BU288 Midterm 2 Testbank

Integrative negotiation occurs on the axis between

A) avoiding and collaborating.

B) avoiding and competing.

C) avoiding and accommodating.

D) avoiding and compromise.

E) competition and accommodating.

A) avoiding and collaborating.

Which of the following is not a distributive negotiation tactic?

A) Verbal persuasion

B) Threats

C) Concessions

D) Promises

E) Enlarging the pie

E) Enlarging the pie

Which of the following are integrative negotiation tactics?

A) Framing differences as opportunities

B) Cutting costs

C) Copious information exchange

D) Increasing resources

E) All of the above

A) Framing differences as opportunities

Which of the following statements concerning compromise is false?

A) Compromise involves each party giving up something with the expectation that it will receive something

in exchange.

B) Compromise is especially useful for resolving conflicts that stem from power differences.

C) Compromise is especially useful for resolving conflicts that stem from scarce resources.

D) Effective compromises are highly dependent on the bargaining skills and the good will of the bargainers.

E) The goal of compromise is to establish rules of exchange to resolve conflict.

B) Compromise is especially useful for resolving conflicts that stem from power differences.

Superordinate goals are

A) goals that can only be achieved through distributive negotiation.

B) goals that have the highest priority in the organization.

C) goals that are most likely to provoke dysfunctional organizational politics.

D) goals that are used to stimulate conflict.

E) goals that can only be achieved by collaboration between conflicting parties.

E) goals that can only be achieved by collaboration between conflicting parties.

A superordinate goal is a goal that requires

A) competition

B) conflict

C) compromise

D) accommodation

E) collaboration

E) collaboration

In the labour dispute, a third party was assigned to decide on the wage rate the company would have to pay the

union. In this case, we can be fairly certain that

A) the appointment of a mediator has been mandated by law.

B) an arbitrator was assigned because integrative negotiation failed.

C) a mediator was assigned because integrative negotiation failed.

D) an arbitrator was assigned because distributive negotiation failed.

E) a mediator was assigned because distributive negotiation failed.

D) an arbitrator was assigned because distributive negotiation failed.

Compared with people having Type B personalities, people with Type A personalities

A) are more relaxed and easy going.

B) achieve higher occupational success.

C) exhibit more job dissatisfaction.

D) are less effective in situations requiring persistence, endurance or speed.

E) are less prone to coronary heart disease.

B) achieve higher occupational success.

Which aspect of the Type A behaviour pattern is most responsible for adverse physiological reactions that lead

to heart disease?

A) Persistence

B) Impatience

C) Hostility

D) Work involvement

E) Competitiveness

C) Hostility

The book suggests that conflict can promote organizational survival by

A) creating a strong organizational culture.

B) removing poor performers.

C) creating stress which triggers individual defence mechanisms.

D) signaling the organization's strength to outside parties.

E) provoking change and adaptation.

E) provoking change and adaptation.

Introducing a superordinate goal is an example of

A) third party involvement.

B) distributive negotiation tactics.

C) integrative negotiation tactics.

D) arbitration.

E) mediation.

C) integrative negotiation tactics.

Which of the following is a critical factor associated with intergroup bias?

A) Negative affectivity.

B) Self-esteem.

C) Locus of control.

D) Type B behaviour.

E) Type A behaviour.

B) Self-esteem.

Distributive negotiation occurs on the axis between

A) collaboration and accommodation.

B) collaboration and compromise.

C) competition and collaboration.

D) competition and accommodation.

E) competition and avoiding.

D) competition and accommodation.

Effort, persistence, and direction are basic components of

A) attitude.

B) equity

C) expectancy.

D) performance.

E) motivation.

E) motivation.

According to the text, which of the following is not a basic characteristic or component of motivation?

A) Effort

B) Direction

C) Performance

D) Persistence

E) Goals

C) Performance

Which of the following is most likely to stimulate intrinsic motivation?

