Dependency Threshold Theory: When Convenience Becomes Economic Control
Description
Dependency Threshold Theory: When Convenience Becomes Economic Control examines when reliance on a useful service becomes so concentrated that a person can no longer realistically refuse its terms or leave. Herbert R. Sim identifies four conditions that mark this threshold: essentiality, concentration, high switching costs, and unilateral governance.
The article applies the theory to employment, digital platforms, commerce, and financial access, distinguishing loyalty earned through good service from dependence created by lock-in. It offers practical questions for assessing economic control and argues that convenient systems should remain reversible, challengeable, and surrounded by viable alternatives.