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Foundations of Social Theory.pdf
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Contents
Preface
1. Metatheory: Explanation in Social Science
Explanation of the Behavior of Social Systems 2
Components of the Theory 11
Conceptions of the Relations between Micro and Macro
Levels 21
Part I / Elementary Actions and Relations
2. Actors and Resources, Interest and Control
The Elements 28
Structures of Action 34
Social Exchange 37
Simple and Complex Relations 43
3. Rights to Act
What Are Rights? 49
How the Free-Rider Problem Is Reduced for Rights 53
How Does New Information Bring About a Change in the
Allocation of Rights? 54
How Does a Right Change Hands? 57
Who Are the Relevant Others? 58
How Are Rights Partitioned, and How Might They Be? 59
4. Authority Relations
The Right to Control One’s Own Actions 67
Vesting of Authority 69
Conjoint and Disjoint Authority Relations 72
Transfer of One Right or Two: Simple and Complex Authority
Relations 81
Limitations on Authority 82
Slavery 86
Authority without Intentional Exercise 885. Relations of Trust 91
The Placement of Trust 97
Actions of the Trustee 108
Multiple Trustors and Public-Goods Problems 115
Part II / Structures of Action
6. Systems of Social Exchange 119
What Is Money? 119
Media of Exchange in Social and Political Systems 124
Exchanges within Systems 131
7. From Authority Relations to Authority Systems 145
The Law of Agency 146
Sympathy and Identification: Affine Agents 157
Simple and Complex Authority Structures 162
The Internal Morality of an Authority System 172
8. Systems of Trust and Their Dynamic Properties 175
Mutual Trust 177
Intermediaries in Trust 180
Third-Party Trust 186
Large Systems Involving Trust 188
9. Collective Behavior 197
General Properties of Collective Behavior 198
Escape Panics 203
Bank and Stock Market Panics 215
Acquisitive Crazes 218
Contagious Beliefs 219
Hostile and Expressive Crowds 220
Fads and Fashions 230
Influence Processes in Purchasing Decisions, Voting, and
Public Opinion 237
Specific Predictions about Collective Behavior 239
10. The Demand for Effective Norms 241
Examples of Norms and Sanctions 245
Distinctions among Norms 246
The First Condition: Externalities of Actions and the Demand
for a Norm 249
What Constitutes Social Efficiency? 260
Systems of Norms 26511. The Realization of Effective Norms 266
An Action-Rights Bank 267
Social Relationships in Support of Sanctions 269
Free Riding and Zeal 273
Heroic versus Incremental Sanctioning 278
How Are Sanctions Applied in Society? 282
Emergence of Norms about Voting 289
Internalization of Norms 292
12. Social Capital 300
Human Capital and Social Capital 304
Forms of Social Capital 304
Relative Quantities of Social Capital 313
The Public-Good Aspect of Social Capital 315
The Creation, Maintenance, and Destruction
of Social Capital 318
Part III / Corporate Action
13. Constitutions and the Construction of Corporate Actors 325
Norms and Constitutions 325
Positive Social Theory 344
Change in a Disjoint Constitution: American High Schools 349
An Optimal Constitution 352
Who Are the Elementary Actors? 367
14. The Problem of Social Choice 371
Partitioning of Rights to Indivisible Goods 371
Constitutional Issues in Partitioning Rights to Control
Corporate Actions 374
Intellectual Puzzles concerning Social Choice 376
Emergent Processes and Institutions for Social Choice 381
Ethical Theory: How to Determine the Right Action 384
Executive Decision Making 387
Community Decision Making and Conflict 390
Characteristics of Noninstitutionalized Social Choice 394
15. From Individual Choice to Social Choice 397
The Problem of Independence from Irrelevant Alternatives 398
Tournaments as Institutions for Social Choice 403
Multi-Stage versus Single-Stage Processes for Social Choice 405
The Nature of Rights in Social Choice 41416. The Corporate Actor as a System of Action 421
Weberian Bureaucracy in Theory and Practice 422
The Formal Organization as a Specification of Transactions 425
Modes of Maintaining Viability in Formal Organizations 426
Explicit and Implicit Constitutions 435
Structures That Link Interest and Control 442
General Principles for Optimizing the Corporate Actor’s
Internal Structure 446
The Changing Conception of the Corporation 448
17. Rights and Corporate Actors 451
Allocation of Corporate Rights and the Public-Goods
Problem 451
Exercise and Exchange of Rights 452
The Drift of Power toward Actors Having Usage Rights 456
Withdrawal of Usage Rights through Voice and Exit 463
18. Revoking Authority 466
Theories of Revolution 468
Comparative Macrosocial Research: Inequality, Economic
Development, and Repressiveness 486
Ideology in Revolutions 487
A Theoretical Framework of Revolution 489
19. The Self 503
Problems Inherent in a Unitary Actor 504
