nep-soc New Economics Papers
on Social Norms and Social Capital
Issue of 2005‒10‒15
twenty-one papers chosen by
Fabio Sabatini
Universitá degli Studi di Roma, La Sapienza

  1. Social capital By Durlauf,S.N.; Fafchamps,M.
  2. Growth econometrics By Durlauf,S.N.; Johnson,P.A.; Temple,J.R.W.
  3. Identifying social interactions : a review By Blume,L.E.; Durlauf,S.N.
  4. Social interaction models By Durlauf,S.N.; Cohen-Cole,E.
  5. Empirics of growth and development By Durlauf,S.N.; Kourtellos,A.; Tan,C.M.
  6. What Makes Small and Medium Enterprises Competitive By Piergiuseppe Morone; Giuseppina Testa
  7. Do Social PreferencesIncrease Productivity? Field experimental evidence from fishermen in Toyoma Bay By Jeffrey Carpenter; Erika Seki
  8. Trust, reciprocity, and contract enforcement : experiments on satisfaction guaranteed By Andreoni,J.
  9. What matters for financial development? : capital controls, institutions, and interactions By Chinn,M.D.; Ito,H.
  10. WHO DO YOU TRUST? ETHNICITY AND TRUST IN BOSNIA AND HERZEGOVINA By Håkansson, Peter; Sjöholm, Fredrik
  11. Local Environmental Groups, the Creation of Social Capital, and Environmental Policy: Evidence from Vermont By Christopher McGrory Klyza; Andrew Savage; Jonathan Isham
  12. On the Origin of Shared Beliefs (and Corporate Culture) By Van den Steen, Eric
  13. Revealing preferences for fairness in ultimatum bargaining By Andreoni,J.; Castillo,M.; Petrie,R.
  14. Social interactions and macroeconomics By Brock,W.A.; Durlauf,S.N.
  15. Nonlinearities in growth : from evidence to policy By Cohen-Cole,E.B.; Durlauf,S.N.; Rondina,G.
  16. Identification of binary choice models with social interactions By Brock,W.A.; Durlauf,S.N.
  17. Life Satisfaction among Spanish Workers: Importance of Intangible Job Characteristics By Namkee Ahn
  18. Social Composition, Social Conflict, and Economic Development By Holger Strulik
  19. Resolutions, Recoveries and Relationships: The Evolution of Payment Disputes in Central and Eastern Europe By William Pyle
  20. Taxation, Ethnic Ties and the Location Choice of Highly Skilled Immigrants By Thomas Liebig; Alfonso Sousa-Poza
  21. The nature of NGO microfinance in Vietnam and stakeholders’ perceptions of effectiveness By James Laurenceson; Hong Son Nghiem

  1. By: Durlauf,S.N.; Fafchamps,M. (University of Wisconsin-Madison, Social Systems Research Institute)
    Date: 2004
    URL: http://d.repec.org/n?u=RePEc:att:wimass:200412&r=soc
  2. By: Durlauf,S.N.; Johnson,P.A.; Temple,J.R.W. (University of Wisconsin-Madison, Social Systems Research Institute)
    Date: 2004
    URL: http://d.repec.org/n?u=RePEc:att:wimass:200418&r=soc
  3. By: Blume,L.E.; Durlauf,S.N. (University of Wisconsin-Madison, Social Systems Research Institute)
    Date: 2005
    URL: http://d.repec.org/n?u=RePEc:att:wimass:200512&r=soc
  4. By: Durlauf,S.N.; Cohen-Cole,E. (University of Wisconsin-Madison, Social Systems Research Institute)
    Date: 2004
    URL: http://d.repec.org/n?u=RePEc:att:wimass:20048&r=soc
  5. By: Durlauf,S.N.; Kourtellos,A.; Tan,C.M. (University of Wisconsin-Madison, Social Systems Research Institute)
    Date: 2005
    URL: http://d.repec.org/n?u=RePEc:att:wimass:200516&r=soc
  6. By: Piergiuseppe Morone; Giuseppina Testa
    Abstract: : This paper aims at understanding the determinants of Italian small- and medium-sized enterprises’ competitiveness. Having in mind the fact that the Italian economic system relies substantially on small firms which have managed to stay competitive by adopting strategies such as the creation of well-integrated social and institutional clusters (the so-called industrial districts) or specialising in the production of quality goods (the so called made in Italy). However, the growing competing pressure coming from the Far East has rendered this production system vulnerable, challenging its internationally competitiveness. By developing a conceptual model we identify the sources of competitiveness of Italian SMEs. The model is tested using a unique database which collects data, for the year 2004, over a sample of 2,600 SMEs.
