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Social capital and public goods

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  • Leonard, Tammy
  • Croson, Rachel T.A.
  • de Oliveira, Angela C.M.

Abstract

Previous literature suggests positive relationships between social capital, pro-social behavior and subsequent economic development. We analyze the relationship between social networks and trust (two measures of social capital) and self-reported charitable contributions of time and/or money (pro-social behavior) using data collected from two ethnically distinct, low-income neighborhoods. We find that large social networks are positively related to charitable contributions, but that the effects of trust are less robust. We also find that social networks that are more geographically dispersed tend to be larger. Our results indicate that the social capital in a neighborhood is more important than ethnicity, ethnic diversity, or other demographic information in understanding public goods contributions.

Suggested Citation

  • Leonard, Tammy & Croson, Rachel T.A. & de Oliveira, Angela C.M., 2010. "Social capital and public goods," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 39(4), pages 474-481, August.
    • Handle: RePEc:eee:soceco:v:39:y:2010:i:4:p:474-481
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    2. Ma, Xianlei & Heerink, Nico & van Ierlan, Ekko & Lang, Hairu & Shi, Xiaoping, 2015. "Impact of Tenure Security and Trust on Land Rental Market Development in Rural China," 2015 Conference, August 9-14, 2015, Milan, Italy 212219, International Association of Agricultural Economists.
    3. Chakraborti, Rik & Maloney, Matt & Roberts, Gavin & Shogren, Jason F., 2018. "Social capital and the voluntary provision of public goods," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 77(C), pages 196-208.
    4. Tu, Qin & Mol, Arthur P.J. & Zhang, Lei & Ruben, Ruerd, 2011. "How do trust and property security influence household contributions to public goods?," China Economic Review, Elsevier, vol. 22(4), pages 499-511.
    5. Kocher, Martin G. & Martinsson, Peter & Matzat, Dominik & Wollbrant, Conny, 2015. "The role of beliefs, trust, and risk in contributions to a public good," Journal of Economic Psychology, Elsevier, vol. 51(C), pages 236-244.
    6. Alin Halimatussadiah & Budy P. Resosudarmo & Diah Widyawati, 2014. "Social Capital to Induce a Contribution to Environmental Collective Action in Indonesia: An Experimental Method," Departmental Working Papers 2014-03, The Australian National University, Arndt-Corden Department of Economics.
    7. Kim Yi Dionne, 2015. "Social networks, ethnic diversity, and cooperative behavior in rural Malawi," Journal of Theoretical Politics, , vol. 27(4), pages 522-543, October.
    8. Li, Sherry Xin & de Oliveira, Angela C.M. & Eckel, Catherine, 2017. "Common identity and the voluntary provision of public goods: An experimental investigation," Journal of Economic Behavior & Organization, Elsevier, vol. 142(C), pages 32-46.
    9. Rabbani, Mehnaz & Rahman, Semab & Tasneem, Dina, 2022. "Trust and citizen participation in community-based monitoring system: An experimental evidence from Bangladesh," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 98(C).
    10. Ma, Xianlei & Heerink, Nico & van Ierland, Ekko & Lang, Hairu & Shi, Xiaoping, 2020. "Decisions by Chinese households regarding renting in arable land—The impact of tenure security perceptions and trust," China Economic Review, Elsevier, vol. 60(C).
    11. Ricardo Arlegi & Juan M. Benito-Ostolaza & Nuria Osés-Eraso, 2021. "Participation in and provision of public goods: Does granularity matter?," Journal of Economic Interaction and Coordination, Springer;Society for Economic Science with Heterogeneous Interacting Agents, vol. 16(2), pages 265-285, April.
    12. Nian, Yefan & Huang, Qiuqiong, 2017. "Can Social Capital Boost Irrigation Capital? Empirical Evidence from North China," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 259140, Agricultural and Applied Economics Association.
    13. Natalia Candelo & Rachel T. A. Croson & Sherry Xin Li, 2017. "Identity and social exclusion: an experiment with Hispanic immigrants in the U.S," Experimental Economics, Springer;Economic Science Association, vol. 20(2), pages 460-480, June.

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