Rational Choice Theory and Organizational Theory

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This book addresses a question central to organizational analysis: Given the well-established differences between rational choice and organizational theories, what are the limits of fruitful dialogue and collaboration between the two fields? Rational Choice Theory and Organizational Theory is written in response to the neoclassical economic rational choice theories and organizational economic theories which have emerged in the past decade. Rational choice theory exemplifies a highly abstract, deductive approach characterized by the development of models based on deliberately, rigidly simplified assumptions. In contrast, Mary Zey argues that the empirical validity of the structure of organizations is dependent on the political and economic factors in their environment, including capital and the state, as well as competing and cooperating organizations - an organizational analysis that tends to value description and explanation over prediction.