Question

You are trying to decide between two companies that want to hire you for the summer. Both are dull jobs: gluing wheels on toy trucks for a paycheck. Company Interval wants to hire you on a fixed interval schedule and Ratio Inc. wants to hire you on a fixed ratio schedule. First explain how you could get paid based on an FI versus an FR schedule. Second, what are the similarities and differences in the pattern of responding for the FI versus the FR schedule? Third, how would the rate of responding differ between the FI and the FR schedule (i.e. Which payment schedule would allow you to make more money in three months?) Explain why this rate of responding would differ.

Answer 1

The explanations are as follows

1. In an FI schedule the pay check will be received for a fixed interval of time no matter how many units you worked on, when it comes to FR schedule the payment will be based on the number of units you worked with the more units the more will be the pay and vice versa.
2. The similarity between these two is that you will get paid no matter which one you prefer and the difference is that there will be a lot of variance between the amount of pay you will get. It all depends on one's personal capacity to decide on which schedule to prefer.
3. The rate of responding differs like this, the amount of pay one can receive from FR schedule is unlimited but when it comes to FI schedule it is limited to the amount agreed upon. For a short term earnings preferring FR schedule will do good as we can earn with no limit depending on our ability.