A) Company policies

B) Challenging job

C) High pay

D) Generous fringe benefits

E) Close supervision

B) Challenging job

The extent to which an organizational member contributes to achieving the objectives of the organization is

called

A) performance.

B) expectancy.

C) intrinsic motivation.

D) extrinsic motivation.

E) effort.

A) performance.

Al told his friends that "the job makes me feel good about myself. I feel a real sense of accomplishment at the

end of the day." Al is probably

A) intrinsically motivated.

B) extrinsically motivated.

C) self-actualized.

D) fulfilling his relatedness needs on the job.

E) experiencing inequity.

A) intrinsically motivated.

"An interesting job that pays well" suggests that the job

A) is high in extrinsic motivation.

B) meets the motivational requirements of equity theory.

C) is high in extrinsic but low in intrinsic motivation.

D) is high in intrinsic and extrinsic motivation.

E) is high in intrinsic motivation.

d

Some researchers have argued that intrinsic and extrinsic motivation are incompatible. By this, they mean that

A) intrinsic rewards may decrease extrinsic motivation.

B) when used in combination, they result in lower levels of performance.

C) extrinsic rewards usually lead to better performance than intrinsic rewards.

D) intrinsic rewards usually lead to better performance than extrinsic rewards.

E) extrinsic rewards may decrease intrinsic motivation.

e

Which of the following statements about motivation and performance is FALSE?

A) A person could be highly motivated and yet perform poorly.

B) General cognitive ability and emotional intelligence are important for motivation to be converted into

performance.

C) A person could perform fairly well despite low motivation.

D) Motivation is defined as the extent to which workers contribute to achieving organizational objectives.

E) Task understanding is important for motivation to be converted into performance

d

Two process theories of motivation include

A) Maslow's Need Hierarchy and Expectancy.

B) Maslow's Need Hierarchy and ERG.

C) Equity and Expectancy.

D) Equity and ERG.

E) Maslow's Need Hierarchy and McClelland's theory of needs.

C

According to Maslow, once an individual has fulfilled his or her belongingness needs, the __________ needs

become motivating.

A) relatedness

B) esteem

C) affiliation

D) physiological

E) safety

B

Which of the following theories proposes that individuals have basic needs, which are associated with extrinsic

motivation, and higher-order needs, which are associated with intrinsic motivation?

A) Expectancy theory

B) Goal setting theory

C) Equity theory

D) Maslow's Hierarchy of Needs

E) Valence theory

D

According to Maslow's Hierarchy of Needs, a given worker at a given point in time is most motivated by

A) the highest level unsatisfied need.

B) the lowest level unsatisfied need.

C) physiological needs, because these are most basic and important.

D) belongingness needs, because everyone needs some form of social interaction.

E) self-actualization, because all persons seek to fulfill their highest potential.

b

According to Maslow, the __________ level __________ need is most motivational.

A) highest; satisfied

B) lowest; unsatisfied

C) highest; unsatisfied

D) highest; emotional

E) lowest; satisfied

b

Alderfer's existence needs correspond closely to Maslow's

A) esteem needs.

B) physiological needs.

C) belongingness needs.

D) self-actualization needs.

E) growth needs.

b

Other things equal, which ERG theory need should be of particular interest in a highly collective culture?

A) Resistance

B) Safety

C) Relatedness

D) Existence

E) Growth

c

Alderfer differs from Maslow in that his ERG theory assumes

A) the least concrete needs become more desired as they are fulfilled.

B) growth needs can be completely satisfied just as existence and relatedness needs can be.

C) a lower level need must be gratified before a less concrete need becomes operative.

D) if higher level needs are strong but ungratified, individuals will increase their desire for the gratification of

lower level needs.

E) a rigid hierarchy of needs exists

d

If Steve desires friendly and supportive supervision, he is trying to fulfill

A) any one of his needs, depending on which is operative.

B) his relatedness needs.

C) his safety needs.

D) his existence needs.

