Social Capital and Labour Productivity in Italy

35 Pages Posted: 13 Mar 2006

See all articles by Fabio Sabatini

Fabio Sabatini

Euricse; Sapienza University of Rome - Department of Economics and Law

Date Written: February 2006

Abstract

This paper carries out an empirical assessment of the relationship between social capital and labour productivity in small and medium enterprises in Italy. By means of structural equations models, the analysis investigates the effect of different aspects of the multifaceted concept of social capital. The bonding social capital of strong family ties and the bridging social capital shaped by informal ties connecting friends and acquaintances are proved to exert a negative effect on labour productivity, the economic performance, and human development. On the contrary, the linking social capital of voluntary organizations positively influences such outcomes.

Keywords: Labour productivity, Small and medium enterprises, Social capital, Social networks, Structural equations models

JEL Classification: J24, R11, O15, O18, Z13

Suggested Citation

Sabatini, Fabio and Sabatini, Fabio, Social Capital and Labour Productivity in Italy (February 2006). FEEM Working Paper No. 30.2006, Available at SSRN: https://ssrn.com/abstract=886709 or http://dx.doi.org/10.2139/ssrn.886709

Fabio Sabatini (Contact Author)

Sapienza University of Rome - Department of Economics and Law ( email )

Piazzale Aldo Moro 5
Roma, Rome 00185
Italy

Euricse ( email )

Via S. Giovanni 36
38122 Trento (TN)
Italy

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