Which statement about social exchange theory best aligns with Smith and Hamon's view?

• A. The assumption of maximizing profit ignores altruistic behavior.
• B. People must undergo costs in order to obtain rewards.
• C. Individuals vary in the value they place on specific objects, experiences, relationships, and positions.
• D. The notion that rewards should be proportional to costs and profits should be proportional to investments is distributive justice.

Answer: (C)

Social exchange theory hinges on how people evaluate rewards and costs, with the value of rewards being subjective. Smith and Hamon emphasize that individuals vary in the value they place on objects, experiences, relationships, and positions, meaning the same exchange can feel more or less valuable depending on personal preferences. This subjective valuation explains why different people respond differently to identical rewards and costs—one person may see a relationship as highly rewarding while another values it less, altering their willingness to invest or stay in the exchange. The other statements describe general features of exchange or concepts from other theories (like proportionality of rewards to costs or distributive justice) but don’t capture the specific idea that valuation is individually unique, which is central to Smith and Hamon’s view.