“What Goes Around Comes Around”: On the Nature of Social Exchange

“What Goes Around Comes Around”: On the Nature of Social Exchange

Abstract

The social theory seeks to describe and conceptualize social dynamics. One of the central concepts that explain various sociological, psychological, and economic phenomena is social exchange. Various researchers concur that human relationships are built upon the exchange of goods and favors, which stands true at both micro and macro levels. Attraction toward a person or an object drives a person to prove their own attractiveness, which makes them enter a power dynamic in which they are dependent on the source. Power distribution is skewed toward people or entities whose survival and stability are not contingent on what others have to offer.

When deciding to submit to someone or something in the power position, a person has to conform with the social norms and legal obligations. The relationship proves to be beneficial only if the profit that a person reaps outweighs the cost they have to pay. People and entities are often torn between pursuing individual and collective interests that can be in conflict with each other. Ultimately, everyone seeks to gain a position in which their private interests would coincide with those of a group.

Introduction

Social theories can be defined as analytical frameworks or paradigms that are used to understand and interpret social phenomena. One of the central concepts at the intersection of sociology, psychology, and economics is that of social exchange. The social exchange has been conceptualized and studied by a great number of researchers. Yet, it is possible to provide a working definition, which is the interaction of two parties each of which conducts a cost-benefit analysis before taking action. This essay covers a wide range of concepts related to social exchange and shows how all existing power structures are based on humans exchanging goods and favors.

Social Behavior as Exchange

The exchange paradigm covers a number of theories that seek to explain the influence of social reward or punishment on a person’s behavior. Three approaches toward this association have been put forward: classical conditioning, operant conditioning, and social learning. In classical conditioning, a human or animal subject learns to associate two stimuli – one natural and one neutral – with a single response; behavior stays outside the concept. Operant conditioning goes further in explaining what compels people to change their voluntary behaviors (Charles). Lastly, social learning adds the idea that some of the norms are internalized through observation, without direct interaction (Charles). Simply put, a person tries to mimic the behavior of other people to blend in and be accepted by others.

Surely, when it comes to large groups of people, positive and negative reinforcements should be further differentiated to explain the complex nature of interpersonal relationships. A group of people is seen as cohesive when each of them finds being a member of it rewarding in one way or another (Calhoun et al. 101). Interestingly enough, there have been outlined two types of motivation that drive people to join a group – individual and collective. In the first case, a person might want to confirm and prolong their membership due to the pleasure that they derive from social activities. Concerning the latter, though, a person might seek social approval (“sentiment”).

The notion of social approval is tightly related to that of social norms, and based on the degree of a person’s commitment to follow them, researchers talk about conformity and deviation. As one may expect, the influence process treats conformists and deviants differently. The former are given more social options, which can be seen as a reward for their normative behavior. The latter, however, have shrinking options (negative reinforcement), which leaves them with two choices – to leave the group or show compliance.

The decision is made after a cost-benefit analysis, the underlying logic of which is whether the cost of making a particular choice is no greater than the potential profit (Calhoun et al. 102). When joining a group, a person has to contrast the value of social acceptance against their personal integrity that can be compromised if some of a person’s individual views are not in line with the group norm. Typically, a group that offers high rewards also requires making some kind of sacrifice.

This part of the concept stood out to me specifically since it described something I experienced myself. As Homans states, “a person stabilizes his behavior at the point where he is doing the best he can for himself under certain circumstances (Calhoun et al. 104).” This idea explains some decisions that people make t