E) his growth needs.

b

Paul has a secure, well-paying, but boring job. He gets along well with his boss and his coworkers. Recently, he

has put in a bid for several more interesting jobs that have opened up, but each time the job has been given to

someone with more seniority. According to Alderfer's ERG theory Paul will probably

A) continue to pursue a more interesting job indefinitely.

B) quit his job and leave the company.

C) exhibit frequent absenteeism.

D) press for higher pay.

E) seek support and additional attention from his boss and co-workers.

e

Which theory proposes a weak or flexible hierarchy of needs?

A) Equity

B) ERG

C) Expectancy

D) Adams

E) Maslow

b

In McClelland's theory of needs sales jobs are attractive to those high in need for __________, and management

jobs are attractive to those high in need for __________.

A) affiliation; power

B) achievement; affiliation

C) power; achievement

D) achievement; power

E) achievement; achievement

d

A person who is high in need for achievement will tend to favour __________ goals.

A) fairly easy

B) moderately difficult

C) moderately easy

D) fairly easy or very difficult

E) very difficult

b

McClelland's need for affiliation is most closely related to Alderfer's __________ need.

A) growth

B) relatedness

C) existence

D) esteem

E) resistance

B

According to McClelland, which need profile characterizes the most effective managers?

A) High power, high affiliation

B) High power, low affiliation

C) High achievement, high affiliation

D) High achievement, low power

E) Low affiliation, high achievement

b

McClelland's need for affiliation is most closely related to (or an example of) Maslow's __________ needs.

A) esteem

B) belongingness

C) safety

D) physiological

E) self-actualization

b

Which of the following statements about persons with high need for achievement is least accurate?

A) High need achievers tend to seek out performance feedback.

B) High need achievers tend to excel in sales jobs.

C) High need achievers tend to set extremely difficult goals for themselves.

D) High need achievers prefer situations in which they can take personal responsibility for outcomes.

E) High need for achievement can be acquired through training

c

Maurice sees his organization's performance evaluation system as arbitrary, capricious, and unreliable. In

motivational terms, this performance evaluation system has reduced

A) expectancy.

B) instrumentality.

C) the valence of second-level outcomes.

D) the valence of first-level outcomes.

E) both levels of valence.

a

The manager who tells an employee, "I'll recommend you for a promotion if you implement the new system by

January" is attempting to strengthen which expectancy theory component?

A) Valence of second-level outcomes

B) Expectancy

C) Relatedness

D) Instrumentality

E) Needs

d

In expectancy theory, the valence of first-level outcomes is the sum of the product of

A) force and instrumentalities.

B) expectancies and instrumentalities.

C) second-level valences and instrumentalities.

D) second-level valences and expectancies.

E) second-level instrumentalities and expectancies.

c

According to the expectancy theory of motivation, if we find that workers feel that they are unable to perform at

a high level, we are dealing with a problem of

A) valence.

B) relatedness.

C) second-level outcomes.

D) expectancy.

E) instrumentality.

d

Mike, a production worker, reports on a research questionnaire that high performance has a valence of 10,

average performance a valence of 5, and low performance a valence of 1. Also, he reports that he is certain that

he can perform at low or average levels but only 40 percent sure that he can perform at a high level. According

to expectancy theory, at which level should Mike perform?

A) Average

B) Low

C) Instrumentalities are also needed to answer this question

D) High if task complexity is low to moderate

E) High

a

Cassandra's boss has not had time to clearly explain her new job to her. According to expectancy theory, this

should have a direct impact on

A) relatedness.

B) instrumentality.

C) first-level valence.

D) second-level valence.

E) expectancy.

e

According to the expectancy theory of motivation, if we find that employees don't like the rewards the firm

offers, we are dealing with a problem of

A) first-level outcomes

B) inputs.

C) second-level outcomes.

D) expectancy.

E) instrumentality.

c

The consultant said to a client company "Look, you people offer the highest pay in the industry! If you tied it to

performance you'd get some motivational punch." The consultant is saying that

A) expectancy is low.

