Is Social Capital Important in Development (Indonesia Macro Analysis)
Article Sidebar
Main Article Content
Abstract
The new paradigm development is not only measured from the economic aspect through Gross Domestic Product (GDP), but also viewed multidimensional from the change of social structure, behavior, and national institution. Such social perspective is called social capital. Social capital is considered an important determinant of economic development. so that social capital is placed as one input in development. The purpose of this scientific paper is to analyze the influence of social capital in economic development with the approach of Gross Regional Domestic Product (PDRB) in 33 Provinces in Indonesia. The analysis of the effect of social capital on PDRB along with other variables such as physical capital, labor, and human capital is done at the macro level. The limits are the role of social capital in 2017 and 2019 due to data availability. The result of research indicates that social capital has not enough to influence human capital at macro level, while human capital has significant effect to Gross Regional Domestic Product (PDRB). It can say that social capital indirectly is no effected on GRDP in Indonesia.
Downloads
Article Details
[2] Christoforou, A. (2003). On the Identity of Social Capital and The Social Capital of Identity. Cambridge Journal of Economics 37, 719-736
[3] Jumirah, J., & Wahyuni, H. (2018).The Effect of Social Capital on Welfare in Indonesia. Journal of Indonesian Economy and Business, 33(1), 65-76.
[4] Kaldaru, H and Eve, P. (2005). The effect of Macro-Level Social Capital on Sustainable Economic Development. Tartu: Tartu University Pers.
[5] Knack, S. (1999). Social Capital, Growth and Poverty: A Survey of Gross-Country Evidence.The World Bank Social Capital Initiative Working Paper, No 7
[6] Meier, G. M. (2002). Culture, Social Capital, and Management in a Developing Economy.Zagreb International Review of Economics & Business. Vol. 5, No. 1, pp. 1–15
[7] Neira et al. (2008).An empirical Analysis of Social Capital and Economic Growth in Europe (1980-2000). Springer Science
[8] OECD. (2001). The Well-Being of Nations, the Role of Human and Social Capital. Paris: OECD
[9] Parts. (2003). Inter-relationship Between Human Capital And Social Capital: Implication For Economic Development In Transition Economies. Tartu: Tartu University Pers
[10] ______. (2010). The Dynamics and Determinats of Social Capital in the European Union and Neighbouring Countries. Search Working Paper
[11] Romer, P. (1986). Increasing Returns and Long Run Growth. Journal of Political Economy, 94, 1002–37
[12] Sugiyanto, Catur. 2010. Analisis Indikator Ekonomi, Yogyakarta: PSEKP UGM
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.