IDEAS home Printed from https://ideas.repec.org/a/bla/ajecsc/v38y1979i2p163-172.html
   My bibliography  Save this article

The Roles of Equilibrium, Optimality, Maximization and Discontent in Decision‐Making Processes

Author

Listed:
  • Oleg Zinam

Abstract

. The concept of equilibrium plays a pivotal role in the neoclassical maximization theory. Equilibrium, or balance of forces, is an ethically neutral term, while optimum is a position considered by the decision‐maker as the most desirable, according to some predetermined criteria of optimality. Disequilibrium can be defined as a divergence between the actual and the desired performance. Within this context, the optimum position is attained when the ideal and actual values of the crucial variables measuring performance coincide. Disequilibrium analysis can be expressed in terms of the theory of discontent. Socio‐economic change caused by human decisions and actions is always rooted in discontent, which leads to determination to act. This determination, or will, is one necessary condition for change. The other necessary condition is the use of power to close the discontent gap. The coincidence of power to act and will to use it is a sufficient condition for change. To what extent a new equilibrium balancing aspirations and attainments is established depends on the relationship between the rate of change in the level of aspiration and the rate of change in the level of attainment. The theory of discontent has a much broader application to economics which is elaborated.

Suggested Citation

  • Oleg Zinam, 1979. "The Roles of Equilibrium, Optimality, Maximization and Discontent in Decision‐Making Processes," American Journal of Economics and Sociology, Wiley Blackwell, vol. 38(2), pages 163-172, April.
  • Handle: RePEc:bla:ajecsc:v:38:y:1979:i:2:p:163-172
    DOI: 10.1111/j.1536-7150.1979.tb02876.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1536-7150.1979.tb02876.x
    Download Restriction: no

    File URL: https://libkey.io/10.1111/j.1536-7150.1979.tb02876.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:ajecsc:v:38:y:1979:i:2:p:163-172. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0002-9246 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.