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Social capital and regional economic growth

  • Sjoerd Beugelsdijk

    ()

  • Ton Van Schaik

    ()

We study a cross-section of 54 European regions in the period 1950-1998. The central question is whether social capital, in the form of generalized trust and associational activity, is related to regional differences in economic growth. Based on extensive robustness tests, we present evidence that social capital measured as associational activity is positively related to growth differentials in European regions. Hence, our results suggest that Putnam’s (1993) thesis on social capital in Italian regions can be generalized. Our analysis also suggests that it is not only the mere existence of network relationships that stimulates regional economic growth, but also the level of actual involvement in these relationships.

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File URL: http://www-sre.wu-wien.ac.at/ersa/ersaconfs/ersa03/cdrom/papers/518.pdf
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Paper provided by European Regional Science Association in its series ERSA conference papers with number ersa03p518.

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Date of creation: Aug 2003
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Handle: RePEc:wiw:wiwrsa:ersa03p518
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  1. Marianne Bertrand & Erzo F.P. Luttmer & Sendhil Mullainathan, 1998. "Network Effects and Welfare Cultures," NBER Working Papers 6832, National Bureau of Economic Research, Inc.
  2. Grier, Kevin B. & Tullock, Gordon, 1989. "An empirical analysis of cross-national economic growth, 1951-1980," Journal of Monetary Economics, Elsevier, vol. 24(2), pages 259-276, September.
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  12. John F. Helliwell, 1996. "Economic Growth and Social Capital in Asia," NBER Working Papers 5470, National Bureau of Economic Research, Inc.
  13. Xavier Sala-i-Martin, 1996. "Transfers, Social Safety Nets, and Economic Growth," IMF Working Papers 96/40, International Monetary Fund.
  14. Leonardi, Robert, 1995. "Regional Development in Italy: Social Capital and the Mezzogiorno," Oxford Review of Economic Policy, Oxford University Press, vol. 11(2), pages 165-79, Summer.
  15. Knack, Stephen & Keefer, Philip, 1997. "Does Social Capital Have an Economic Payoff? A Cross-Country Investigation," The Quarterly Journal of Economics, MIT Press, vol. 112(4), pages 1251-88, November.
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  17. Robert J. Barro, 2012. "Inflation and Economic Growth," CEMA Working Papers 568, China Economics and Management Academy, Central University of Finance and Economics.
  18. Mankiw, N Gregory & Romer, David & Weil, David N, 1992. "A Contribution to the Empirics of Economic Growth," The Quarterly Journal of Economics, MIT Press, vol. 107(2), pages 407-37, May.
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  28. repec:dgr:uvatin:20020049 is not listed on IDEAS
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