Functional Components of the Self 507
The Dual Role of Interests 509
Processes of Change inside the Actor 515
Corporate Actors’ Changes in Self 527
Part IV / Modern Society
20. Natural Persons and the New Corporate Actors 531
Individual Sovereignty 531
Changing Conceptions of Sovereignty 532
Emergence of Corporate Actors in Social Organization
and Law 534
Examples of Interactions of Natural Persons and Corporate
Actors 542
Types of Interactions Involving Corporate Actors and
Persons 546
Displacement of Nature by Human Constructions 552
21. Responsibility of Corporate Actors 553
Responsible Actions of Natural Persons 556
Social Origins of Corporate Responsibility 558Internal Changes and Corporate Responsibility 560
Tax Laws and Social Norms 573
Free-Rider Problems for Corporate Responsibility 574
Corporate Responsibility in Sum 575
What Conception of the Corporation Is Best for Natural
Persons? 577
22. New Generations in the New Social Structure 579
The Conflict between the Family and the Corporation 579
Distribution of Income to Children in the New Social
Structure 587
Consequences of the New Social Structure for Social
Capital 590
The Direct Impact of the Two Social Structures on the Next
Generation 597
23. The Relation of Sociology to Social Action in the New
Social Structure 610
The Social Role of Social Theory 611
The World of Action and the World of the Discipline 615
The Structure of Society and the Nature of Applied
Social Research 616
Applied Social Research and the Theory of Action 626
What Should Applied Social Research Be Like? 645
What Research Is Missing? 647
24. The New Social Structure and the New Social Science 650
The Replacement of Primordial Social Capital 652
Independent Viability, Global Viability, and Distribution in
the New Social Structure 655
Modes of Organizing Action 658
Nation-States versus Multinational Corporations, or Voice
versus Exit 660
The New Social Science 663
Part V / The Mathematics of Social Action
25. The Linear System of Action 667
Two-Person Exchange System with Divisible Goods 670
Restrictions on the Utility Function 674
Beyond a Two-Person System of Action 680
The Competitive Equilibrium and the Linear S/sy .n of Action 681
Further Derivations and Use of the Model 687
Economic and Psychological Prope ties of the Utility Function 693
Open Systems 695
Appendix: An Iterative Method tor Solving for r or v Given
X and C 69826. Empirical Applications 701
Estimation of Value with Perfect-Market Assumptions 702
Estimation of Value When There Are Two Resources and
More Than Two Actors 703
Estimation of Value When There Are More Than Two
Resources 709
Arbitrary Zero Points for Resources 711
Sampling and the Importance of the Population and Resource
Distributions 715
Estimation of Interests 717
27. Extensions of the Theory 719
A Perfect Social System 719
Psychic Investment 721
Dependence of Events 722
Partitioned Systems of Action 725
Losses in Exchange between Actors and between
Resources 729
28. Trust in a Linear System of Action 747
Introducing Mistrust into a System 750
Lack of Complete Trust in Larger Systems 756
29. Power, the Micro-to-Macro Transition, and Interpersonal
Comparison of Utility 769
Interpersonal Comparison 769
Cardinal Utility 778
Power, through a Market and Otherwise 781
30. Externalities and Norms in a Linear System of Action 785
When Will Actions Having Externalities Be Taken? The Coase
Theorem Revisited 787
Externalities and Level of Affluence 796
What Is Meant by Efficiency? 799
The Rationality of Norms 800
31. Indivisible Events, Corporate Actors, and Collective
Decisions 829
When Will Control of Events Be Collectivized? 829
The Constitutional Stage 830
The Postconstitutional Stage 844
Social Choice by Various Decision Rules 856
Conflict 86932. Dynamics of the Linear System of Action 874
Exchange with Two Actors and Two Resources 875
Change in Resources Held by One Actor 878
Movement of a Resource among Actors 885
Logical Constraints on Transition Rates in Pairwise Exchange
Systems 887
A Description of the Path of Values: Walrasian Adjustment 889
Dynamics of Systems with Social-Structural Barriers 892
How Do Power of Actors and Values of Events Change? 895
33. Unstable and Transient Systems of Action 899
Single-Contingency and Double-Contingency Collective
Behavior 901
Transfer of Control in Single-Contingency Panics 903
Double-Contingency Panics 911
Evolution of Strategies 931
34. The Internal Structure of Actors 932
Event Outcomes as Actions of a Corporate
Actor 933
Corporate Outcomes and Public-Good Problems 937
The Value of Resources and the Interests of a Corporate
Actor 939
Subjective and Objective Interests of a Corporate Actor 941
The Internal Structure of Persons as Actors 946
References 951
Name Index 973
Subject Index 979
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