If Firms Pay What Are Called "Efficiency Wages," They Pay

question 146

Multiple Choice

If firms pay what are called "efficiency wages," they pay wages that

• A)motivate workers to increase their productivity.
• B)are lower than average to ensure maximum profit.
• C)will eventually lower the unemployment rate.
• D)are mandated by the government.
• E)negotiated by labour unions.

Understand the concept of acquired needs theory and how it suggests that achievement, power, and affiliation needs are influenced by life experiences.

Comprehend the two-factor theory of Herzberg and its distinction between hygiene and satisfier factors in relation to job satisfaction and motivation.

Recognize the significance of power and affiliation in managerial roles and leadership as per McClelland and Herzberg's theories.

Understand the principles of ERG theory and how it modifies Maslow's hierarchy of needs in the context of frustration-regression.

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Definitions:

Funding Reduction

A decrease in the financial resources allocated to a program, organization, or project, often leading to operational challenges.

Service Need

A requirement for assistance or support, typically in a community or among individuals, that organizations aim to address.

Philanthropic Foundations

Nonprofit organizations that primarily distribute or support charitable activities through the funding of grants, scholarships, or direct support to other nonprofits.

Operational Costs

Expenses associated with the day-to-day functioning of a business or organization.