Don't praise your kids for being smart, praise them for working hard. It apparently works amazingly well. A very interesting article to me, because this:

... For a few decades, it’s been noted that a large percentage of all gifted students (those who score in the top 10 percent on aptitude tests) severely underestimate their own abilities. Those afflicted with this lack of perceived competence adopt lower standards for success and expect less of themselves. They underrate the importance of effort, and they overrate how much help they need from a parent.

... describes my experience in school to a "T." I eventually "got over it," but I wonder how much more quickly I would've overcome my difficulties if I'd learned early on that it was the work I put in that made the difference, not any so-called "natural ability."

I don't begrudge my parents for their actions... even the author admits it's quite hard to re-work praise habits. It also didn't help that I grew up in the heart of the "feel good" praise-driven radical school revolution. I can remember quite clearly my parent's relief when we moved from the "success-based" report cards of my early grade levels to ones that actually assigned a letter. In middle school my classmates and I were all quite stunned to learn it was impossible to flunk a grade. It's a wonder any of us received an education at all, and I am quite deeply concerned at the prevalence these ideas still seem to have in the education establishment.

Olivia already very clearly responds to incentives of various types. It'll be interesting to see if I'm even able to make the described change, and if I do what affect it may have.

Via Econlog.