IDEAS home Printed from
   My bibliography  Save this paper

The Importance Of Social Capital In Colombian Rural Agro-Enterprises


  • Johnson, Nancy L.
  • Suarez, Ruth
  • Lundy, Mark


This paper characterizes and measures the contribution of social capital to the performance of 50 agro-enterprises in Colombia. Using qualitative analysis we document the functions that social capital performs within firms. To estimate social capital's contribution to firm structure and performance, quantitative indicators of firm-level use of social capital are developed based on the number and strength of external relationships that firms maintain. Econometric analysis finds that firm-level returns to relationships are positive and higher than to physical or human capital. The results suggests that while firms can increase their economic performance by investing in social capital, ameliorating the effects of the market failures that lead to use of social relations for business purposes could also improve both equity and efficiency.

Suggested Citation

  • Johnson, Nancy L. & Suarez, Ruth & Lundy, Mark, 2003. "The Importance Of Social Capital In Colombian Rural Agro-Enterprises," 2003 Annual Meeting, August 16-22, 2003, Durban, South Africa 25917, International Association of Agricultural Economists.
  • Handle: RePEc:ags:iaae03:25917

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. John F. Helliwell, 1996. "Do Borders Matter for Social Capital? Economic Growth and Civic Culture in U.S. States and Canadian Provinces," NBER Working Papers 5863, National Bureau of Economic Research, Inc.
    2. Barr, Abigail, 2000. "Social Capital and Technical Information Flows in the Ghanaian Manufacturing Sector," Oxford Economic Papers, Oxford University Press, vol. 52(3), pages 539-559, July.
    Full references (including those not matched with items on IDEAS)


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:iaae03:25917. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.