Table Of ContentResource Management
for Individuals and Families
Fourth Edition
Elizabeth B.Goldsmith
Prentice Hall
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Library of Congress Cataloging-in-Publication Data
Goldsmith, Elizabeth B.
Resource management for individuals and families / Elizabeth Goldsmith. —4th ed.
p. cm.
Includes bibliographical references and index.
ISBN-13: 978-0-13-500130-1 (alk. paper)
ISBN-10: 0-13-500130-7 (alk. paper)
1. Life skills. 2. Lifestyles. 3. Resource allocation. 4. Stress management.
5. Time management. 6. Work and family. I. Title.
HQ2037.G65 2010
646.7—dc22
2009033188
10 9 8 7 6 5 4 3 2 1
ISBN 13: 978-0-13-500130-1
ISBN 10: 0-13-500130-7
Contents
Preface viii
PART I MANAGEMENT TODAY
Chapter 1 Management Today 1
What is Family Resource Management? 1
Management as a Process 5 • Successful Plans: Putting
Management into Action 8 • Why Manage? 9
Who Manages? 10 • Influences on Management Styles 10
Interdisciplinary Foundation 12
Life Management for Individuals and Families 15
Managing the Second Half of Life 16 • Singles, Households,
Nonfamily Households, and Families 17 • Changes in
Family and Household Composition 21
What Lies Ahead? 22
E-Resources 23 • Summary 23 • Key Terms 24
Review Questions 24 • References 24
Chapter 2 Management History and Theories 27
History of Management 28
The Early Years of Management 28 • Household
Production/Consumption System II: Modern (1950s) 35
Four Eras of Management 38
Theory Overview 41
Functions of Theory 41 • Theories Ahead 42
Systems Theory 42
Open and Closed Families 43 • Subsystems and System
Elements 44 • The Personal System 48 • Family
Systems Theory and Management 48 • Application of
Systems Theory to Households 50 • Human Ecology
and Ecosystems 51
Economic Theory 53
Optimization and Satisficing 53 • Risk Aversion 55
iii
iv Contents
E-Resources 57 • Summary 57 • Key Terms 58
Review Questions 59 • References 59
For Further Reading 60
PART II MANAGEMENT CONCEPTS AND PRINCIPLES
Chapter 3 Values, Attitudes, Goals, and Motivation 63
Values and Attitudes 66
Types of Values 69 • Values, Lifestyles, and
Consumption 72 • Societal and Cultural Values 73
Families, Values, Standards, and Households 74
Value Chains 76 • Attitudes 77
Goals and Motivation 78
Goals Versus Habits 79 • Goal Attributes 79
Types of Goals 80 • Setting Goals 81 • College
Students’ Values, Goals, and Life Outcomes 85
Motivation 88 • E-Resources 90 • Summary 90
Key Terms 91 • Review Questions 91
References 92
Chapter 4 Resources 95
Resources Defined 97
Types of Resources 99 • Resources and Economics 100
Resource Attributes and a Model 106 • Resource-
Advantage Theory 108 • Other Resource Allocation
Factors: Utility and Accessibility 110 • Decision Making
and Resources 111 • Knowledge, Education, and Health:
Vital Resources 111 • Cultural Perceptions of
Resources 111
Resources, Families, and Households 113
Consumption and Resources: China Moving Up in the
Ranks 114 • Resource Strategy 115 • E-Resources
115 • Summary 116 • Key Terms 117
Review Questions 117 • References 117
Chapter 5 Decision Making and Problem Solving 119
Decisions Defined 122
Decision Making as Part of Management 123 • Steps in
Decision Making 125 • Self-Doubt and Decision
Making 127 • Models, Rules, and Utility 127
Reference Groups 129 • Personal Decision Making 131
Family Decision Making, Including Division of Household Work 133
Consumer Decision Making in Families 137 • Getting out
of the House 139
Problem Solving 140
Definition, Analysis/Timing, and Plan of Action 141
Uncertainty, Risk, and Success 144 • The GO Model:
Visualization of a Problem-Solving Process 146
Contents v
E-Resources 146 • Summary 148 • Key Terms 149
Review Questions 149 • References 149
Chapter 6 Planning, Implementing, and Evaluating 151
What is Planning? 154
The Planning Process and Task 155 • Need Fulfillment 156
Time, Stress, and Planning 156 • Standard Setting 161
Scheduling, Sequencing, and Multitasking 162
Attributes of Plans 164 • Types of Plans 164
What is Implementing? 167
Actuating 168 • Checking and Controlling 168
What is Evaluating? 169
E-Resources 170 • Summary 170 • Key Terms 173
Review Questions 173 • References 174
Chapter 7 Communication 177
Communication as Part of the Management Process 179
Channels, Noise, and Setting 180 • Sending and
Receiving 182 • Listening 183 • Messages 185
Channels and Feedback 188
Communication Conflicts 189
In Families 190 • Cultures and Subcultures 194
