According to equity theory, the comparison by employees between the rewards they receive from an organization with their contributions to the organization is known as__________.

Question

Quizplus · Accepted Answer

Equity theory proposes that people make social comparisons to determine if their own inputs (efforts, contributions, etc.) and outcomes (rewards, benefits, etc.) are fair in comparison to those of others. The comparison by employees between the rewards they receive from an organization with their contributions to the organization is known as the outcome/input ratio. Thus, option B is the correct answer. Option A refers to a reinforcement schedule in operant conditioning, option C pertains to financial analysis, and option D is a financial ratio used to measure a company's financial leverage.

According to Equity Theory, the Comparison by Employees Between the Rewards