Which of the following theories describes the conditions under which the benefits of higher pay outweigh the higher costs?
A)Equity theory
B)Expectancy theory
C)Agency theory
D)Efficiency wage theory

Question

Quizplus · Accepted Answer

Efficiency wage theory suggests that higher pay can result in greater productivity and lower turnover, which may ultimately lower costs for the employer. This theory provides conditions under which the benefits of higher pay, such as increased productivity and lower turnover, outweigh the higher costs.

Which of the Following Theories Describes the Conditions Under Which