Comparison Level: Costs and rewards

We use a comparison level as a reference point to assess whether our current situation (relationship or interaction) is better or worse than their expectations.

This happens in our minds all the time. Social exchange theorista helps us understand that individuals engage in social interactions and relationships by weighing the costs and rewards associated with those interactions.

Costs are the negative aspects or sacrifices, while rewards are the positive outcomes or benefits.

Examples:

We invest or not invest.

We choose to marry lady A or not

We grab a job or decide not to...

If outcomes surpass our comparison level, we are more likely to be satisfied.

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