The Impact of Compensation

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Questions and Answers

Which theory emphasizes the link between behaviors and pay?

  • Equity Theory
  • Incentive Effect
  • Expectancy Theory (correct)
  • Reinforcement Theory

Which theory focuses on motivating employees by linking high performance with monetary rewards?

  • Expectancy Theory
  • Equity Theory
  • Incentive Effect (correct)
  • Reinforcement Theory

According to reinforcement theory, what makes future high performance more likely?

  • Punishment for low performance
  • Non-monetary rewards
  • Monetary rewards (correct)
  • Recognition and praise

Which theory suggests that motivation is a function of expectancy, instrumentality, and valence perceptions?

<p>Expectancy Theory (B)</p> Signup and view all the answers

What is the primary focus of equity theory in relation to compensation?

<p>Balancing internal and external equity (C)</p> Signup and view all the answers

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