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Social capital, economic growth and regional development

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  • Sriya Iyer
  • Michael Kitson
  • Bernard Toh

Abstract

Iyer S., Kitson M. and Toh B. (2005) Social capital, economic growth and regional development, Regional Studies 39 , 1015-1040. This paper examines the relationships between social capital, economic performance and regional development, and it stresses the complexity and variability across space of such relationships. In contrast to the conventional macroeconomic approach of using indicators of social capital in formal growth models, what is required is a more nuanced analysis that evaluates the impact of social capital by region. To support this argument, the paper examines social capital data from the Social Capital Community Benchmark Survey 2000, which provides social capital data for more than 24�000 individuals living in 40 communities, grouped into nine regions, in the USA. These data show remarkable diversity of social capital by region. Multivariate analysis is used to examine the impact of economic and social determinants of social capital and shows that education is important for nearly all indicators of social capital, and that ethnic diversity is associated with lower levels of social capital. Furthermore, analysis indicates the need to distinguish between local and non-local forms of social capital. The paper concludes by suggesting that future analysis of social capital will benefit from a more region-specific approach towards examining its development and impacts.

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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Regional Studies.

Volume (Year): 39 (2005)
Issue (Month): 8 ()
Pages: 1015-1040

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Handle: RePEc:taf:regstd:v:39:y:2005:i:8:p:1015-1040

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Related research

Keywords: Social capital; Regional growth; Ethnic diversity; USA; Valeur de l'interaction sociale; Croissance regionale; Diversite ethnique; Etats-Unis; Sozialkapital; regionales Wachstum; ethnische Vielfalt; USA; Capital social; Desarrollo regional; Diversidad etnica; Estados Unidos; JEL classifications: O51; R11; Z13;

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References

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  1. Beugelsdijk, S. & Schaik, A.B.T.M. van, 2005. "Differences in social capital between 54 western European regions," Open Access publications from Tilburg University urn:nbn:nl:ui:12-172427, Tilburg University.
  2. James M. Poterba, 1996. "Budget Institutions and Fiscal Policy in the U.S. States," NBER Working Papers 5449, National Bureau of Economic Research, Inc.
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  4. Ogilvie Sheilagh, 2005. "The Use and Abuse of Trust: Social Capital and its Deployment by Early Modern Guilds," Jahrbuch für Wirtschaftsgeschichte / Economic History Yearbook, De Gruyter, vol. 46(1), pages 15-52, June.
  5. Alesina, Alberto, et al, 2003. " Fractionalization," Journal of Economic Growth, Springer, vol. 8(2), pages 155-94, June.
  6. Alberto Alesina & Eliana La Ferrara, 2000. "Participation In Heterogeneous Communities," The Quarterly Journal of Economics, MIT Press, vol. 115(3), pages 847-904, August.
  7. Denise DiPasquale & Edward L. Glaeser, 1998. "Incentives and Social Capital: Are Homeowners Better Citizens?," NBER Working Papers 6363, National Bureau of Economic Research, Inc.
  8. Knack, Stephen, 2000. "Social capital and the quality of Government : evidence from the U.S. States," Policy Research Working Paper Series 2504, The World Bank.
  9. McFadden, Daniel L., 1984. "Econometric analysis of qualitative response models," Handbook of Econometrics, in: Z. Griliches† & M. D. Intriligator (ed.), Handbook of Econometrics, edition 1, volume 2, chapter 24, pages 1395-1457 Elsevier.
  10. Hans Westlund & Elin Nilsson, 2005. "Measuring enterprises' investments in social capital: A pilot study," Regional Studies, Taylor & Francis Journals, vol. 39(8), pages 1079-1094.
  11. Edward L. Glaeser & David Laibson & Bruce Sacerdote, 2002. "An Economic Approach to Social Capital," Economic Journal, Royal Economic Society, vol. 112(483), pages 437-458, November.
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Citations

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Cited by:
  1. Prasopchoke Mongsawad, 2010. "The Philosophy of Sufficiency Economy: a contribution to the theory of development," Asia-Pacific Development Journal, United Nations Economic and Social Commission for Asia and the Pacific (ESCAP), vol. 17(1), pages 123-143, June.
  2. Akçomak, I. Semih & ter Weel, Bas, 2009. "Social capital, innovation and growth: Evidence from Europe," European Economic Review, Elsevier, vol. 53(5), pages 544-567, July.
  3. Nikolaos Triantafyllopoulos, 2006. "Family and Landed Property Relations Regarded As a Social Capital," ERSA conference papers ersa06p587, European Regional Science Association.
  4. Paul Robson & Charles Akuetteh & Paul Westhead & Mike Wright, 2012. "Innovative opportunity pursuit, human capital and business ownership experience in an emerging region: evidence from Ghana," Small Business Economics, Springer, vol. 39(3), pages 603-625, October.
  5. Isabel Neira Gómez & Marta Portela, 2011. "Determinantes del capital social," Investigaciones de Economía de la Educación volume 6, in: Antonio Caparrós Ruiz (ed.), Investigaciones de Economía de la Educación 6, edition 1, volume 6, chapter 60, pages 986-1001 Asociación de Economía de la Educación.
  6. Schild, Christopher-Johannes, 2013. "Generalized trust and regional innovation activity," IWQW Discussion Paper Series 02/2012, Friedrich-Alexander-Universität Erlangen-Nürnberg, Institut für Wirtschaftspolitik und Quantitative Wirtschaftsforschung (IWQW).
  7. Isabel Neira & Emilia Vázquez & Marta Portela, 2009. "An Empirical Analysis of Social Capital and Economic Growth in Europe (1980–2000)," Social Indicators Research, Springer, vol. 92(1), pages 111-129, May.
  8. Edward Lorenz, 2012. "Social Capital and Enterprise Innovative Performance: A Multi-Level Analysis of Developing Nations," GREDEG Working Papers 2012-11, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), University of Nice Sophia Antipolis.
  9. Jieh-Jiuh Wang, 2013. "Post-disaster cross-nation mutual aid in natural hazards: case analysis from sociology of disaster and disaster politics perspectives," Natural Hazards, International Society for the Prevention and Mitigation of Natural Hazards, vol. 66(2), pages 413-438, March.
  10. Damiano, Fiorillo, 2008. "Offerta di Attivita' Gratuita in Italia: una analisi micro-econometrica," CELPE Discussion Papers 107, CELPE - Centre of Labour Economics and Economic Policy, University of Salerno, Italy.
  11. Yamamura, Eiji, 2008. "The role of social capital in homogeneous society: Review of recent researches in Japan," MPRA Paper 11385, University Library of Munich, Germany.
  12. Shideler, David W. & Kraybill, David S., 2009. "Social capital: An analysis of factors influencing investment," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 38(3), pages 443-455, June.

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