B) expectancy is high.

C) instrumentality is low and second-level valence is high.

D) second-level valence is low and instrumentality is low.

E) second-level valence is low and instrumentality is high.

c

Which theory suggests that a social comparison process which affects perceived fairness can have an impact on

motivation?

A) Maslow's hierarchy of needs

B) ERG theory

C) McClelland's need theory

D) Equity theory

E) Need hierarchy theory

d

Which theory of work motivation most explicitly involves a comparison with others?

A) Maslow

B) ERG

C) Expectancy

D) Alderfer

E) Equity

e

According to equity theory, an underpaid individual would not __________ to achieve equity.

A) reduce his or her outcomes

B) reduce his or her inputs

C) perceptually distort the inputs or outcomes of a comparison person

D) perceptually distort his or her inputs or outcomes

E) accept a job in another organization

a

According to equity theory, the overpaid worker

A) may reduce inputs and increase outcomes to achieve equity.

B) may increase inputs to achieve equity.

C) may increase outcomes to achieve equity.

D) should not experience inequity.

E) may reduce inputs to achieve equity.

b

According to equity theory, individuals compare themselves with others when determining if the company is

treating them fairly. Which of the following comparisons is likely to happen?

A) men tend to make equity comparisons with women.

B) men tend to make equity comparisons with both men and women.

C) women tend to make equity comparisons with men.

D) men tend to make equity comparisons with men.

E) none of the above.

d

How might equity theory explain employee theft?

A) High work instrumentalities

B) Low work outcomes

C) High work expectancies

D) Low work inputs

E) Low need for achievement

b

Which motivation theory seems to translate across cultures best?

A) McClelland's theory of needs

B) Equity theory

C) Expectancy theory

D) Maslow's need hierarchy

E) ERG theory

c

Expectancy theory

A) applies across cultures because it was formulated to be explicitly cross-cultural.

B) applies to nearly as many cultures as Maslow's need hierarchy.

C) is most relevant to the Western cultures because of its need-based philosophy.

D) is most relevant to North America because of its rigid hierarchy.

E) applies across cultures because of its flexibility.

e

In collective cultures it is often observed that groups favour an equality norm for reward allocation. Which

theory's motivational premises does this norm most clearly contradict?

A) ERG theory

B) Expectancy theory

C) Equity theory

D) McClelland's theory of needs

E) Maslow's need hierarchy

C

A person's overall capacity and efficiency for processing information is called

A) motivation.

B) emotional intelligence.

C) general cognitive ability.

D) intelligence.

E) performance.

c

Which of the following is most accurate about the relationship between general cognitive ability and

performance?

A) General cognitive ability is a better predictor of performance for more complex tasks.

B) General cognitive ability predicts performance to the same degree on all tasks.

C) General cognitive ability predicts performance only on manual tasks.

D) General cognitive ability does not predict performance.

E) General cognitive ability predicts performance only on mental tasks.

a

A study on the career success of MBA graduates found that

A) students with high emotional intelligence and high motivation were most successful.

B) students with high motivation were most successful.

C) students with high general cognitive ability and high emotional intelligence were most successful.

D) students with high general cognitive ability and high motivation were most successful.

E) students with high general cognitive ability were most successful.

d

From bottom to top, what is the correct order of Salovey and Mayer's model of emotional intelligence?

A) Management of emotions; knowledge and understanding of emotions; integration and assimilation of

emotions; perception of emotions.

B) Knowledge and understanding of emotions; perception of emotions; integration and assimilation of

emotions; management of emotions.

C) Perception of emotions; knowledge and understanding of emotions; integration and assimilation of

emotions; management of emotions.

D) Perception of emotions; integration and assimilation of emotions; knowledge and understanding of

emotions; management of emotions.

E) Perception of emotions; management of emotions; knowledge and understanding of emotions; integration

and assimilation of emotions.

d

What step is the most basic level of emotional intelligence?

