Does social capital create trust? Evidence from a community of entrepreneurs
AbstractWhich kind of social capital fosters the diffusion of development-oriented trust? This paper carries out an empirical investigation into the causal relationships connecting four types of social capital (i.e. bonding, bridging, linking, and corporate), and different forms of trust (knowledge-based trust, social trust, trust towards public services and political institutions), in a community of entrepreneurs located in the Italian industrial district of the Tuscia. Our results suggest that the main factors fostering the diffusion of social trust among entrepreneurs are the perception that the local community is a safe place, and the establishment of corporate ties through professional associations. Trust in people is positively and significantly correlated also to higher levels of satisfaction and confidence in public services. Participation in voluntary organizations does not appear to increase trust in people. Rather, we find evidence of the other way round: interpersonal trust seems to encourage civic engagement.
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Bibliographic InfoPaper provided by Associazione Italiana per la Cultura della Cooperazione e del Non Profit in its series AICCON Working Papers with number 58-2009.
Length: 27 pages
Date of creation: 12 Jan 2009
Date of revision:
Trust; Social capital; Safety; Professional associations; Entrepreneurship; Corporate ties; Group and Interpersonal Processes; Social Perception and Cognition;
Other versions of this item:
- Fabio Sabatini, 2009. "Does Social Capital Create Trust? Evidence from a Community of Entrepreneurs," Working Papers 2009.44, Fondazione Eni Enrico Mattei.
- Fabio Sabatini, 2009. "Does social capital create trust? Evidence from a community of entrepreneurs," Department of Economics University of Siena 552, Department of Economics, University of Siena.
- A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
- Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Social and Economic Stratification
This paper has been announced in the following NEP Reports:
- NEP-ALL-2009-02-22 (All new papers)
- NEP-ENT-2009-02-22 (Entrepreneurship)
- NEP-HRM-2009-02-22 (Human Capital & Human Resource Management)
- NEP-LTV-2009-02-22 (Unemployment, Inequality & Poverty)
- NEP-SOC-2009-02-22 (Social Norms & Social Capital)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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