ELI5: Explain Like I'm 5

Equity theory

Have you ever had a friend who had a few toys but wouldn't let you play with any of them? How did you feel about that? You might have felt like it wasn't fair because you didn't have any toys to play with, or you might have felt like it wasn't fair because your friend had more toys than you but wouldn't share them.

This is what equity theory is all about. It's the idea that people are always trying to make sure they're being treated fairly. They look at how much they're putting into a situation (like playing with toys) and how much they're getting out of it. If they're putting in a lot of effort but not getting much in return, they might feel like something isn't quite right.

For example, have you ever been given the same amount of dessert as your brother or sister, even though you helped Mom make it and your sibling did nothing? You might feel like it's not fair that you helped but didn't get any extra dessert. This is a good example of equity theory at work.

People want to feel like they're being treated fairly, and they also want to feel like they're able to treat others fairly too. If one person is doing all the work while the other person is reaping all the benefits, it can create tension and resentment. Likewise, if one person is doing very little while the other person is doing a lot, it's not fair to the hardworking person.

So, equity theory is all about making sure that everyone is getting what they deserve. It's about making sure that there's a balance between how much people are putting into a situation and how much they're getting out of it. When everyone feels like they're being treated fairly, everyone is happier!