213. A company recently raised the pay of employees by 20 percent. Employee productivity remained the same.

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2–13. A company recently raised the pay of employees by 20 percent. Employee productivity remained the same. The CEO of the company was quoted as saying, “It just goes to show that money does not motivate people.” Provide a critical evaluation of this statement.

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Managerial Economics And Organizational Architecture

ISBN: 9781260571219

7th International Edition

Authors: Clifford W. Smith, Jerold Zimmerman, James Brickley

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