Answer the following statements true (T) or false (F)

1. According to equity theory, we compare what we get out of an endeavor to what we put into it and draw a conclusion as to the fairness of the ratio independent of external standards of comparison.
2. Employee empowerment can have unintended consequences.
3. Because financial incentives change behaviors, managers have to ensure the performance measures they use will focus employees on what they want to do.
4. Cash rewards are better than non-cash rewards for the organization because they fill the employees’ needs to pay off a bill or celebrate their achievement.


1. False
2. True
3. True
4. False

Business

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