Group Incentive Pay Programs _____

question 25

Multiple Choice

Group incentive pay programs _____.

• A)typically are plant-wide programs
• B)encourage competition between employee groups
• C)measure performance in terms of cost savings
• D)de-emphasize the standard-setting process
• E)promotes individual-orientation

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Definitions:

Expansionary Gap

A situation where the actual output in an economy is greater than the potential output due to high demand.

Nominal Wages

The amount of money an employee is paid before adjustments for inflation, reflecting the current value of money.

Real Wages

The purchasing power of wages, adjusted for inflation, showing how many goods and services can be bought with a unit of labor.

Phillips Curve

An economic theory suggesting an inverse relationship between the rate of inflation and the rate of unemployment within an economy.