Social exchange theory posits that individuals engage in social interactions in order to maximize their rewards and minimize their costs. Rewards can include tangible benefits such as money or resources, as well as intangible benefits such as social approval or emotional support. Costs can include time, effort, or emotional distress.

The basic unit of analysis in social exchange theory is the dyad, which is a relationship between two individuals. This is because social exchange theory focuses on the interactions between individuals and how they exchange rewards and costs with each other.

The three main types of social exchange relationships are instrumental, affective, and normative. Instrumental relationships are based on the exchange of tangible benefits, such as money or resources. Affective relationships are based on the exchange of emotional support and intimacy. Normative relationships are based on the exchange of social approval or disapproval.

Instrumental relationships are based on the exchange of tangible benefits, while affective relationships are based on the exchange of emotional support. Instrumental relationships are more common in the workplace, while affective relationships are more common in personal relationships. Instrumental relationships are more likely to be short-term, while affective relationships are more likely to be long-term.

Normative relationships are based on the exchange of social approval or disapproval, while instrumental relationships are based on the exchange of tangible benefits. Normative relationships are more common in traditional societies, while instrumental relationships are more common in modern societies. Normative relationships are more likely to be long-term, while instrumental relationships are more likely to be short-term.

The concept of reciprocity in social exchange theory is the idea that people should repay benefits they have received from others. This is because people are motivated to maintain positive relationships with others, and repaying benefits is a way to show appreciation and maintain goodwill.

Positive reciprocity is the repayment of benefits with benefits, while negative reciprocity is the repayment of benefits with costs. Positive reciprocity is more common in long-term relationships, while negative reciprocity is more common in short-term relationships. Positive reciprocity is more likely to lead to cooperation, while negative reciprocity is more likely to lead to conflict.

Social capital is the resources that individuals can access through their social networks, the ability of individuals to influence others, and the trust that individuals have in each other. Social capital is important for social exchange because it can help individuals to obtain benefits and avoid costs in social interactions.

The development of social capital is affected by a number of factors, including the size and density of social networks, the level of trust and reciprocity in a society, and the presence of shared norms and values.

Social capital can benefit individuals and society in a number of ways. It can help individuals to obtain jobs, loans, and other resources. It can help individuals to improve their health and well-being. It can help to reduce crime and violence.

There are a number of challenges to building social capital, including social inequality, discrimination, and lack of trust.

There are a number of ways to promote social capital, including investing in education and job training, promoting diversity and inclusion, and encouraging civic participation.

Social exchange theory explains the formation and maintenance of social networks by arguing that individuals are more likely to form and maintain relationships with others who provide them with rewards and minimize their costs, who are similar to them in terms of social status, values, and beliefs, and who are geographically close to them.

Social exchange theory explains the process of social influence by arguing that individuals are more likely to be influenced by others who have power over them, who are similar to them in terms of social status, values, and beliefs, and who are experts in a particular area.

Social exchange theory explains the process of social conflict by arguing that social conflict is caused by competition for scarce resources, differences in values and beliefs, and power imbalances.