HRM/324T Total Compensation Practice Test 2026 – Complete Exam Prep

The correct answer is expectancy theory, which is rooted in the idea that individuals make decisions based on the expected outcomes of their actions. Expectancy theory suggests that people are motivated to act in certain ways based on the belief that such actions will lead to desired rewards. The law of unintended consequences can be seen as a manifestation of this theory, where an individual's actions aimed at achieving specific outcomes lead to unexpected results.

This concept emphasizes that while people may plan their efforts to reach anticipated goals, they may inadvertently create effects that were not intended, sometimes positive and other times negative. In organizational contexts, understanding this law helps managers recognize that initiatives designed to improve performance might not always produce the desired effects and can lead to unpredictable employee behavior.

The other theories listed do not directly relate to the law of unintended consequences in the same way. Behavioral theory focuses on observable behaviors and their responses rather than the intentions and expectations behind actions. Equity theory revolves around individual perceptions of fairness and balance in relationships, particularly in compensation and rewards, while Maslow’s hierarchy of needs presents a motivational framework based on fulfilling a series of human needs but does not directly address the outcomes of unanticipated consequences related to individual decisions.