This paper proposes a theory of occupational choice derived from the tenets of economic decision‐making. It asserts that the determinants of occupational choice are: (a) the chooser's occupational utility functions (preference system); (b) the resources or inputs at the disposal of the individual; and (c) the anticipated consequences of employing given resources in various occupations with differing potential for gratification. The strategy employed in the resolution of choice is maximization of net gain. The concept of substitutability of occupational utility functions is introduced, and the genesis of utility is discussed.

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