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Forging new relationships: Social capital in the transistion

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  • Laura Taylor
  • Mary Wrenn

Abstract

A theory of transitional economies is now emerging, much of which is evolutionary-institutional in nature and hence very critical of the naïveté of socalled shock therapy and the economic reasoning that supported it. Indeed it has become apparent that changing the formal rules of the game, difficult as this may be, is far from sufficient. The informal rules of the game, the customs and norms of the social order, are critical to the operation of the economy. These informal rules are often implicit or tacit, and therefore very difficult to reach on a policy level. This paper seeks to apply the concept of social capital to the transitional economic process using the former Soviet republic of Russia to draw attention to the complex issues of governance and legitimacy that are too often neglected in economic discourse.

Suggested Citation

  • Laura Taylor & Mary Wrenn, 2003. "Forging new relationships: Social capital in the transistion," Forum for Social Economics, Taylor & Francis Journals, vol. 33(1), pages 1-11, January.
  • Handle: RePEc:taf:fosoec:v:33:y:2003:i:1:p:1-11
    DOI: 10.1007/BF02778961
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