a. Do you think that your work effort is influenced by whether there is a close

Question

a. Do you think that your work effort is influenced by whether there is a close link between personal output and personal compensation (reward)? Explain

b. Suppose grades in your lass were going to be determined by a random drawing at the end of the course. How would this influence your study habits?

c. How would your study habits be influenced if everyone in the class were going to be given an A grade? How about if grades were based entirely on examinations composed of the multiple-choice questions in the course book of this textbook?

d. Do you think the total output of a nation will be influenced by whether or not there is a close link between the productive contribution of individuals and their personal reward? Why or why not?

Explanation / Answer

A) Yes. If I do not get properly compensated for my time, I am less likely to want to output quality and quantity. B) I would not study. Not worth it if drawing is not related in any way to my performance. C) If everyone was given an A, I would also be less inclined to study. If my grade was determined by the multiple choice questions, I would study the questions only. D) Yes. If everyone is properly compensated within a nation, the output of individuals will rise. If people are paid based on productivity, quality has the potential to drop while quantity will increase. There is a medium you have to choose.

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