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Formation of social capital in Central and Eastern Europe: Understanding the gap vis-à-vis developed countries

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Jan Fidrmuc ()
Klarita Gërxhani ()

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Abstract

Recent Eurobarometer survey data are used to document and explain the stock of social capital in 27 European countries. Social capital in Central and Eastern Europe – measured by civic participation and access to social networks – lags behind that in Western European countries. Using regression analysis of determinants of individual stock of social capital, we find that this gap persists when we account for individual characteristics and endowments of respondents but disappears completely after we control for aggregate measures of economic development and quality of institutions. Informal institutions such as prevalence of corruption appear particularly important.

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File URL: http://www.wdi.umich.edu/files/Publications/WorkingPapers/wp766.pdf
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Paper provided by William Davidson Institute at the University of Michigan Stephen M. Ross Business School in its series William Davidson Institute Working Papers Series with number wp766.

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Date of creation: 01 Apr 2005
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Handle: RePEc:wdi:papers:2005-766

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Keywords: social capital institutions capitalism transition

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Find related papers by JEL classification:
Z13 - Other Special Topics - - Cultural Economics - - - Social Norms and Social Capital; Social Networks Economic Anthropology
P37 - Economic Systems - - Socialist Institutions and Their Transitions - - - Legal
O57 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries
O17 - Economic Development, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements

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  1. repec:att:wimass:1920412 is not listed on IDEAS
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    Other versions:
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  13. Paldam, Martin & Svendsen, Gert Tinggaard, 2000. "An essay on social capital: looking for the fire behind the smoke," European Journal of Political Economy, Elsevier, vol. 16(2), pages 339-366, June. [Downloadable!] (restricted)
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