  The prize, established through an Act of Parliament (the [[Longitude Act]]) in 1714, was administered by the [[Board of Longitude]].
Another example happened during the first years of the [[Napoleonic Wars]].  The French government offered a hefty cash award of 12,000 francs to any inventor who could devise a cheap and effective method of preserving large amounts of food. The larger armies of the period required increased, regular supplies of quality food. Limited food availability was among the factors limiting military campaigns to the summer and autumn months. In 1809, a French confectioner and brewer,  [[Nicolas Appert]], observed that food cooked inside a jar did not spoil unless the seals leaked, and developed a method of sealing food in glass jars.<ref>((cite web|title=Association Internationale Nicolas Appert |url=http://www.appert-aina.com|language=fr))</ref> The reason for lack of spoilage was unknown at the time, since it would be another 50 years before [[Louis Pasteur]] demonstrated the role of microbes in food spoilage.
Yet another example is the Orteig Prize which was a $25,000 reward offered on May 19, 1919, by New York hotel owner [[Raymond Orteig]] to the first allied aviator(s) to fly non-stop from [[New York City]] to [[Paris]] or vice versa. On offer for five years, it attracted no competitors. Orteig renewed the offer for another five years in 1924 when the state of aviation technology had advanced to the point that numerous competitors vied for the prize.  Several famous aviators made unsuccessful attempts at the New York–Paris flight before relatively unknown American [[Charles Lindbergh]] won the prize in 1927 in his [[fixed-wing aircraft|aircraft]] ''[[Spirit of St. Louis]]''.

One of the leading organizations for IPCs is [https://challengeworks.org/ Challenge Works]. This social enterprise, originating from [[Nesta (charity)]], uses IPCs, or 'Challenge Prizes', to catalyse innovative solutions to the world's largest problems. Their work includes the continuation of [[Longitude rewards]], for example, the [https://dementia.longitudeprize.org/ Longitude Prize on Dementia], which seeks to use [[Artificial intelligence]] and other emerging technologies to help those with dementia to manage their symptoms and live independently. Their work in social innovations revolves around 4 key pillars; Climate Response, [[Global health]], Resilient Society and Technology Frontiers. They run a number of [https://challengeworks.org/about-challenge-prizes/our-challenge-prizes/ inducement prizes] and continue to conduct research into [https://challengeworks.org/about-challenge-prizes/new-prize-ideas/ areas] where further innovations can make a positive difference. 
     
Another organization which develops and manages IPCs is the X PRIZE Foundation.  Its mission is to bring about "radical breakthroughs for the benefit of humanity" through incentivized competition. It fosters high-profile competitions that motivate individuals, companies and organizations across all disciplines to develop innovative ideas and technologies that help solve the grand challenges that restrict humanity's progress.  The most high-profile X PRIZE to date was the [[Ansari X PRIZE]] relating to spacecraft development awarded in 2004.  This prize was intended to inspire research and development into technology for space exploration.  Indeed, the X Prize has inspired other "letter" named inducement prize competitions such as the [[H-Prize]], [[N-Prize]], and so forth. In 2006, there was much interest in prizes for automotive achievement, such as the 250 [[Fuel economy in automobiles|mpg]] car.((citation needed|date=February 2011))

In Europe there has been a re-emergence of challenge prizes that following in the tradition of the Longitude Prize for solutions which impact on social problems. Nesta Challenges, based in London, is an example of this running prizes for innovations that for example reduce social isolation or make renewable energy generators accessible to off the grid refugees and returnees.<ref>[http://www.nesta.org.uk/areas_of_work/challengeprizes Centre for Challenge Prizes]</ref>

==Economics==
In some literature on the subject, it has been stated that well-designed IPCs can garner economic activity on the order of 10 to 20 times the amount of the prize face value.((citation needed|date=February 2012))

==Public Policy==
Inducement prizes have a long history as a policy tool for promoting innovation and solving various technical and societal challenges. These prizes offer a compensation reward, which can be in the form of monetary or non-monetary benefits, and aim to engage diverse groups of actors to develop solutions with low barriers to entry.<ref>((cite journal | url=https://onlinelibrary.wiley.com/doi/full/10.1002/pam.21638 | doi=10.1002/pam.21638 | title=Innovation Inducement Prizes: Connecting Research to Policy | year=2012 | last1=Williams | first1=Heidi | journal=Journal of Policy Analysis and Management | volume=31 | issue=3 | pages=752–776 | hdl=1721.1/85845 | s2cid=9003808 | hdl-access=free ))</ref> The primary objectives of inducement prizes are to direct research efforts and incentivize the creation of desired technologies.

