equity

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Should I Stay or Should I Go Theories of Equity and Investment

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Transcript of equity

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Should I Stay or Should I Go

Theories of Equity and Investment

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How do you know when you are ready for marriage?

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How do you know when you are ready to break up?

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RewardsCosts

Comparison LevelEquity

Satisfaction

Investments

Alternatives

Commitment

Pro-relational Behaviors

Stability

Relational Model of Investment

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Perception of Equity vs.

Actual Equity

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1. Emotional How the relationship makes you feel.

2. Social How fun the relationship is.3. Instrumental How useful the

relationship is.4. Opportunity What you are able to do

(or not do) because of the relationship.

Rewards & Costs

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Comparison Level

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EquityRewards / Costs

=Rewards / Costs

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What problems would an “Equity” perspective

create?

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RewardsCosts

Comparison LevelEquity

Satisfaction

Investments

Alternatives

Commitment

Pro-relational Behaviors

Stability

Relational Model of Investment

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1. Intrinsic Investment the amount of time or emotional effort put toward the relationship.

2. Extrinsic Investment the amount of tangible contributions toward the relationship.

3. Alternatives What other options do I Have?

Other Factors

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RewardsCosts

Comparison LevelEquity

Satisfaction

Investments

Alternatives

Commitment

Pro-relational Behaviors

Stability

Relational Model of Investment

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Commit to the Relationship

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Accommodation

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Derogate Alternatives

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RewardsCosts

Comparison LevelEquity

Satisfaction

Investments

Alternatives

Commitment

Pro-relational Behaviors

Stability

Relational Model of Investment

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How to Reduce Inequity1. Restore Actual Equity make an effort to

balance the relationship2. Restore Psychological Equity reframe

the relationship to make it seem more equitable

3. End the relationship

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