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When faced with an employee performance problem, managers tend to experience two primary emotions: anxiety and anger; anxiety, because the situation often leads to conflict, and anger because the manager realizes, "I did not create this problem.The employee did." No matter how well an attendance policy is written, there are those who will abuse it or push the limits._____ theory can be used to acknowledge positive behavior with rewards and encourage others to improve their sub-par performance.
Neoclassical Models
Economic models based on the principles of neoclassical economics that emphasize rational behavior, supply and demand equilibrium, and the efficiency of markets.
Behavioral Economics
A field of economics that studies how psychological, cognitive, emotional, cultural, and social factors affect the economic decisions of individuals and institutions.
Nudges
Subtle policy or design changes aimed at influencing people's behavior in predictable ways without restricting their choices.
Heuristics
Simple, efficient rules or methods used to make judgments and decisions based on limited information, often leading to satisfactory but not always optimal solutions.
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