Equity Theory - A New Perspective
Equity Theory - A New Perspective
Equity Theory - A New Perspective
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A New Perspective
on Equity Theory:
The Equity Sensitivity Construct
RICHARDC. HUSEMAN
JOHND. HATFIELD
EDWARDW. MILES
University of Georgia
Equity theory (Adams, 1963, 1965) draws from The theory's distress prediction (Proposition 3
exchange, dissonance, and social comparison above) is based upon the assumption that indi-
theories in making predictions about how indi- viduals are equally sensitive to equity; that is,
viduals manage their relationships with others. the general preference is that outcome/input ra-
Four propositions capture the objectives of the tios be equal to that of the comparison other.
theory: This premise has been termed the "norm of
1. Individualsevaluate their relationshipswith equity" (Carrell & Dittrich, 1978;Walster, Walster,
others by assessing the ratio of their out- & Berscheid, 1978), and both laboratory studies
comes from and inputs to the relationship (e.g., Austin & Walster, 1974; Messe, Dawson, &
against the outcome/inputratioof a compari-
son other. Lane, 1973; Radinsky, 1969) and field research
(e.g., Finn & Lee, 1972; Goodman, 1974; Telly,
2. If the outcome/input ratios of the individual
and comparison other are perceived to be French, & Scott, 1971) show support for the norm.
unequal, then inequity exists. Yet, research into reward allocations (i.e., how
3. The greater the inequity the individual per- individuals distribute outcomes among receivers)
ceives (in the form of either overreward or has identified other norms that appear to contra-
underreward),the more distress the individ- dict the norm of equity. Leventhal (1976), for
ual feels. example, suggested three distribution rules that
4. The greater the distress an individual feels, an individual might employ when allocating out-
the harder he or she will work to restore comes to others: (a) the contribution (equity) rule,
equity and, thus, reduce the distress. Eq- where others are rewarded outcomes in propor-
uity restorationtechniques include altering
or cognitively distortinginputs or outcomes, tion to their inputs; (b) the needs rule, where
acting on or changing the comparisonother, others are rewarded based upon their legitimate
or terminating the relationship. needs, and (c) the equality rule, where others
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223
I < I I I I >7
P 0 P 0 P 0
P = Person
0 = Comparison other
NOTE: The equity formulas shown in Figure 1 are simple adaptations of Adams' original formula. Other equity researchers
(e.g., Walster, Berscheid, & Walster, 1976) revised his formula, and considerable controversy exists in the equity literature (cf.,
Moschetti, 1979; Romer, 1977; Samuel, 1978; Singh, 1983) about how equity formulas should be constructed. The formulas
presented here can be readily altered to complement other perspectives.
'prepared for cooperation and contribution" altruistically; that is, by experiencing others'
(Mosak, 1959, p. 194). Although psychologists are needs vicariously, they are sufficiently effectively
ambivalent about the actual existence of altru- aroused to sacrifice their own interests for those
ism (Hatfield & Sprecher, 1983), it is suggested of others. Unfortunately, much of the research
here that Benevolents show altruistic tendencies into altruism is short-term oriented, focusing on
because they give while expecting little in return. temporary or transient relationships such as those
In fact, the Figure 1 formula depicting Bene- between bystanders and others who need their
volents' equity preferences is quite similar to Hat- assistance (Huesmann & Levinger, 1976; Krebs,
field and Sprecher's (1983) equity formula for al- 1970). Thus, while the altruism literature largely
truistic helping relationships. neglects longer term relationships such as that
Several sources of benevolent preferences which an employee might have with his or her
exist. First, as Weick et al. (1976) suggested in organization, it appears reasonable that a Be-
explaining differences in outcome/input ratio nevolent might perceive real or imagined em-
preferences between Dutch and American stu- ployer needs and, thus, be inclined to empha-
dents, a Calvinistic heritage would promote the size own inputs over outcomes.
personal philosophy of high inputs for self with Third, but less consistent with Adler's percep-
little regard for outcomes. Such a personal phi- tion of an "ideal" type, Merton, Merton, and Bar-
losophy is analogous to Rushton's (1980) sugges- ber (1983)proposed that altruistic behavior repre-
tion that social responsibility (as opposed to eq- sents little more than "disguised self-interest" (p.
uity or reciprocity) is a potential motivating force 15). Thus, a Benevolent's preference for lower
for altruistic behavior. outcome/input ratios than the comparison other's
Second, a number of writers (e.g., Rosenhan, might emanate either from a need for social ap-
1978; Rushton, 1980; Wispe, 1968) contended that proval (Blau, 1964) or a desire to enhance one's
empathic arousal motivates individuals to act self-image (Homans, 1961). Blumstein and Wein-
224
225
226
P 0
Block O/I O/I Preference
P = Person; 0 = Other.
BEN = Benevolent's Preference; ENT = Entitled's Preference; EQS = Equity Sensitive's Preference.
(1) = First Order Preference; (2) = Second Order Preference
227
228
-~~~~~~~~~~~~~~~~~~~~~~~~~~~-
0~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~0
S
N / -p/ / .
F //
A /-
//
Benevolents
Equity Sensitives--
LOW ~~~~~~~Entitleds
-- - -
I .. 1. I I
UNDERREWARDED EQUiTABLY OVERREWARDED
REWARDED
EQUITYPERCEPTIONS
individuals should report low satisfaction levels; Proposition4: A negative, linear relationship
equitably rewarded individuals, high satisfac- should exist between Bene-
tion; and overrewarded individuals, low to mod- volents' perceptions of equity
and job satisfaction.
erate satisfaction.
Figure 3 incorporates the equity sensitivity con- As the solid line in Figure 3 shows, it is expected
struct into the standard equity theory prediction, that Benevolents would report higher levels of job
with the following proposed: satisfaction when they are underrewarded than
229
230
231
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