Communication in Small Groups 197
Group Discussions and Cohesion 198
Information and Communication Technology 199
Information Overload and Habitual Decision Making 199
The Internet and the Human Capacity to Process
Information 200 • The Role of the Home and the
Individual 201 • E-Resources 202 • Summary 202
Key Terms 203 • Review Questions 203
References 204
PART III MANAGEMENT APPLICATIONS
Chapter 8 Managing Human Resources 207
Population Shifts: Measuring Human Resources 210
Population Terms and Trends 210 • Immigration 212
Population Age and Composition 212 • Households
and Families 213
The Nature of Change 214
Mobility 214 • Managing Change 215
Meeting Individual, Family, and Societal Needs 216
Two-Earner Families 216 • Child Care 218
Caregiving and the Elderly 221 • Adjusting to
Retirement 223 • The Homeless 225 • Individuals
with Disabilities 228 • Single-Parent and Blended
Families 229 • Poverty and Low-Income Families 231
vi Contents
E-Resources 233 • Summary 233 • Key Terms 234
Review Questions 234 • References 234
Chapter 9 Managing Time 237
Time as a Resource 241
Discretionary versus Nondiscretionary Time 242
Children and Time 243 • Adults and Time 244
Modern Tools of Time Management 246 • The ABC
Method of Time Control and Goals 247 • Time
Perceptions 249 • Perceptions of Time across
Cultures 251 • Biological Time Patterns 255
Quantitative and Qualitative Time Measures 255
Demands, Sequencing, and Standards 257
E-Resources 261 • Summary 261 • Key Terms 262
Review Questions 262 • References 262
Chapter 10 Managing Work and Family 265
Overview of Work and Family 268
Work and Family Conflicts 268 • Benefits of Work and
Spillover to Families 269 • Resolving Work and Family
Conflicts 270 • Social Support and Work and
Family 273 • Family-Supportive Workplace Policies 274
The Meaning of Work and Leisure 276
Feeling Overworked 277 • Work Ethic 278
Workaholism 279 • The Three Ps: Procrastination,
Parkinson’s Law, and Pareto’s Principle 280
Workforce Trends 281 • Home-Based Work
and Telecommuting 282 • Volunteer Work 284
Leisure 285 • E-Resources 287 • Summary 287
Key Terms 288 • Review Questions 288
References 288
Chapter 11 Managing Stress and Fatigue 293
Family Ecology Theory and Family Systems Theory 294
Stress Research 295
Crises and Adaptation to Stress 296 • Planning and
Organizing 299 • Outsourcing 300 • Decision
Making and Stress 302 • The Body’s Response to
Stress 304 • Diet, Exercise, and Stress 305
Stress Management 306
Type A and Type B Personalities 307 • Techniques for
Reducing Stress 308 • Job Stress 309 • Burnout 311
Stress and Nonevents 313 • Parents, Children, Stress,
Burnout 314 • College Students and Stress 316
Fatigue 318
The Body and Fatigue 319 • Systems Theory: Sleep,
Energy, and Fatigue 319 • E-Resources 324
Contents vii
Summary 324 • Key Terms 325 • Review
Questions 325 • References 325
Chapter 12 Managing Environmental Resources 329
The Ecosystem and Environmentalism 333
Problem Recognition 334 • Biological Diversity 336
Individual and Family Decision Making 337
Environmental Problems and Solutions 338
Water 338 • Energy 340 • Noise 346
Waste and Recycling 348 • Air Quality 349
E-Resources 352 • Summary 352 • Key Terms 353
Review Questions 353 • References 353
Chapter 13 Managing Finances 355
Financial Management and Security 358
Family Economics 359
The Business Cycle and Inflation 360 • Individuals
and Families as Producers and Consumers 362
Income, Taxes, Net Worth, Budgets, and Saving 363
Managing Credit and Debt 369 • Banking, Investments,
and Insurance 372 • Children, Expenses, and Financial
Literacy 374 • Saving for College 376 • College
Students, Starting out 377 • Retirement Planning 378
Financial Planning 382
Further Family Economic Issues 384
The Gender Gap, Earnings Gap, and the Glass Ceiling 384
Wealth and Poverty 384
E-Resources 386 • Summary 387 • Key Terms 387
Review Questions 388 • References 388
PART IV FUTURE CHALLENGES
Chapter 14 Looking Ahead 391
Technology 394
Household Innovations 395 • Adopting Innovations and
Applying Technology 397 • The 5S Management
Concept 398 • Information and Innovation
Overload 399
Family, Home, and Global Change 400
Quality of Life and Well-Being 401 • Multiculturalism 403
Environment and Consumption 404 • Health Care and
the Food Supply 405 • E-Resources 405
Summary 406 • Key Terms 406
Review Questions 406 • References 407
Glossary 408
Index 415
Preface
Only through focus can you do world-class things,
No matter how capable you are.