A) It depends on the situation.

B) Integration and assimilation of emotions.

C) Perception of emotions.

D) Knowledge and understanding of emotions.

E) Management of emotions.

c

Being able to calm oneself when angry or lower the anxiety of another person is an example of

A) perception of emotions.

B) knowledge and understanding of emotions.

C) management of emotions.

D) general cognitive ability.

E) integration and assimilation of emotions.

c

Emotional intelligence is especially important in jobs

A) that involve manual tasks.

B) that are complex.

C) at higher organizational levels.

D) that involve mental tasks.

E) that involve social interaction.

e

Research has found that emotional intelligence

A) predicts job performance and academic performance.

B) predicts job performance but not academic performance.

C) does not predict job performance.

D) does not predict academic performance.

E) predicts academic performance but not job performance.

a

Research has found that general cognitive ability

A) predicts learning, training success, and job performance.

B) predicts learning and job performance but not training success.

C) predicts learning and training success but not job performance.

D) does not predict learning, training success, or job performance.

E) predicts training success and job performance but not learning.

a

The ability to accurately identify emotions in people's faces and nonverbal behaviour is an example of the

A) diagnosis of emotions.

B) knowledge and understanding of emotions.

C) management of emotions.

D) perception of emotions.

E) integration and assimilation of emotions.

d

Which of the following is a good practical example of goal challenge?

A) Encourage a D student to set a goal of achieving Ds in the coming semester.

B) Encourage a D student to set a goal of achieving Bs in the coming semester.

C) Encourage a D student to set a goal of achieving Cs in the coming semester.

D) Encourage a D student to set a goal of achieving As in the coming semester.

E) It depends on the student.

c

Which of the following is most accurate concerning participation in goal setting?

A) Participation should never be used for goal setting in a climate of distrust between employees and

management.

B) Participation in goal setting never increases performance.

C) Participation in goal setting always increases performance.

D) Participation in goal setting almost always results in the setting of less difficult goals.

E) Participation in goal setting sometimes increases performance and sometimes it does not.

e

Research shows that participation in goal setting

A) can reduce performance by lowering the difficulty of goals that employees adopt.

B) can improve performance by lowering the difficulty of goals that employees adopt.

C) can reduce performance by increasing the difficulty of goals that employees adopt.

D) has no effect at all on performance or goal difficulty.

E) can improve performance by increasing the difficulty of goals that employees adopt

e

What is the relationship between monetary incentives in goal setting and performance?

A) Goal setting has led to performance decreases when monetary incentives are not provided for goal

accomplishment.

B) It depends on the employees and the incentive.

C) Goal setting has led to performance increases without monetary incentives for goal accomplishment.

D) Goal setting has led to performance decreases with monetary incentives for goal accomplishment.

E) Goal setting only leads to performance increases when monetary incentives for goal accomplishment are

provided.

c

Goals that focus attention on the achievement of specific performance outcomes are called

A) specific goals.

B) outcome goals.

C) learning goals.

D) performance goals.

E) challenging goals.

d

Process-oriented goals that enhance understanding of a task and the use of task strategies are called

A) performance goals.

B) strategy-oriented goals.

C) task goals.

D) learning goals.

E) process goals.

d

If your goal in this course is to achieve a particular grade, what kind of goal have you set?

A) A performance goal.

B) A learning goal.

C) A proximal goal.

D) A challenging goal.

E) An outcome goal.

a

What are the mechanisms of goal setting?

A) Goal specificity, challenge, commitment, and feedback.

B) Goal specificity, participation, rewards, supportiveness.

C) Direction, effort, persistence, feedback.

D) Direction, effort, persistence, and task strategies.

E) Goal specificity, challenge, effort, persistence.

d

You have two good friends who are about to graduate and begin working full-time. Omar wants to open his

own small business and Jason wants to be a social worker. According to McClelland's theory of needs, what are

the needs of your friends?

