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Social capital in transition: a first look at the evidence

Author

Listed:
  • Martin Raiser

    (European Bank for Reconstruction and Development)

  • Christian Haerpfer

    (Institute of Higher Studies, University of Vienna)

  • Thomas Nowotny

    (University of Vienna and Austrian National Bank)

  • Claire Wallace

    (Institute of Higher Studies, University of Vienna)

Abstract

This paper provides what we believe to be the first collection of data on social capital in the transition countries of central/eastern Europe and of the former Soviet Union. Using data from the World Values Survey 1990 and 1995 we document the degree of trust and of civic participation and find that these indicators of social capital are significantly lower than in OECD countries (Organisation for Economic Cooperation and Development). The paper also provides a preliminary investigation of the link between social capital and growth during transition. Unlike in market economies, in transition countries trust is not positively related to growth; while participation in civic organisations shows a positive correlation. We also construct indicators of trust in public institutions and find positive correlations with growth rates. The positive association of civic participation with growth is robust to the use of instrumental variable techniques to control for potential problems of endogeneity.

Suggested Citation

  • Martin Raiser & Christian Haerpfer & Thomas Nowotny & Claire Wallace, 2001. "Social capital in transition: a first look at the evidence," Working Papers 61, European Bank for Reconstruction and Development, Office of the Chief Economist.
    • Handle: RePEc:ebd:wpaper:61
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    File URL: http://www.ebrd.com/downloads/research/economics/workingpapers/wp0061.pdf
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    Citations

    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. Resultados sociales de la educación (II): Participación en actividades sociales (Education at a glance 2012)
      by Marta in Capital social (confianza, redes y normas), Felicidad y Emprendimiento on 2012-09-27 14:10:08

    Citations

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    Cited by:

    1. Ees, Hans van & Bachmann, Reinhard, 2003. "Transition economics and trust building : a network perspective on E.U. enlargement," Research Report 03G06, University of Groningen, Research Institute SOM (Systems, Organisations and Management).

    More about this item

    Keywords

    Social capital; civic participation; transition;
    All these keywords.

    JEL classification:

    • P30 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - General
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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