In recent years, national and regional policymakers have increasingly utilized inducement prizes to stimulate innovation. These prizes can be implemented at various territorial levels, such as supranational with H2020 prizes, national with the challenge.gov platform, or local with Tampere hackathons. Inducement prizes provide policy flexibility and a non-prescriptive approach that allows regional policymakers to also address specific societal challenges and concerns related to directionality, legitimacy, and responsibility<ref>((cite journal | doi=10.3390/su15043240 | doi-access=free | title=Small Wins through Inducement Prizes: Introducing Challenge-Oriented Regional Prizes (CORP) | year=2023 | last1=Morisson | first1=Arnault | last2=Liotard | first2=Isabelle | last3=Revest | first3=Valérie | journal=Sustainability | volume=15 | issue=4 | page=3240 ))</ref>.Overall, inducement prizes can be an effective policy tool with a challenge-oriented approach for addressing diverse societal challenges.<ref>((cite journal | doi=10.3390/su15043240 | doi-access=free | title=Small Wins through Inducement Prizes: Introducing Challenge-Oriented Regional Prizes (CORP) | year=2023 | last1=Morisson | first1=Arnault | last2=Liotard | first2=Isabelle | last3=Revest | first3=Valérie | journal=Sustainability | volume=15 | issue=4 | page=3240 ))</ref>

