I worked for a company with PHBs above me as far as the eye could see. The word came down to reduce the bug count. Incentives were tied to the bug count coming down. The good news is that bugs were closed. The bad news is that many of those bugs were not fixed. So, yay, goal achieved, I guess, but now we didn't know what was broken, in many cases.
I left without waiting to find out whether there was a perceived drop in quality, with more incentives for filing bug reports, (many of which were closed but not fixed in the first round of incentives).