19-34

• Ioakimidis, Marilou

Three types of social capital –bonding, bridging, and linking– are essential to the economic success of modern liberal democracies. Social capital refers to social, political, and economic connections among families and friends, communities and associated organizations, and regional and national connections. Greece lacks social capital, particularly generalized and institutional trust, when compared to social capital in other European and OECD nations, perhaps resulting from the country’s authoritarian tradition and difficulties in institution building during its transition to a democracy. Cumulatively, an individual’s education and experience constitute social capital that increases the likelihood of achieving economic and personal goals. Improving human capital, particularly investments in education, provide economic benefits by improving the effectiveness of workers, increasing productivity, earnings, and job stability. Greater productivity provides a collective benefit by increasing the wealth of societies in which they live.

• Economics and Business

• Economics

Social Capital, Greece, Human Capital, Trust

JEL: A12, A13, D60, R11, Z13, The author acknowledges the valuable contribution of Ms. Vasiliki Koutsoukou that could be considered as co-author of this paper