Social capital
sociology concept
Social capital is a concept used in sociology and economics to define networks of relationships which are productive towards advancing the goals of individuals and groups.
It involves the effective functioning of social groups through interpersonal relationships, a shared sense of identity, a shared understanding, shared norms, shared values, trust, cooperation, and reciprocity. Some have described it as a form of capital that produces public goods for a common purpose, although this does not align with how it has been measured.
Social capital has been used to explain the improved performance of diverse groups, the growth of entrepreneurial firms, superior managerial performance, enhanced supply chain relations, the value derived from strategic alliances, and the evolution of communities.
History
While it has been suggested that the term social capital was in intermittent use from about 1890, before becoming widely used in the late 1990s, the earliest credited use is by Lyda Hanifan in 1916 (see 20th century below).
The debate of community versus modernization of society and individualism has been the most discussed topic among the founders of sociology: such theorists as Tönnies (1887), Durkheim (1893), Simmel (1905), and Weber (1946) were convinced that industrialisation and urbanization were transforming social relationships in an irreversible way. They observed a breakdown of traditional bonds and the progressive development of anomie and alienation in society.
18th–19th century
The power of community governance has been stressed by many philosophers from antiquity to the 18th century, from Aristotle to Thomas Aquinas, and Edmund Burke. This vision was strongly criticised at the end of the 18th century, with the development of the idea of Homo Economicus and subsequently with rational choice theory. Such a set of theories became dominant in the last centuries, but many thinkers questioned the complicated relationship between modern society and the importance of old institutions, in particular family and traditional communities.
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This entry incorporates text from “Social capital” on English Wikipedia. Contributors are listed in the page history. Text is available under the Creative Commons Attribution-ShareAlike 4.0 License. Selected authority identifiers and statements are retrieved from Wikidata under CC0; their references and qualifiers remain part of the verification path.