Earlier quoted context omitted.
How about representation proportional to economic activity instead of the quantity of state-ness being one or zero? With guaranteed representation of at least one seat, so the representation turns out to be slightly skewed against the powerhouses. Also note that Puerto Rico and Washington DC earn their seat by virtue of having enough economic activity, rather than by default. "Seats" is senate seats per state; "rep"…
Economic activity would be a bad choice to tie to representation from perverse incentives. It would encourage outright sabotaging other states to preserve power when it would be more optimal to go with national net economic output instead of "best for my region". Essentially the same issues as regulatory capture but worse. It is also why auctioning off positions of power for fundraising would be a terrible idea - it…
The perverse incentive there encourages secession, state-splitting, endless intractable battles over Puerto Rican statehood or DC representation, and engineering politics at the state level to influence interstate migrations based partly on political views on national issues.
I.e. Colorado decriminalizes recreational cannabis, and Alabama recriminalizes abortion. Lefties are incentivized to move from AL to CO, and righties the reverse. Everybody who voted Doug Jones leaves for literally greener pastures, and mall-menace Roy Moore wins the seat.
(Anecdotally, one of my co-workers is moving to Denver, and I have realized I am envious.)
It further incentivizes politically competitive states to do anything for just 0.1% of the vote, because that might just be the margin that gets you all the power, for six whole years, on election day.