Question

A __________ awards pay increases in proportion to performance contributions.

Answer 1

The subject of this question is Business. Awards that pay increases in proportion to performance contributions can motivate employees to work harder and achieve better results.

Step-by-step explanation:

The subject of this question is Business.

Awards that pay increases in proportion to performance contributions are popular with both economists and the general public because they effectively increase the payment received for work. This concept is related to efficiency wage theory, which suggests that the productivity of workers, either individually or as a group, will increase if the employer pays them more.

For example, if a company institutes a performance-based bonus system where employees receive higher pay based on their contributions to the organization, it can motivate employees to work harder and achieve better results.

Answer 2

A system that awards pay increases in proportion to performance contributions incentivizes employees, aligning their financial rewards with their performance, based on the principles of efficiency wage theory and supported by the views of economists and the general public.

Step-by-step explanation:

A system that awards pay increases in proportion to performance contributions is grounded in the philosophy that individuals should be compensated based on their individual efforts and outcomes. This concept is echoed in the efficiency wage theory, which suggests that workers will be more productive if they are paid more, aligning their financial incentives with their performance.

Such compensation models are popular because they directly link an employee's earnings to their contribution towards the company's goals, thereby incentivizing higher performance and productivity. This approach is often seen as a fair and effective means of increasing the payment received for work, and is supported by economists and the general public alike. The principles put forth by Davis and Moore also support this idea, contending that societies function more effectively when people are rewarded in accordance with the importance and quality of their work.