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Section One: Introduction to Social Capital Theory

Determinants of Social Capital

Understanding and researching the key determinants of social capital is an essential issue in academia and social policy, as it helps formulate strategies and policies for social capital development (Hanibuchi & Nakaya, 2013). The social capital determinants are crucial elements that promote social interaction and cooperation, develop a culture and norms of mutual help in society, and establish trust, beliefs, and values (Claridge, 2019). Although the determinants of social capital involve a wide range of content and different levels of analysis, various scholars have attempted to organise and summarise similar aspects from studies (Claridge, 2019; Hanibuchi & Nakaya, 2013; Kaasa, 2019). For example, Claridge (2019, p. 1) attempts to list different social capital determinants, including micro and macro levels, such as individual education and family background, neighbourhood environment, history, and culture (see Table 4). Other scholars try to divide the key social capital determinants into individual, neighbourhood and environmental levels (Hanibuchi et al., 2012; Kaasa, 2019; Lindström et al., 2002).

Table 4: Determinants of Social Capital (Source: Claridge, 2019, p. 1)

Determinants of Social Capital

  • History and culture
  • Economic and social class
  • Ethics and social heterogeneity
  • Social systems and structures
  • Judicial system
  • Economic and political systems
  • Labour market trends
  • Welfare policies and systems
  • Characteristics of civil society
  • Social and non-governmental organisations
  • The built and neighbourhood environment
  • Residential mobility
  • Digital technologies
  • Family
  • Education
  • Individual values and beliefs
  • Religion and religious organisations

Determinants of Social Capital at the Individual Level

Various studies indicate that specific individual-level characteristics, such as age, gender, education level, income, marital status, and employment status may influence social capital development (Kaasa & Parts, 2008). Employment status is one of the crucial determinants. Research shows that facing unemployment can lead to a loss of motivation to participate in the community and even the loss of confidence in social development (Christoforou, 2005). Additionally, retirees and family caregivers have less access to formal social networks (van Oorschot et al., 2006).

Determinants of Social Capital at the Neighbourhood and Environmental Level

Scholars (Hanibuchi & Nakaya, 2013) point out the impact of neighbourhood characteristics and environmental determinants on the development of social capital (Hanibuchi et al., 2012). Their research focuses on the degree of urbanisation, the walkability of urban design, and the history of the community to identify the relationship between neighbourhood characteristics and social capital. Their findings suggest that these neighbourhood characteristics may help residents build trust and a sense of belonging, participate in community organisations, and connect with friends (Hanibuchi et al., 2012).