The Core Components Of The Social Exchange Theory

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.

Give and Take is a book written by Adam Grant to describe his view of economic drivers and motivations through the lens of his theory of Give and Take. Economics is the study of how people make choices under scarcity and the results of these choices for society and Mr. Grant asserts that success isn’t just achieved by those who take it; but the majority of success goes to individuals who are willing to look out for others at their potential detriment. According to Grant, the perception of givers are often taken advantage, his research indicates that givers make up a majority of those at the top of the success ladder, even though they are more likely to “sacrifice their own interests to benefit others. Give and Take compares to economic theories like scarcity, cost/benefit analysis, equilibrium, and opportunity costs. To better understand the principles of economics through the lens of Give and Take, one must understand the concepts of Grant’s Give and Take as a description of day to day operations as they relate to well established economic theories.

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

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).

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

In exchange theory, a human being’s behavior has been perceived as a logical decision where one tries to optimize benefits while minimizing cost or pain. According to different sociologists, when someone engages in a social interaction they tend to weigh the reaction of other people about what they are doing or saying and their behaviour will be dictated by the behaviour of others. This, somehow, is similar to what we are seeing in Canadian marriage where a man’s or woman’s involvement in marriage is determined by economic factors (Hou & Myles,

However, there are many kinds of social relationships and because of this, there are different types of commensality and each is important and offers significance in its own right.

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.

The researchers applied the social exchange theory by focusing on the cost and reward people get when taking care for an elderly person, because these caregivers experience positive and

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

Consulting Group. The three companies have the highest salaries. The companies are also sorted by diversity highest percentage of minorities, paid time off most days of general PTO, perks companies with most perks, and hiring/staffing highest number of a new job opening. George Homans's theory of exchange minimal costs and maximum rewards make a group more attractive to recruits or even to current members. (Losh, 2011 5:2) According to social exchange theory, all human relationships are formed by the use of a subjective cost-benefit analysis and the comparison of alternatives.

The ability to create relationships based solely on mutual understandings and shared common interests have fed the social

Mrs. Jackson and I have the type of relationship based on reciprocity. “Reciprocity, a social norm dictating that an action performed by one party requires a compensating movement by the other, is a cornerstone of cooperative exchange relationships. I think our relationship works so well because we are both very in tune with how we think relationships should be within the workplace.

The social exchange theory is a theory that claims people make relationship decisions by assessing and comparing the costs and reward. Rewards are the positive outcomes we receive by being in the relationship, including friendship and love, fun and laughter, money or favors, support and assistance, and confirmation of our value. Costs are the negative outcomes that reflect a loss, such as loss of time, loss of freedom, financial loss, denigration of our self-esteem, and even psychological or physical abuse. I would apply the social exchange theory in this case study that the reward is Gilbert being/maintaining the star athlete and the costs is Coach Johnsons' expectations and Gilbert's attitude.

To explain human relationships further, the social exchange theory can be another definite explanation to help distinguish how we feel to be with other people and how one perceives to be with them, either to rekindle their relationship or to question the decisions that make to be in a relationship (Kelley 1959). The social exchange theory can be defined as a term that allows behaviour to be exchanged to allow a relationship between two people to happen (Huston et al., 2013). An individual social life involves interactions between two people which can be viewed as social exchanges in terms of costs and benefits (Nakagawa et al., 2013). By taking the view of human relationships the social exchange theory argues that individuals engage in a cost benefit analysis which forms their relationship with others (Milkie et al., 2004). When the costs and benefits are equal in a relationship, it is defined as equitable (Siddiqui 2008). Moreover, romantic relationships may be difficult for some people as it involves interpersonal skills in order to make them mutually satisfying therefore requires constant maintenance. Recently, Psychologists have begun to look at the breakdown of relationships and the characteristics which requires them to fail. The breakdown of relationship is a theory which explains the failure of certain human relationships and the factors that may be involved such as lack