There Are Two Key Problems with Deterrence-Based Trust Systems

question 2

Multiple Choice

There are two key problems with deterrence-based trust systems.First,they can backfire,and second:

• A)insufficient information about punishments in this trust system can make people less interested in rebelling
• B)high levels of trust between managers and employees thrive in this trust system
• C)this system decreases dependence and commitment among parties
• D)they are expensive to develop and maintain

Comprehend the significance of critical thinking and skepticism in evaluating psychological claims.

Understand the importance of context, evidence, and methodology in drawing conclusions in psychology.

Understand the principles of probability distributions.

Apply probability functions to calculate expected values and variances.

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Definitions:

Consumer Surplus

The difference between what consumers are willing to pay for a good or service versus what they actually pay.

Demand Curve

A graphical representation that shows the relationship between the price of a good or service and the quantity demanded by consumers over a period of time.

Consumer Surplus

The discrepancy between the entire sum buyers are ready and capable of paying for a product or service and what they really spend.

Marginal Utility

The additional satisfaction or benefit received by a consumer from consuming one more unit of a good or service.