Rational Choice Theory

In rational choice theory, people are seen as rational beings that make rational decisions and behave in rational ways. This theory is mostly a micro-level analysis. It focuses on the individual and includes psychological, biological, and sociological aspects. One type of rational choice theory is exchange theory. Exchange theory states several basic assumptions. The first is that people seek to advance their own self-interests. The second assumption is that people are rational beings. The third is that people are aware that their behaviors create certain results. The final assumption is that people are constantly evaluating behavior against results. Stated in this theory, everyone is selfish; there is no generosity. People give charity for the recognition and people are kind to each other to receive kindness. People want to attain social acceptance, status, prestige, power, and wealth. The ways of obtaining these, as according to exchange theory, is through equal and unequal exchanges.

Several theorists came up with their own form of rational choice theory. Some of these theorists include George C. Homans, Michael Hechter, Richard M. Emerson, James S. Coleman, and Peter M. Blau. Each of these added to the original form of rational choice theory. The roots of rational choice theory, however, come from Georg Simmel who stated that whenever an exchange takes place, everyone wins something. Many of the decisions I make are based on rational decisions. Everyday people make decisions based on what will be gained or lost in a situation. Whether it is a tangible thing or an intangible thing, i.e., love, sympathy, social acceptance, time, self-esteem, etc., people make delicate choices when deciding to give these away. No one wants to loose more than what they receive, including myself. I came to SUNY Stony Brook because I would better my life. I made the decision to come to this particular school based on the prestigious reputation of the school and because Stony Brook satisfied several of my desires. In coming to this school, I exchanged my time, energy, and my self-esteem. I agreed to be less powerful to the people in my new environment in order to obtain a prestigious title. Stony Brook chose to allow me to attend this school because my grades were admirable and my family had a means of paying the tuition. If the exchange between the school and myself was unequal, my decision would, most likely, have been different and/or I would not have been accepted.

The relationship between myself and my coach, I believe, is based on equal exchange. He offers me work ethic, wisdom, and full tuition. I, as an athlete, offer him prestige and team leadership. Without this exchange, there would be no relationship. I would have never known him as anything more than a person without having these assets to exchange.

As exchange theory suggests, people enter into relationships when each participant has something to offer of value. This is true in the case of my own personal relationship, as with many others. My boyfriend and I share a special bond. However, one wonders if this bond could have been shared without some form of equal exchange. If he, as a man, had no job and thus had no money to support a family in the future, would I have accepted his relationship proposal? And if I, as a woman, was unattractive and could bare no children, would he have offered that proposal? One could only assume, but I believe that we would not be together if that were the case.

I do not believe that equal exchanges are the only forces that propel us. Biology must also play a role. We, as reproductive beings, have the need to procreate. Without a desire to have some form of a relationship with the opposite sex, our society and species would be in danger. Since we live in a complex society, it is almost demanded that we have some form of intense relationship with those that harbor our children. The relationships that we choose may be dependant on exchanges, but the basic need for a relationship is present.

As you can see, rational choice theory plays an integral part in society. Because people are rational, it is proper to assume that they would make rational decisions. These decisions, according to exchange theory, are based on both equal and unequal exchanges. Relationships, from marriages to business relations, occur because of an exchange of desired aspects. I believe that these exchanges, along with biological tendencies, help define relationships of all kinds.

-Jackie Berman