Gainsharing Plans Tend To

question 98

Multiple Choice

Gainsharing plans tend to:

• A)increase efficiency without paying employees any financial reward.
• B)tie employee pay directly to company profits.
• C)create a reasonably strong effort-to-performance expectancy.
• D)reward individuals for their own personal performance rather than team or organizational performance.
• E)increase efficiency without paying employees any financial reward creating a reasonably strong effort-to-performance expectancy.

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Definitions:

Transaction Costs

Expenses incurred when buying or selling goods and services, beyond the price of the goods themselves.

Sulfur Emissions

Gaseous emissions that include sulfur compounds, primarily sulfur dioxide, resulting from combustion processes and industrial activities.

Coase Theorem

A principle that if private parties can bargain without cost over the allocation of resources, they can solve the problem of externalities on their own, leading to an efficient outcome.

Property Rights

The legal rights to use, control, and derive benefits from a property or resource.