1994

key concepts in rational choice

theory
(Ian Shapiro and Donald Green)
 -utility maximization
-structure of preferrences
-decision making under
condition of uncertainty
-centrality of individuals in the
explanation of collective
outcomes
 Utility maximization
Patterns of behavior in societies
wherein the choices made by
indivoduals are governed by the
maximization of benefits and
minimization of coss.
 Structure of preferrences
The idea that a people are motivated by their
personal desires and aspiration but since it is
not possible for them to attain all of the
thing that they want, they must make
choices related to those things.
 Homans
-human behavior is identical with animal
behavior in that both are free but
determined.

Conditioning
-the determining factor in human behavior is
reinforcement through rewards and
punishments .
 Decision making under conditions of
uncertainty
-means that each individual takes full advantage
of the likely worth off his own payoff.
-In rational choice it takes places under
condition of uncertainty.
Homans
-No exchange continues unless both parties are
making a profit. It assumed that all actions is
essentially rational.
 Centrality of individuals in the
explanation ofgroup outcomes

-Means that rational choice therists believe

that it is by referrence to the maximizing
actions of individuals that group outcomes
must be explained.
In general , rational choice assumes
that its models apply equally to all
people, that the choices,rules l, and
liking are constant over time and
taking among people. Rationality is
therefore, homogenous.
 Thank you
for
listening!!!!