A) Omar has a high need for power and Jason has a high need for affiliation

B) Omar has a high need for achievement and Jason has a high need for affiliation

C) Omar has a high need for affiliation and Jason has a high need for power

D) Omar has a high need for achievement and Jason has a high need for achievement

E) Omar has a high need for power and Jason has a high need for achievement

b

What is employee engagement?

A) the extent to which an organizational member contributes to achieving the objectives of the organization

B) the extent to which persistent effort is directed toward a goal

C) the extent to which an individual immerses his or her true self into his or her work roles

D) motivation that stems from the direct relationship between the worker and the task

E) the ability to understand and manage one's own and other's feelings and emotions

c

When people are engaged, how do they express themselves in the performance of their role?

A) physically, cognitively, and socially

B) physically, cognitively, and emotionally

C) physically, socially, and emotionally

D) emotionally, cognitively, and socially

E) socially, politically, and emotionally

b

You have two friends who just started jobs after graduating. Tory says she spends a lot of time thinking about

her job and she is engrossed in it. Rory says that his new job gives him feelings of achievement and

accomplishment. What can you say about your two friends?

A) Tory is engaged and Rory is engaged

B) Tory has intrinsic motivation and Rory has instrinsic motivation

C) Tory has intrinsic motivation and Rory is engaged

D) Tory is engaged and Rory has intrinsic motivation

E) Tory has extrinsic motivation and Rory has intrinsic motivation

d

You have two coworkers who you like to work with because they are hard workers. Sal says he works hard

because of the pay and benefits. Trisha says she works hard because the job gives her feelings of achievement

and accomplishment. What can you say about your two coworkers?

A) Sal has extrinsic motivation and Trisha is engaged

B) Sal has extrinsic motivation and Trisha has intrinsic motivation

C) Sal has intrinsic motivation and Trisha is engaged

D) Sal is engaged and Trisha is engaged

E) Sal has extrinsic motivation and Trisha has extrinsic motivation

b

What are two important components of employee engagement?

A) absorption and availability

B) attention and meaningfulness

C) attention and absorption

D) meaningfulness and safety

E) attention and availability

c

As a manager, you need to evaluate the performance of your employees. Stan seems to always be engrossed in

his work and focused on what he is doing. Sue seems to spend a great deal of time thinking about her work.

What can you say about each of these employees?

A) Stan is motivated and Sue is attentive

B) Sue is attentive and Stan is motivated

C) Stan is engaged and Sue is motivated

D) Stan is absorbed and Sue is attentive

E) Sue is absorbed and Stan is attentive

d

After several months on your new job, you ask your manager how you are doing. She says, "You are always

psychologically present" at work. What does she mean?

A) you are motivated

B) you are high on general cognitive ability

C) you are engaged

D) you are emotionally intelligent

E) you are high on intrinsic motivation

c

What factors contribute to people's engagement at work?

A) meaningfulness, safety, attention

B) safety, attention, absorption

C) availability, attention, absorption

D) meaningfulness, attention, absorption

E) meaningfulness, safety, availability

e

If your job provides you with incentives and you feel worwhile, useful, valuable, and not taken for granted,

then you will experience:

A) psychological safety

B) psychological rewards

C) intrinsic motivation

D) psychological availability

E) psychological meaningfulness

e

If you have job in which you can employ and express yourself without fear of negative consequences to your

self-image, status, or career, then you have:

A) psychological meaningfulness

B) psychological safety

C) job security

D) psychological security

E) psychological availability

b

If you have the physical, emotional, and cognitive resources required to engage yourself in your job then you

have:

A) physiological safety

B) psychological availability

C) psychological meaningfulness

D) psychological safety

E) psychological security

b

Where did William Kahn study employee engagement?

A) accounting firm and summer camp

B) architectural firm and summer camp

C) law firm and summer camp

D) accounting firm and law firm

E) accounting firm and architectural firm

b

If you are learning a complex task and you do not have the required knowledge and skills, what kind of goal

will be most effective for you?

