Equity theory, in management studies and social policy, focuses on determining whether the distribution of resources is fair, measured by comparing the ratio of contributions and benefits for each person within an organization or social context. First developed in the 1960s by the workplace and behavioral psychologist John Stacey Adams, it holds that employees seek to maintain equity between the inputs they bring to a job and the outcomes they receive against the perceived inputs and outcomes of others, and that inequalities in a relationship cause unhappiness proportional to the amount of inequality. The theory can also be applied in a wider social context beyond the workplace. This description is adapted from Wikipedia contributors under CC BY-SA 4.0; changes were made. https://creativecommons.org/licenses/by-sa/4.0/
Facts
Core ClaimEquity theory holds that people compare the ratio of their own inputs and outcomes in a relationship or job to the ratio others receive, and feel distress in proportion to how unequal that comparison is, whether they are underpaid or overpaid. 1 Connections
Sources
1. Wikipedia: Equity Theory
Wikimedia FoundationIntroduction
equity theory was first developed in the 1960s by John Stacey Adams, a workplace and behavioral psychologist
Background section, distress from inequity
individuals who perceive themselves as either under-rewarded or over-rewarded will experience distress, and that this distress leads to efforts to restore equity within the relationship
Background section, Adams 1965
According to Adams in 1965, anger is induced by underpayment inequity and guilt is induced with overpayment equity.
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