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The Role of Social Capital in Economic Development. Investigating the Causal Nexus through Structural Equations Models

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Author Info

  • Fabio Sabatini

    (University of Rome La Sapienza, Department of Public Economics)

Abstract

This paper carries out an empirical assessment of the causal nexus connecting social capital’s diverse aspects to the “quality” of economic development in Italy. The analysis accounts for three main social capital dimensions (i.e. bonding, bridging and linking social capital) and measures them through synthetic indicators built by means of principal component analyses performed on a dataset including multiple variables. The quality of development is measured through human development and indicators of the state of health of urban ecosystems, public services, social protection, gender equality, and labour markets. The causal relationship between social capital’s and development’s different dimensions is then assessed through structural equations models. The analysis in this paper provides relevant a proof of Putnam’s claims on the positive role of civil society organizations in development processes.

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File URL: http://128.118.178.162/eps/dev/papers/0512/0512010.pdf
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Bibliographic Info

Paper provided by EconWPA in its series Development and Comp Systems with number 0512010.

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Length: 30 pages
Date of creation: 11 Dec 2005
Date of revision:
Handle: RePEc:wpa:wuwpdc:0512010

Note: Type of Document - pdf; pages: 30
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Web page: http://128.118.178.162

Related research

Keywords: Social capital; Social networks; Civil Society; Economic development; Social quality; Labour precariousness; Structural Equations Modelling;

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Cited by:
  1. Wolz, Axel & Fritzsch, Jana & Buchenrieder, Gertrud & Nedoborovskyy, Andriy, 2008. "Market Integration of Household Plots in Ukraine - The Impact of Social Capital," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 43842, European Association of Agricultural Economists.
  2. D'Angelo, Emanuela & Lilla, Marco, 2007. "Is there more than one linkage between Social Network and Inequality?," IRISS Working Paper Series 2007-12, IRISS at CEPS/INSTEAD.
  3. Fabio Sabatini, 2006. "The Empirics of Social Capital and Economic Development: A Critical Perspective," Working Papers 2006.15, Fondazione Eni Enrico Mattei.

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