Extending Contemporary Research on Social and Economic Exchanges

The objective of the project is to extend social exchange theory on two particular accounts. First, according to leader-member exchange (LMX) theory, leaders develop unique exchange relationships of varying quality with individual followers. These exchang e relationships are assumed to fall on a continuum from low-quality transactional-based relationships involving little more than what is stipulated in the employment contract, to more encompassing high-quality relationships involving the exchange of resou rces and support based on trust, mutual liking, and respect. In contrast, I propose that leader-member exchange relationships may be represented by both social leader-member exchange (SLMX) and economic leader-member exchange (ELMX) relationships. Accordi ngly, I view SLMX and ELMX as relationships with different qualities rather than different levels of quality. As an ELMX relationship differs from a low quality SLMX relationship and represents a different type of relationship, empirical research is neede d to learn more about the association between ELMX relationships and employee attitudes, motivation, and behaviors. Second, employees form social and economic exchange relationships with their employing organization. Consistent with the folk belief that ?people get what they deserve? and the norm of reciprocity, positive and beneficial actions directed at employees by the organization create conditions for employees to reciprocate in positive ways. Whereas most contemporary social exchange scholars rely exclusively on the norm of reciprocity to explain how exchange relationships lead to employee outcomes, I propose that intrinsic and extrinsic work motivation in part can explain how. By simultaneously investigating different motivational sources, my aim is to contribute to social exchange theory by way of a more comprehensive explanation of how social and economic exchange relationships affect the behavior and attitudes of employees.