Equity theory

• Equity Theory is an economic explanation of relationships, focusing on how fairness affects relationship satisfaction.

  • It was developed by Walster et al. (1978) as an extension of Social Exchange Theory (SET) but argues that it is perceived fairness rather than just rewards and costs that determine relationship success.
• What does equity refer to in relationships?

  Refers to fairness, where both partners feel that the ratio of their inputs (efforts, contributions) to outcomes (rewards, benefits) is balanced.
• How does equality differ from equity in relationships?

  Equality means the same amount of rewards and costs, regardless of individual contributions
• What is the concept of profit in relationships according to Walster et al. (1978)?

  • Both partners' profit levels (rewards minus costs) should be roughly the same
  • Ratio of rewards to costs should feel fair, rather than equal rewards and costs
• What does it mean to be underbenefitted in a relationship?

  This occurs when a person feels they are putting more into the relationship than they are getting out of it.
• What feelings might an underbenefitted partner experience?

  Dissatisfaction, anger, and resentment
• What does it mean to be overbenefitted in a relationship?

  This happens when a person feels they are receiving more rewards than they are contributing.
• What feelings might an overbenefitted partner experience?

  Guilt, discomfort, and shame
• How does perceived inequity impact relationship satisfaction?

  Greater perceived inequity leads to greater dissatisfaction
• Who is likely to feel the most dissatisfaction in a relationship?

  The underbenefitted partner
• What are the behavioural responses to inequity in relationships?

  • Underbenefitted partner may work harder
  • Negotiating changes in tasks or rewards to achieve a fairer balance.
  • Aiming to restore equity in the relationship
• What are the cognitive responses to inequity in relationships?

  • Adjusting perceptions to feel more equitable
  • Viewing certain costs as normal or acceptable
  • Accepting the status quo without changes
• What does Equity Theory emphasize in relationships?

  • Importance of perceived fairness in maintaining satisfying relationships
  • Success when contributions and rewards feel balanced, even if they are not equal.
• A strength of Equity Theory is that research supports its claim that fairness leads to satisfaction. Utne et al. (1984) found that couples who viewed their relationships as equitable were more satisfied than those who felt under- or overbenefitted. This suggests that perceived fairness is a key factor in maintaining relationship happiness, supporting Equity Theory’s predictions. Additionally, the study used real-life married couples, increasing its ecological validity.
• A limitation is that Equity Theory may not apply to all cultures. Research by Aumer-Ryan et al. (2007) compared couples in a collectivist culture with those in an individualist culture. They found that equity was more important in individualist cultures (e.g., the USA) but less relevant in collectivist cultures (e.g., China), where partners were more satisfied when they were overbenefitting (true for both men and women). This suggests that the theory is culturally biased and may not explain relationship satisfaction in non-Western societies, limiting its generalisability.
• Another weakness is that not all relationships prioritise equity. Huseman et al. (1987) identified that some people are benevolents (who are happy to give more than they receive) and entitleds (who feel comfortable overbenefitting). This contradicts Equity Theory, as it suggests that relationship satisfaction is not solely based on fairness but rather individual differences in expectations. As a result, Equity Theory may not apply to all romantic relationships, reducing its explanatory power.
• A further limitation is that equity may not be equally important in all relationships. Clark & Mills (2011) suggested that equity plays a larger role in friendships and casual relationships than in romantic relationships, where partners may focus more on commitment and emotional connection rather than tracking fairness. This suggests that Equity Theory is limited as it may not fully explain long-term relationships, such as marriages.