The document discusses rational choice theory, its key concepts, theorists, strengths, criticisms, and implications for individual decision-making. It emphasizes how individuals make choices by maximizing benefits and minimizing costs, while also noting the criticisms that arise from its limitations, such as the inability to explain altruism. Additionally, it concludes that despite criticisms, rational choice theory remains a prevalent model in decision-making processes due to its structured approach to addressing problems.

1. PRAYER

3. Objectives:
a)Analyze the concept of Rational Choice
Theory, its proponents and its strengths and
Criticisms;
b)Evaluate how an individual decides
between choices, both in economic and
sociological perspective by means of a
situation analysis and;
c)Appreciate how rational choices turn into
a gateway of a progressive society

4. Activity 1: Choice Mo!
Ipaglaban mo!
Mechanics:
1. Analyze the assigned situation
within your group.
2. Share your decisions and reasons
in front of the class.
3. Do it for 10 minutes.

5. Group 1
If there is an event of a snap election, who would you elect as Vice
President: Ma. Leonor Robredo or Ferdinand Marcos Jr.? Why?
Group 2
Your girlfriend/boyfriend is a member of the Iglesia ni Cristo which
requires its members to marry only their own constituents. Would you
change your religion? Why and why not?
Group 3
Given the current crime rate of the Philippines, would you reinstate
Capital Punishment? Why or why not?
Group 4
The population of the country has detrimental effects to economy.
Would you like the Supreme Court to lift its TRO on the RH law? Why
or why not?
Group 5
As a Catholic youth are you in favor of Divorce in the Country? Why
or why not?

6. RATIONAL CHOICE
THEORY

7. Rational Choice Theory
1. Key Concepts
- Definition (What is “Rational” and “Choice”)
- Assumptions and Individual Preferences
- Maximization of Benefits and Minimization of
Costs
- Role of Human Behavior and Conditioning

8. Rational Choice Theory
2. Theorists
- Gary Becker and his Contributions (Economics)
- George Homans and his Contributions
(Sociology)

12. Introduction
Rational choice theory is the view that people behave
as they do because they believe that performing their
chosen actions has more benefits than costs.
That is, people make rational choices based on their
goals, and those choices govern their behavior.
Some sociologists use rational choice theory to explain
social change. According to them, social change
occurs because individuals have made rational
choices.

13. Contd…
• For example, suppose many people begin to
conserve more energy, lowering thermostats and
driving less. An explanation for this social change
is that individual people have decided that
conserving energy will help them achieve their
goals (for example, save money and live more
healthfully) and cause little inconvenience.
• Critics argue people do not always act on the
basis of cost-benefit analyses.

14. Assumptions
• Humans are purposive and goal oriented.
• Humans have sets of hierarchically ordered
preferences, or utilities.
• In choosing lines of behavior, humans make rational
calculations with respect to:
• the utility of alternative lines of conduct with
reference to the preference hierarchy
• the costs of each alternative in terms of utilities
foregone
• the best way to maximize utility.

15. Contd…
• Emergent social phenomena -- social structures,
collective decisions, and collective behavior -- are
ultimately the result of rational choices made by utility-
maximizing individuals.
• Emergent social phenomena that arise from rational
choices constitute a set of parameters for subsequent
rational choices of individuals in the sense that they
determine:
• the distribution of resources among individuals
• the distribution of opportunities for various lines of
behavior
• the distribution and nature of norms and obligations
in a situation.

16. Contd…
• Attempts to explain all (conforming and deviant)
social phenomenon in terms of how self-
interested individuals make choices under the
influence of their preferences. It treats social
exchange as similar to economic exchange
where all parties try to maximize their advantage
or gain, and to minimize their disadvantage or
loss.

17. RCT's basic premises
1. Human beings base their behavior on
rational calculations,
2. They act with rationality when making
choices,
3. Their choices are aimed at optimization
of their pleasure or profit.
• RCT, however, cannot explain the
existence of certain social phenomenon
such as altruism, reciprocity, and trust, and
why individuals voluntarily join associations
and groups where collective and not
individual benefits are pursued.

18. STRENGTHS
• Comprehensive rationality holds great appeal as a model of
choice over other models. The
• Approach lays out a logical and deliberative framework for
planning practice marking one of its
• core strengths.(Hudson,1979). These include identifying a particular
problem, setting goals,
• articulating aims and objectives, predicting and projecting
outcomes, testing and implementing
• plans of action. (Alexander, 1986, Branch 1975) in Raine 2005. The
model also considers a wide
• range of alternatives and ensures that only the best plan of action
is chosen and implemented.

19. CRITISISM
• It is naive to assume a stable and widely
accepted values to structure goal setting.
• It is difficult to have each person agree on
common goals as each and every person
perceives issues differently and have different
interests. Incorporating all this differences
would pose a big challenge to the planners.
More over not everyone can, and should,
accept and adopt one form of universal
values and beliefs.

20. Contd…
• Human beings cannot comprehend everything nor can they
even fully comprehend one planning aspect.
• Concerning the need to develop alternative approaches, critics
censor comprehensive rationality. The nature of the problems and
the complexity of the environment would generate an
unmanageable number of alternatives to consider.
• It is important to note that all activities directed towards
allocation and reallocation of the scarce resources is essentially
political. Rational decision making model tend to ignore this
dimension of social planning.

21. CONCLUSION
• Despite the criticism levelled against rational comprehensive
approach to planning, the approach has taken root in most
countries as the paradigm of choice and is the most utilised
approach in decision –making. For it has the goal of maximising
efficiency by picking the best alternative based on specific
criteria and also provides a structured way to address a problem
and arrive at a solution.
• However in order to realise total success it is important to
incorporate political interactions and public participation in the
planning and decision making process.

22. REFERENCE
• Raine. M Approaches to participation in Urban Planning
Theories ,2005
http://0125.myteran.ir/portals/0102/documents/App
• Marios ,Camhis Planning Theory and Philosopy 1979 Tavistock
Publications Ltd,USA
• Barclay.M.Hudson Comparison of Current Planning Theories;
Counterparts and Contradictions 1979 Retrieved on 24th oct 2012
from
http://classweb.gmu.edu/erodger1/prls531/Hudson.pdf