36C:060
COMMUNICATION THEORY IN EVERYDAY LIFE
Dr. Randy Y. Hirokawa
Lecture 14: Social Exchange Theory
I. Introduction
A. Social Exchange Theory is anchored in the work of
George Casper Homans. It is based on a capitalist economic model:
it purports that the communication between people is a
"give-and-take" process; we enter into conversations with others with
an expectation of getting something out of it.
B. SET argues that people are interested in getting the most out
of their valuable resources (time, effort, money). We do not put time
and effort into communication relationships that we feel we are
getting little or nothing out of.
C. SET is based on the basic premise that people communicate with one another
in expectation of a profit from that interaction. (Profit = Reward - Cost)
1. Reward = positive or favorable outcome or
consequence
2. Cost = negative or unfavorable outcome or consequence
II. Propositions
A. The more often a particular action of a person is
rewarded, the more likely the person is to perform that action
(Principle of Reward).
B. If an individual's action has been rewarded in the past, then
the individual will enact the same action in circumstances similar to
the one in which the previous action was rewarded (Principle of
Experience).
C. The more a person values the result of an action, the more
likely s/he is to perform that action (Principle of Value of
Outcome).
D. The more often in the recent past a person has received a
particular reward, the less valuable any further unit of that reward
becomes (Principle of Diminishing Returns).
E. When an action does not produce an expected reward, or causes unexpected
punishment, a person will feel cheated and is likely engage in punitive actions;
when an action produces an unexpected reward, or when it does not produce
expected punishment, a person ingratiated or obligated and will likely engage
in approving behavior. (Principle of Distributive Justice)
F. In any decision situation, a person will choose that action for which,
as perceived by him/her at the time, the value of the result multiplied by
the probability of getting the result, is the greatest (Principle of
Rationality).
III. Application of SET to Relationships
A. SET has been used to explain why we choose to form relationships with
others, why we choose to remain in those relationships, and why we choose
to terminate them.
B. In all of those applications, SET relies on two crucial
concepts: an individual's Comparison Level (CL), and his/her
Comparison Level of Alternatives (CLalt).
1. One 's CL is the general standard (or benchmark)
for evaluating interaction outcomes -- anytime the perceived outcome
(REWARD - COSTS) is above our CL, we are relatively happy or
satisfied with the outcome; anytime the perceived outcome is below
our CL, we are relatively unhappy or dissatisfied with the outcome.
2. One's CLalt is the best outcomes available outside of our
current relationship or situation. As more attractive outside
possibilities become available, and existing outcomes slide below our
CL, instability and change increase.
C. Ceritus Paribus (all other things being equal), the
greater an individual's satisfaction with his/her current
relationship (i.e., the more perceived outcomes exceed the CL), the
less likely s/he is to leave the relationship.
D. Regardless of the degree of relational satisfaction, an individual will
choose to remain in a relationship if the perceived outcome of the current
relationship EXCEEDS the perceived outcomes of the alternative relationship.
E. In relationships characterized by dissatisfaction, an individual will
choose to leave a relationship, and enter into a new relationship, if the
perceived outcomes of the current relationship is LESS than the perceived
outcomes of the new relationship.
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