—Bill Gates
So much has happened since the last edition of this book, it is difficult to know
where to begin. The family economy has taken a hard hit, and worldwide families
are coping with restrained resources coupled with an increased consciousness
about the environment. All these and much more are addressed in this fourth
edition of Resource Management for Individuals and Families. The 21st century
presents challenges but also holds great promise. More than ever before, people
are interested in how they can navigate their daily lives within an increasingly
complex and fast-paced world.
One of the most significant changes in this edition is the attention it pays to
meeting the standards and criteria for the Certified Family Life Educator (CFLE)
designation of the National Council on Family Relations (NCFR). My thanks are
extended to NCFR for their continued recognition of how important it is to know
and apply management principles. In this edition, there are more cases, family
examples, and critical thinking exercises designed to engage students in their
search for insightful solutions.
I wrote this edition of Resource Management for Individuals and Families to
capture the challenge of managing today. The study of resource management is
relevant to an individual’s everyday life and provides insight into how others—
individuals and families—behave.
Visiting with instructors and students in Europe, Australia, Asia, Africa, Central
and South America, the United States, the Caribbean, and Canada, it is clear that
making better choices is a universal concern. Stress, fatigue, and time management
have no national boundaries.
Making choices—those made yesterday and those to be made today and
tomorrow—and how those choices affect people’s lives is a central theme in the
book. Sound decision making has never been easy, and it is becoming increasingly
difficult given the number of options and the amount of information available. This
edition introduces the “ostrich effect” which is the tendency to ignore information or
viii
Preface ix
situations and hope they will go away. Other concepts and definitions are added
regarding financial security, sustainability, and the greening of the home with atten-
tion paid to the ecological footprint. Happiness and well-being are explored in
new ways.
Thanks are extended to all who took the time to tell me how they are using the
book from Singapore to Finland. The latest census data and world population
statistics are included in this edition along with the newest technologies impacting
households. Individuals continue to search for the best ways to balance work and
family life. In recognition of this, more coverage is devoted to how everyone is
responding to change in the world of work as well as on the home front.
You will find theories and models such as value chains, the Resource Advantage
Theory, and the GO model in this edition. The GO model is a goal-oriented
problem-solving model that blends previous theoretical work in family science and
family economics. This book is a careful blend of research and practical applications,
history, present, and future.
In response to requests by instructors, the chapter on managing finances has been
expanded considerably to include the importance of FICO scores and credit. The
stress and fatigue chapter has been expanded to include more on the importance of
sleep and how to improve its quality. Researchers are finding more evidence of how
much sleep impacts our ability to reason and function effectively. The chapters on
managing human resources, the environment, and the future have been totally
revamped to reflect changes and current trends.
My Fulbright award to Trinidad and Tobago allowed me the privilege of teach-
ing family resource management to students attending the University of the West
Indies. Their insights coupled with those of my students at Florida State University
have enriched this edition. The students, reviewers, and instructors said time and
time again that they did not want the basic structure of the book (i.e., the chapter
flow from theory and history to application to future challenges) changed, but that
they did want expanded coverage on certain topics such as family structure and
globalization.
The most popular chapters with students are those on time, stress, and fatigue
management. Often this book is referred to as the time management book
because how you spend your time is reflective of everything else you manage and
value in life. In addition, students find the application-oriented chapters on work
and family, human resources management, the environment, and finances to be
extremely useful. Inclusion is a hallmark of each edition of Resource Management
for Individuals and Families. I recognize the choices one makes in personal life
within the greater context of family, friends, and the environment.
The first edition of this book set itself apart from others in its emphasis on the
management problems faced by singles and single parents as well as on those faced
by two-parent families. This approach is even more relevant today, as the number of
singles and single parents is increasing and the number of people per household con-
tinues to decrease. I also kept in coverage of changes in houses because homes affect
the quality of our lives.
Every effort is made to speak to a wide variety of students, capturing their inter-
ests and taking into account their concerns and perspectives. More has been added
on leadership and the challenges involved in managing the second half of life and
the retirement years.
