The Clan and the City: Sustaining Cooperation in China and Europe
AbstractOver the last millennium, the clan and the city have been the locus of cooperation in China and Europe respectively. This paper examines - analytically, historically,and empirically - the cultural, social, and institutional co-evolution that led to this bifurcation. We highlight that groups with which individuals identify are basic units of cooperation. Such groups impact institutional development because intra-group moral commitment reduces enforcement cost implying a comparative advantage in pursuing collective actions. Moral groups perpetuate due to positive feedbacks between morality, institutions, and the implied pattern of cooperation.
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Bibliographic InfoPaper provided by IGIER (Innocenzo Gasparini Institute for Economic Research), Bocconi University in its series Working Papers with number 445.
Date of creation: 2012
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Other versions of this item:
- Greif, Avner & Tabellini, Guido, 2012. "The Clan and the City: Sustaining Cooperation in China and Europe," CEPR Discussion Papers 9072, C.E.P.R. Discussion Papers.
- N00 - Economic History - - General - - - General
- O10 - Economic Development, Technological Change, and Growth - - Economic Development - - - General
- O50 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - General
- P51 - Economic Systems - - Comparative Economic Systems - - - Comparative Analysis of Economic Systems
- Z10 - Other Special Topics - - Cultural Economics - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-07-23 (All new papers)
- NEP-MIC-2012-07-23 (Microeconomics)
- NEP-SOC-2012-07-23 (Social Norms & Social Capital)
- NEP-TRA-2012-07-23 (Transition Economics)
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