    Keywords: SMEs, competitiveness, innovation, interval regression, ordered probit
    JEL: L1 O31 C24
    Date: 2005–09
    URL: http://d.repec.org/n?u=RePEc:ufg:qdsems:18-2005&r=soc
  7. By: Jeffrey Carpenter; Erika Seki
    Abstract: We provide a reason for the wider economics profession to take social preferences, a concern for the outcomes achieved by other reference agents, seriously. Although, we show that student measures of social preference elicited in an experiment have little external validity when compared to measures obtained from a field experiment with a population of participants who face a social dilemma in their daily lives (i.e. team production), we do find strong links between the social preferences of our field participants and their productivity at work. We also find that the stock of social preferences evolves endogeously with respect to how widely team production is utilized.
    Keywords: Field experiment, social preference, income pooling, productivity
    JEL: C93 D21 D24 H41 J24 M52 M54 Z13
    Date: 2005
    URL: http://d.repec.org/n?u=RePEc:mdl:mdlpap:0515&r=soc
  8. By: Andreoni,J. (University of Wisconsin-Madison, Social Systems Research Institute)
    Date: 2005
    URL: http://d.repec.org/n?u=RePEc:att:wimass:20057&r=soc
  9. By: Chinn,M.D.; Ito,H. (University of Wisconsin-Madison, Social Systems Research Institute)
    Date: 2005
    URL: http://d.repec.org/n?u=RePEc:att:wimass:20054&r=soc
  10. By: Håkansson, Peter (European Institute of Japanese Studies); Sjöholm, Fredrik (European Institute of Japanese Studies)
    Abstract: Bosnia and Herzegovina has experienced a turbulent post-independence transition. It can be argued that the level of trust is likely to have been negatively affected by this turbulence and that it is important to restore trust to achieve sustainable political and economic development. This paper looks at trust in Bosnia and Herzegovina and puts a special focus on the role of ethnicity. We find generalized trust to be low in Bosnia and Herzegovina and it seems to have declined in recent years. Moreover, generalized trust is negatively affected by the degree of ethnic heterogeneity in the region. However, a further and more detailed examination of trust reveals a more complex relationship between ethnicity and trust: people tend to show low levels of trust in all other people irrespective of their ethnic belongings. We argue that ethnic distribution might capture some other regional specific characteristics that also affect the level of trust. One possibility is that ethnically heterogeneous regions tended to be severely affected by the war and that this has negatively affected the level of trust towards all people outside of a person’s family.
    Keywords: Trust; Social Capital; Ethnicity; Southeast Europe; Bosnia and Herzegovina
    JEL: O17 P20 Z13
    Date: 2005–10–06
    URL: http://d.repec.org/n?u=RePEc:hhs:eijswp:0216&r=soc
  11. By: Christopher McGrory Klyza; Andrew Savage; Jonathan Isham
    Abstract: Scholars who have studied local environmental groups and their effects in the United States have tended to agree about three related, stylized facts: that such groups are widespread, that they are pursuing a diverse set of activities, and, at least implicitly, that they are creating social capital that significantly affects environmental policy and outcomes. However, a healthy skepticism of these claims among academics and within the policy community exists due to a lack of significant data to verify them. In this article, (1) we collect and interpret data to demonstrate, in two counties of central Vermont, that local environmental groups are indeed pursuing a diverse set of activities, developing a typology of these groups based on their main focus; (2) we show the groups are developing and maintaining social capital; and (3) we illustrate how these methodologies can enhance the literature on local environmental groups by testing claims about the extent and influence of these groups.
