Question

how are equity theory and the psychologiabl contract connected ?

Answer 1

Equity theory explains the relational satisfaction. It focuses on determining whether the resouces are distributed fairly within interpersonal relationships.

Psychological contract refers to the relationship between an employer and its employees. It represents the mutual beleifs, perceptions and expectations and informal obligations between both employer and employee.

They are connected because both the theories revolve around satisfaction. When Equity theory talks about relational satisfaction, Psychological theory talks about the satisfaction between employer and employees.