LMX and welfare trade-off ratios: An evolutionary perspective on leader-member relations

Abstract

A growing stream of theory and research in evolutionary psychology proposes that people mentally represent dyadic relationships through an internal regulatory variable, the “Welfare Tradeoff Ratio.” I introduce welfare tradeoff theory and indicate how it speaks to the problematic distinction between social exchanges and relationship quality in Leader-Member Exchange (LMX) theory and research. I then address issues related to leader-member agreement, LMX development, upward impression management, emotions in leader-member relationships and LMX differentiation from the perspective of welfare tradeoffs. Implications and consideration of measurement also are discussed.