    Keywords: local environmental groups, social capital, local organizations, Vermont
    URL: http://d.repec.org/n?u=RePEc:mdl:mdlpap:0407r&r=soc
  12. By: Van den Steen, Eric
    Abstract: This paper shows why members of an organization often share similar beliefs. I argue that there are two mechanisms. First, when performance depends on making correct decisions, people prefer to work with others who share their beliefs and assumptions, since such others 'will do the right thing'. Second, beliefs will converge over time through shared learning. While such homogeneity reduces agency problems, it does so at a cost. I show that, from an outsider's perspective, firms invest on average too much in homogeneity. The theory further predicts that homogeneity will be strongest in successful and older firms where employees make important decisions. Within a firm, homogeneity will be stronger among more important employees. Homogeneity will also be path-dependent, making managers more selective on early hires. Since shared beliefs are an important aspect of corporate culture (Schein 1985, Kotter and Heskett 1992), I finally show that the model matches some observations on corporate culture, such as the influence of a manager on her firm's culture and the persistence of culture in the face of turnover. A fundamental difference from earlier economic theories of corporate culture is that I show that culture, instead of being created for its own good, can be a side-effect of other purposeful actions. As a consequence, there can be too much culture in firms.
    Keywords: homogeneity, shared beliefs, differing priors, corporate culture,
    Date: 2005–09–23
    URL: http://d.repec.org/n?u=RePEc:mit:sloanp:27855&r=soc
  13. By: Andreoni,J.; Castillo,M.; Petrie,R. (University of Wisconsin-Madison, Social Systems Research Institute)
    Date: 2004
    URL: http://d.repec.org/n?u=RePEc:att:wimass:200413&r=soc
  14. By: Brock,W.A.; Durlauf,S.N. (University of Wisconsin-Madison, Social Systems Research Institute)
    Date: 2005
    URL: http://d.repec.org/n?u=RePEc:att:wimass:20055&r=soc
  15. By: Cohen-Cole,E.B.; Durlauf,S.N.; Rondina,G. (University of Wisconsin-Madison, Social Systems Research Institute)
    Date: 2005
    URL: http://d.repec.org/n?u=RePEc:att:wimass:20059&r=soc
  16. By: Brock,W.A.; Durlauf,S.N. (University of Wisconsin-Madison, Social Systems Research Institute)
    Date: 2004
    URL: http://d.repec.org/n?u=RePEc:att:wimass:20042&r=soc
  17. By: Namkee Ahn
    Abstract: Using the data from the Spanish survey on life quality at work, we examine the factors which affect Spanish workers’ life satisfaction. Our analysis shows that subjective intangible job characteristics, such as independence, social usefulness, pleasant work environment, pride, stress and the perception of receiving an adequate wage have substantial effects on the workers’ life satisfaction. Some evidence for the difficulties in work-life balance is also shown as we observe the negative effects of dependent children, long hours of work and commuting time to work.
    URL: http://d.repec.org/n?u=RePEc:fda:fdaddt:2005-17&r=soc
  18. By: Holger Strulik (Department of Economics, University of Copenhagen)
    Abstract: This paper investigates how social composition affects social conflict and economic development when property rights are unenforceable. Groups follow Markovian strategies for consumption and investment and may also spend effort in an resource appropriation contest. It is shown that conflict prevents investment and growth in a society of symmetric groups. In a society at peace economic growth may occur. Growth, however, is decreasing in the degree of social fractionalization and smaller than it could be under secure property rights. In an economy populated by social groups of unequal size an asymmetric equilibrium exists. A large majority may behave peacefully although continuously challenged by a predatory minority. The rebelridden economy either stagnates or grows at a low rate. Growth is decreasing in the size of the predatory minority and its conflict intensity. A final part extends the analysis towards behavior of non-benevolent social elites.
    Keywords: social conflict; social fractionalization; property rights; stagnation; growth
    JEL: C73 D74 O11
    Date: 2005–09
    URL: http://d.repec.org/n?u=RePEc:kud:kuiedp:0516&r=soc
  19. By: William Pyle
    Abstract: What determines the mechanism chosen to resolve a commercial dispute? To what degree does the aggrieved recover damages? And does the relationship survive in the aftermath? The answers to these questions affect expectations as to the costs of transacting and, thereby, the development of markets. But they have received almost no attention in the economic literature on the post-socialist transition. This article exploits a rich survey of small and medium-sized manufacturing enterprises in three Central and East European countries to explain responses to an inter-firm payment dispute. The evidence suggests that behavior at successive stages is strongly influenced by the transaction costs associated with greater geographic distance between the firms. The evidence also strongly suggests that the costs of a dispute can be mitigated by membership in a business association.
