Which of the Following Statements About the Equity Theory Is

question 59

Multiple Choice

Which of the following statements about the equity theory is true?

• A)If the ratios are significantly different,a follower is not motivated to take change
• B)As long as there is general equality between the two ratios,there is motivation to change
• C)The perception of inequity creates a state of tension and an inherent pressure for change
• D)Exactly what the follower will be motivated to do depends on the direction of equality

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Definitions:

Net Exports

The net result of a country's international trade on its economic output, represented by its total exports less its total imports.

Net Capital Outflow

The difference between the domestic country's total investment abroad and foreign investments within the country, over a specific period of time.

Net Exports

The value of a country's total exports minus its total imports, representing the net value of goods and services being sold abroad.

Net Capital Outflow

The difference between a country's purchase of foreign assets and the sale of domestic assets to foreigners in a given time period.