Week 9 Flashcards
punishment versus reward
if customers feel as if they are being punished for what was once a given, they will be upset and react negatively
punishment by time versus by money
make people wait longer in lines > than making them pay. People consider time not as egregious of a loss
the ultimatum game
can accept or reject the offer if feel unfair. Sensitivity to fairness and justice
Fairness in decision making: Equality
equal pay for everyone
Fairness in decision making: Equity
equal pay for equal work
the Milgrim study
- the electric shock test, seeing how high people would shock their fellow American.
- Shows not much cross cultural difference.
- 65% went to 450 Volts
interest-driven obedience vs blind obedience
Interest - get benefit for following orders or punishment for not following => rational.
Blind - when authority has no power, but people still obey => NEVER rational