    JEL: D23 D74 K40 K41 P37
    Date: 2005
    URL: http://d.repec.org/n?u=RePEc:mdl:mdlpap:0523&r=soc
  20. By: Thomas Liebig; Alfonso Sousa-Poza
    Abstract: With the emerging international competition to attract highly skilled migrants, the determinants of their choice of residential location are increasing in importance. Besides expected wages and job opportunities, the costs of migration and the subjective evaluation of a location, two other factors help determine the expected net return from migration: taxes and network effects. Yet empirical research on the effects of these two factors and their interaction on highly skilled migration is lacking. The aim of this paper is to throw some empirical light on the role of these two factors via a case study of Switzerland. For several reasons, Switzerland is a particularly interesting case study for this task. Tax rates are primarily determined at the local level and thus enough variation exists to analyse their influence on migration. Furthermore, in contrast to other European countries, Switzerland has pursued a fairly liberal immigration policy and maintains a unique permit system that has become increasingly skills-focused: more than 35% of all persons with a university degree resident in Switzerland are immigrants. Analysis of the 2000 Swiss census data provides evidence for fiscally-induced migration within Switzerland, particularly with respect to a location choice of highly skilled immigrants. Avec l’émergence d’une compétition internationale pour attirer les migrants hautement qualifiés, les déterminants des choix de lieu de résidence de ces derniers gagnent en importance. En plus des perspectives de salaires et d’emploi, du coût de migration et des appréciations subjectives portées sur ces lieux, deux autres facteurs semblent jouer sur le rendement net attendu de la migration : les impôts et les effets de réseaux. Ceci étant, l’étude de l’impact de ces deux facteurs, ainsi que des effets de leurs interactions, manquent dans les analyses empiriques. Le but de ce papier est d’analyser le rôle de ces deux facteurs à travers l’étude du cas de la Suisse. Pour plusieurs raisons, la Suisse s’avère un pays particulièrement intéressant à étudier à cet égard. Les taux d’imposition sont principalement déterminés au niveau local; d’où l’existence de variations suffisantes pour analyser leur impact sur la migration. De plus, contrairement à d’autres pays européens, la Suisse a poursuivi une politique assez libérale en matière d’immigration et maintient un système unique de permis, qui est devenu de plus en plus ciblé sur les qualifications : plus de 35 % de toutes les personnes détenant un diplôme universitaire qui résident en Suisse sont des immigrés. L’analyse des données du recensement Suisse de 2000 met en évidence la migration intra-Suisse engendrée par des raisons fiscales, concernant plus particulièrement le choix des lieux de résidence des immigrés hautement qualifiés.
    JEL: F22 H73 J61
    Date: 2005–07–29
    URL: http://d.repec.org/n?u=RePEc:oec:elsaab:24-en&r=soc
  21. By: James Laurenceson; Hong Son Nghiem (EAERG - School of Economics, The University of Queensland)
    Abstract: The microfinance industry in Vietnam, particularly those sponsored by non-government organisations (NGOs), has experienced rapid expansion in recent years. While there have been anecdotal reports alluding to their contribution in alleviating poverty, a systematic analysis of this issue has been lacking. In a bid to help address this shortcoming, this paper reports on data that was obtained during a survey and interview process that incorporated various stakeholders including financial donors, NGO-sponsored microfinance institutions (NMPs), village leaders and NMP members and non-members. Firstly, the nature of NMPs is described - their objectives, target groups and the financial products they offer. Secondly, perceptions of NMPs effectiveness are discussed from the standpoint of various stakeholders. NMPs are found to be at a critical juncture. While their activities are widely perceived to contribute to poverty alleviation, their future viability is clouded by donor requirements that they become financially self-sufficient. At the same time, certain government policies make achieving this goal very difficult.
    URL: http://d.repec.org/n?u=RePEc:qld:uqeaer:03&r=soc

This nep-soc issue is ©2005 by Fabio Sabatini. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at http://nep.repec.org. For comments please write to the director of NEP, Marco Novarese at <director@nep.repec.org>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.