ECN 340 Lecture Notes - Lecture 9: Demand Curve

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Chapter 9: Exploitation of Affection
Definition of Love:
In a loving relationship, one person is concerned about the welfare of the other
Each person in the relationship is both a donor of charitable expression (gifts) and a
recipient.
Each person realizes there is an unwritten social contract between the two: try to
make the other person happy.
The affection model:
Donor of a gift receives pleasure from giving to the recipient the less expensive the
gift the more often he/she will give recall he downward sloping demand curve.
Gifts can be in the form of money, a box of candy, simply listening to the other
person, or providing a sexual experience
Gifts are given until MC = MB
But there is a possibility of exploitation!
Romantic Relationships:
Defin: My happiness depends on the happiness of the person I love.
If I care about my wife, she can make me do things for her I ordinarily would not do
But if she asks for too much, I can drop her even if I still love her!
Women’s movement has in effect made is less likely
But note: The chances of a male/female leaving a relationship depends on the
expected probability of finding an alternative partner.
Example: In China, there are more men than women. Thus men less likely to “walk”
from a relationship. Women will have the upper hand in a marriage (i.e. more likely
to get what she wants.)
Sexual Exploitation:
An individual would like to give sex to his/her partner, but only up to a point he/she
feels comfortable.
Some may try to exploit the partner by asking “more” – if you love me you will go
ALL THE WAY.
If the man is one of many possible dates, the female may simply refuse and go on to
the next person.
A male or female will get “more” if they are “the only one”.
On the first date male realizes he is one of many. So he behaves.
If he behaves “the only one” he can then as for more
Remember that females can exploit males for their own end: “If you don’t go all the
way toy can’t have anything”!
Married man who want an “occasional relationship” can be exploited into giving
more unless he has a choice.
Sexual exploitation can occur if there are different level of sexual appetite between
two people.
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