@techreport{effe0149f4c845eeaa1faf81eac75597,
title = "Bonding and Bridging Social Capital and Economic Growth",
abstract = "In this paper we develop a formal model of economic growth and two types of social capital. Following extant literature, we model social capital as participation in two types of social networks: first, closed networks of family and friends, and, second, open networks that bridge different communities. Higher levels of social capital may crowd out economic growth through a reduction of working time. At the same time, participation in intercommunity networks reduces incentives for rent seeking and cheating, promoting economic growth. We test our hypotheses in a sample of European regions using unique data from the European Value Studies (EVS). Our findings show that it is important to distinguish between the nature of the social interaction.",
keywords = "social capital, economic growth, Europe, regions",
author = "S. Beugelsdijk and J.A. Smulders",
note = "Pagination: 39",
year = "2009",
language = "English",
volume = "2009-27",
series = "CentER Discussion Paper",
publisher = "Macroeconomics",
type = "WorkingPaper",
institution = "Macroeconomics",
}