________ Is a Formula-Based Group Incentive Plan That Uses Improvements

question 29

Multiple Choice

________ is a formula-based group incentive plan that uses improvements in group productivity from one period to another to determine the total amount of money allocated.

• A) An employee stock ownership plan
• B) Gainsharing
• C) Profit sharing
• D) A piece-rate pay plan
• E) A merit-based pay plan

---

Definitions:

Positive Illusions

Unrealistically favorable attitudes that people have towards themselves or to people that are close to them.

Goal-Setting

Involves the development of an action plan designed to motivate and guide a person or group toward achieving a specific objective.

Overly Optimistic

The tendency to hold an excessively positive outlook on one's abilities, outcomes, or future events.

Zeigarnik Effect

The psychological phenomenon whereby individuals remember uncompleted or interrupted tasks better than completed ones.