==List of IPCs==
*[https://challengeworks.org/challenge-prizes/afri-plastics-challenge-accelerating-growth/ Afri-Plastics Challenge]
*[[Ansari X PRIZE]] for Suborbital Spaceflight, won in 2004 by Scaled Composites [[SpaceShipOne]]
*[[Automotive X PRIZE]]
*Alkali Prize for a process to turn salt into soda ash, won by [[Nicolas Leblanc]] posthumously in the early 19th century
*[[Brain_Preservation_Foundation#Prize|Brain Preservation Technology Prize]]
*[[Brexit Prize]]<ref name=BrexitPrize>((cite news|url=https://www.bbc.co.uk/news/business-23322122 |title='Brexit': IEA offers prize for UK exit plan from EU |newspaper=British Broadcasting Corporation |date=15 July 2013 |access-date=17 February 2014))</ref> – prize for British exit from the [[European Union]]
*NASA's [[Centennial Challenges]]
*The [[Clay Mathematics Institute]] [[Millennium Prize Problems|Millennium Prize]] will award to anyone who provides a solution to one of seven important mathematics problems, one was solved in 2003.
*Cornell Cup USA, presented by Intel
*[[DARPA Grand Challenge]]
*Egg-Tech Prize by the Foundation for Food and Agriculture Research (FFAR); FFAR and the [[Open Philanthropy Project]] are offering $6 million in prizes to improve early detection of a chick’s sex during the egg production process<ref>((Cite web|url=https://foundationfar.org/2019/03/20/egg-tech-prize-opportunity-to-revolutionize-egg-production-improve-animal-welfare-and-save-billions/|title=Egg-Tech Prize Opportunity to Revolutionize Egg Production, Improve Animal Welfare and Save Billions|date=2019-03-20|website=Foundation for Food and Agriculture Research|language=en-US|access-date=2019-03-23))</ref>
*The [[Foresight_Institute_Feynman_Prize_in_Nanotechnology#Feynman_Grand_Prize|Feynman Grand Prize]] offers $250,000 for a nano-scale robotic arm and computing device that demonstrate the feasibility of a nanotechnology assembler.<ref name=NASA2005>((Cite journal|url=http://sci.esa.int/Conferences/ILC2005/Manuscripts/DavidianK-01-DOC.pdf|title=Prize Competitions and NASA's Centennial Challenges Program|journal=International Lunar Conference|last=Davidian|first=Ken|date=2005|access-date=2018-05-18|archive-date=2018-05-19|archive-url=https://web.archive.org/web/20180519032658/http://sci.esa.int/Conferences/ILC2005/Manuscripts/DavidianK-01-DOC.pdf|url-status=dead))</ref>
*[[Global Security Challenge]]
*[https://challengeworks.org/challenge-prizes/global-surgical-training-challenge/ Global Surgical Training Challenge]
*[[Google Lunar X Prize]]
*[[Intelligent Ground Vehicle Competition]]
*[[Kremer prize]] for man-powered aircraft, won in 1977 by the [[MacCready Gossamer Condor]].
*[[L Prize]] is a US Department of Energy competition to increase efficiency of solid-state lighting.
*[[Longitude prize]] won in the 18th century by [[John Harrison]]
*[https://challengeworks.org/challenge-prizes/the-longitude-prize-on-dementia/ Longitude Prize on Dementia]
*[[Lunar Lander Challenge]]
*[[Methuselah Mouse Prize]] or also known as the "M-Prize"
*[https://challengeworks.org/challenge-prizes/mombasa-plastics-prize/ Mombasa Plastics Prize]
*[[Montyon Prizes]] established in 1820, a series of prizes awarded annually by the Académie française
*[[Netflix Prize]] for predicting user's rankings of films significantly better than the company's method, won in 2009.
*[[Orteig Prize]] for a non-stop flight between New York and Paris, won by [[Charles Lindbergh]] in 1927
*[[Peugeot Concours Design]]
*[[Prize4Life]] offers between $15,000 and $5 million in prize awards for medical discoveries that remove the largest barriers to finding a cure for  ALS (Lou Gehrig's disease)
*[[Tricorder X Prize]]
*[[Virgin Earth Challenge]]
*[[Paul Wolfskehl|Wolfskehl Prize]] for proving [[Fermat's Last Theorem]], won by [[Andrew Wiles]] in 1997

==See also==
*[[List of challenge awards]]
*[[Grand Challenges]]
*[[Kaggle]]
*[[InnoCentive]]
*[[X Prize Foundation]]
*[[Prizes as an alternative to patents]]

==References==
((Reflist))

==External links==
* [https://www.mckinsey.com/~/media/McKinsey/Industries/Social%20Sector/Our%20Insights/And%20the%20winner%20is%20Philanthropists%20and%20governments%20make%20prizes%20count/And-the-winner-is-Philanthropists-and-governments-make-prizes-count.ashx "And the winner is ..."](for the list of all inducement prizes above 100,000 USD, see p.94-108) ((Webarchive|url=https://web.archive.org/web/20181225031116/https://www.mckinsey.com/~/media/McKinsey/Industries/Social%20Sector/Our%20Insights/And%20the%20winner%20is%20Philanthropists%20and%20governments%20make%20prizes%20count/And-the-winner-is-Philanthropists-and-governments-make-prizes-count.ashx |date=2018-12-25 ))
* [http://keionline.org/content/view/157/1 Extensive list of historical inducement prizes] ((Webarchive|url=https://web.archive.org/web/20160304053847/http://keionline.org/content/view/157/1 |date=2016-03-04 ))
* [http://www.nesta.org.uk/news/guide-historical-challenge-prizes A Guide to historical challenge prizes] ((Webarchive|url=https://web.archive.org/web/20150914070355/http://www.nesta.org.uk/news/guide-historical-challenge-prizes |date=2015-09-14 ))
* [https://www.mdpi.com/2071-1050/15/4/3240#B32-sustainability-15-03240 challenge-oriented regional prizes]
* [https://challenge.gov/ challenge.gov] - A list of current U.S. government contests
((Active inducement prize contests))

[[Category:Engineering awards]]
[[Category:Challenge awards]]

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