A) specific high learning goal

B) specific high performance goal

C) specific and challenging performance goal

D) specific performance goal

E) do your best goal

a

What is the performance impact of specific, challenging goals?

A) weaker for simple jobs

B) stronger for complex jobs

C) the same for all kinds of jobs

D) stronger for simple jobs

E) weaker for complex jobs

d

When a task is novel or complex and individuals need to acquire new knowledge and skills for good

performance, which of the following is most accurate?

A) setting a specific learning goal will be most effective

B) setting a do your best goal will be most effective

C) setting a high performance goal and a low learning goal will be most effective

D) setting a high performance goal and a high learning goal will be most effective

E) setting a high performance goal will be most effective

a

You have just been hired to perform a job that you have done before and have the ability to perform effectively.

What kind of goal should your boss set for you?

A) a high learning goal and a low performance goal

B) a specific learning goal

C) a do your best goal

D) a high performance goal

E) a high performance goal and a high learning goal

d

Which of the following about the relationship between goals and performance is most accurate?

A) when a task is straightforward, a specific learning goal will increase performance

B) when a task is complex, a specific challenging performance goal can decrease performance

C) when a task is novel, a specific challenging performance goal will increase performance

D) when a task is straightforward, a specific learning goal can decrease performance

E) when a task is complex, a specific learning goal can decrease performance

b

Which of the following is true about the classic goal setting study conducted at Weyerhaeuser Company?

A) drivers were assigned a specific learning goal

B) the results were achieved with driver participation

C) drivers were assigned a specific challenging performance goal

D) the effects were short-lived

E) the results were achieved with monetary incentives

c

When will setting a specific learning goal be more effective than setting a high performance goal?

A) when the job is simple

B) when the task is straightforward

C) when the task is complex

D) when individuals have the knowledge and skills to perform the task effectively

E) when the task is instrinsically motivating

c

Piece rate pay systems

A) are most effective when applied to white-collar jobs.

B) usually increase cooperation among workers on peripheral, nonproduction tasks (for example, keeping

the shop clean).

C) are especially useful when few objective performance criteria exist.

D) generally lead to increased productivity unless restriction occurs.

E) have generally been supported by unions.

d

Restriction of productivity is a phenomenon associated with

A) MBO.

B) piece rate pay.

C) merit pay.

D) hourly pay.

E) job enrichment.

b

Managers have a tendency to __________ the pay of their boss and __________ the pay of their employees.

A) underestimate; underestimate

B) correctly estimate; underestimate

C) overestimate; overestimate

D) underestimate; overestimate

E) overestimate; underestimate

d

As discussed in the book, the rationale for removing the secrecy surrounding salaries is that

A) they know salaries anyway, via the grapevine, but secrecy reduces confidence in the company.

B) positive motivational consequences may occur if the pay system is well designed.

C) we should be honest with employees, and this is a good place to start.

D) a more open pay policy will expose the inadequacy of the merit system.

E) consumers should understand that labour costs contribute greatly to retail prices.

b

The systematic mis-estimates that managers make of the pay of others in their firm suggests that they will often

A) experience equity with regard to employees.

B) experience equity with regard to peers.

C) underestimate the value of a promotion.

D) underestimate the pay of employees.

E) overestimate the value of a promotion.

c

The Scanlon Plan is a type of __________ system.

A) piece rate pay

B) job enrichment

C) gain-sharing

D) MBO

E) skill-based

c

Alice, a middle manager in an oil company, makes $35,000 a year. Her boss makes $41,000, her peers average

$33,000, and her employees average $29,000. Alice doesn't know the pay of these coworkers, but we ask her to

guess. Research suggests that she will say

A) the peers average $30,000.

B) the employees average $28,000.

C) the peers average $34,000.

D) the boss makes $43,000.

E) the boss makes $45,000.

c