Asked by Wally Coveny on Jul 08, 2024

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Equity theory predicts that someone who is underpaid on a piece rate basis will produce a high volume of low quality output.

Equity Theory

A concept in social psychology that suggests individuals determine the fairness of their job outcomes by comparing themselves to others.

Piece Rate

A compensation system where employees are paid based on the quantity of units they produce or tasks they complete, encouraging productivity but potentially impacting job satisfaction and quality.

  • Identify the role of equity theory in influencing work behavior and outcomes.
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Angela NavalesJul 12, 2024
Final Answer :
True
Explanation :
Equity theory suggests that individuals who perceive themselves as underpaid might reduce the quality or quantity of their work as a means to balance the perceived inequity, leading to a scenario where someone paid on a piece rate might produce more but of lower quality to compensate for feeling underpaid.