Social Exchange Theory: The Basic Principles Of Social Exchange Theory

Each person is a social being and is aware of the environment that they live in. People learn from their experiences as well as from observing others. When children learn about their environment first hand or by observing another, negative and positive behaviors are reinforcement. If a child does a behavior and receives a reward for that behavior, the rewarded behavior is reinforced. Similarly, when someone witnesses negative consequences based on their behavior, they tend to modify that behavior (Schmied & Tully, 2009, p. 9).

The different types of agency relationships are principal-agent relationships, employer-employee relationships and employer-independent contractor relationships.

When there is an agent employee to an employer relationship, obedience and loyalty are to be given to the employer almost fully, if anything completely. For example, when I go to apply for a job and upon signing a contract, the employer will only hire me, if I decide to give them complete

* Some people who work for businesses or other types of organizations have the capacity to bind the organizations to contracts.

The social exchange theory controls our behavior as well as the reinforcement for our actions because before we act in most circumstances, we will weigh the rewards and costs of the behaviors. The behavior that we use is the one believed to produce the highest reward and the lowest cost. What we may perceive to be acceptable or unacceptable in the relationship is our comparison level that we weigh the rewards and costs against. The comparison level of alternatives is when we weigh the rewards and costs relative to the perceived alternatives. People also have a comparison level for the alternative relationships. With a high comparison level, we may believe the world is full of lovely people just waiting to meet us. When this level is low, we may stay in a high-cost relationship simply because we believe we could not find any better elsewhere. Molm (1991) shows that in recent research on individual judgments losses have a greater effect on people then gains.

Ingmar asks Jessie to contract with Jessie’s high school classmates to babysit Ingmar’s new baby. Jessie orally agrees to do so. This is

Though one may favor exchange processes that conclude with a social association that values the idea of equality, however Blau states that exchange processes can “give rise to differentiation of power” (Blau 1964: 114), which results with relation to superordination and subordination. Blau explains this disequilibrium as a result of needs for resources from unlike partners and efforts among equals to gain advantages over the other (Blau 1964: 114). Relating to intrinsic rewards, if one counterpart gains a reward from the exchange, the other counterpart expects repayment in the form of future wards – hence the principle of reciprocity (Blau 1964: 121). Reciprocity between unlike counterparts creates this sense of imbalance

Classical conditioning is often associated with physiologist Ivan Pavlov’s experiment with the salivating dog (Hutchinson, 2015). This experiment focused on conditioning the dog to associate food with the bell while salivating, and eventually salivates when the bell is rung even without the presence of food. Operant conditioning theory is changed behavior as the result of a reinforcement (Hutchinson, 2015). In our society, we associate positive reinforcements with compliments, smiles, high-fives in order to encourage a behavior more. Negative reinforcement involves jail, detention, and grounding, and this is to stop a behavior from continuing. A cognitive social learning theory states that behavior can be learned through observations, beliefs, expectations, and imitation of others (Hutchinson, 2015). A major difference between cognitive social learning theory and the others, is a lack of manipulation to encourage the individual to follow through with a behavior. Rather, cognitive social learning theories suggest that a change in thinking can ultimately result in a change in behavior (Hutchinson, 2015).

Social exchange theory includes the following concepts: success, stimulus, value, deprivation, satiation, aggression, and approval. Homans defined each of these concepts explicitly in his book and various articles. The success concept which he defines is the principle of reward. (Homans, 1983, p. 33) While stimulus is defined when a stimulus presents itself and it resembles a previously rewarded activity, that individual is likely to repeat that action again. (Homans, 1950, Chapter 4) Homans defined value as a system of rewards and punishments. (Homans, 1983, p. 32) Deprivation and satiation was defined as the more often a reward has recently been received, the less valuable further rewards become. And if forced for a long time to go without a certain reward, an individual will lose interest and move on. (Homans, 1983, p. 33) Lastly, aggression and approval falls under the principle of distributive justice. When behavior does not receive the expected reward the response is anger. Yet, when the individual receives a greater reward than what is expected or does not receive punishment he will be pleased. (Homans, 1950, Chapter 4).

Two prominent researchers, B.F. Skinner and Albert Bandura, have developed theories which provide differing perspectives and explanations regarding the learning behavior of individuals. The purpose of this writing is to explore the theoretical perspectives of Operant Conditioning Theory developed by B.F. Skinner and Social Learning Theory developed by Albert Bandura. An overview of both theories is presented, followed by a discussion of their similarities and differences.

In everyday interactions people are always looking to have a positive experience among those with whom they interact. According to the Social Exchange theory, with each interaction an individual has with another, that individual attempts to maximize the positive outcomes and minimize the negative. The purpose of this paper is to apply the Social Exchange theory to an authentic real life situation to best illustrate the theory and the key concepts that it holds. In applying the social exchange theory from demonstration, to application, to then explanation, a better understanding in

The Social Exchange theory proposes that we make decisions with the goal to maximize benefits and minimize costs (Newman, 2009, p.64). The choices we make require social approval and self-sufficiency. A family will make sacrifices if they perceive the action will equal rewards. Basically the theory refers to a give and take relationship where there needs to be balance for the relationship to be satisfying.

Social Exchange Theory – Social behavior exchange theory is an exchange between parties as a representative of consent and status (Homans, 1958, p.

Akers and Sellers (2013) has stated that social learning theory is an expanded theory of differential association processes and improves it with differential reinforcement and other principles of the behavior theory. They added classical conditioning (the sharpening of involuntary reflex behavior); discriminative stimuli (internal stimuli that lead to signals for behavior); schedules of reinforcement (rewards and punishment ratio following behavioral feedback); and other theories of behavior (Akers & Sellers, 2013).

Skinner was a behaviorist who wanted to provide a method for understanding human behavior, thoughts, and emotions. Skinner believed that classical conditioning was to simplistic to be a complete explanation of the complex human behavior. Skinner believed the best way to understand any behavior is to look directly at the causes of an action and its consequences. He defined this approach as operant conditioning. Operant conditioning is defined as “ the idea that behavior is determined by its consequences, be they reinforcements or punishments, which make it more or less likely that the behavior will occur again” (B. F. Skinner, 2011). The behavioral model observes human behavior as a practical and useful response. This model acknowledges that every behavior has a purpose and has advanced from the earlier stages of a person's understanding. Skinner created a way to allow individuals the ability to avoid negative behaviors. His theory uses positive and negative reinforcements while covering affective punishments to make sure a student's bad behavior does not turn into a pattern. According to our textbook, “one defining characteristic of the behavioral model is that it views behavior from a functional perspective in terms that are both measurable and observable (Wheeler, 2014,p.17).”