Under equity theory, when an employee perceives unfairness in their input-output ratio compared to others, they are most likely to:

• A. Increase their inputs only
• B. Seek external opportunities immediately
• C. Adjust their perceptions, inputs, or outputs, or change comparison standards
• D. Ignore the situation and wait

Answer: (C)

Under equity theory, people judge fairness by comparing their inputs and outcomes with those of others. If the perceived ratio is unfair, the typical response is to restore balance by changing something in the equation: they may increase or decrease their own inputs, seek a more favorable outcome (like a raise or recognition), adjust how they perceive their inputs or outcomes, or switch to a different referent for comparison. This makes the option that encompasses adjusting perceptions, adjusting inputs or outputs, or changing comparison standards the best choice. The other options are too narrow or passive: increasing inputs alone would not resolve an imbalance if outputs are fixed; seeking external opportunities is a possible step but not the most immediate or universal reaction; ignoring and waiting delays resolution and is unlikely when inequity is felt.