Trust, Institutions and Institutional Evolution: Industrial Districts and the Social Capital Hypothesis – with Jack Knight

Much current work in the social sciences seeks to understand the effects of trust and social capital on economic and political outcomes. However, the sources of trust remain unclear. In this article, the authors articulate a basic theory of the relationship between institutions and trust. The authors apply this theory to industrial districts, geographically concentrated areas of small firm production, which involve extensive cooperation in the production process. Changes in power relations affect patterns of production;the authors suggest that they also have knock-on consequences for trust and cooperation among actors.

Henry Farrell and Jack Knight (2003), “Trust, Institutions and Institutional Evolution: Industrial Districts and the Social Capital Hypothesis,” Politics and Society, 31, 4:537-556.

Access the full article here

Other Writing:

Interview

Interview with Sean Carroll on “Democracy as a Problem-Solving Mechanism”, Mindscape

Sean Carroll’s Mindscape: Science, Society, Philosophy, Culture, Arts, and Ideas, Episode 148 | Henry Farrell on Democracy as a Problem-Solving Mechanism Democracy posits the radical idea that political power and legitimacy should ultimately be found in all of the people, rather than a small group of experts or for that matter arbitrarily-chosen hereditary dynasties. Nevertheless, ...
Read Article
Essay

Do the Right Thing with – Cosma Shalizi

Benevolent meddling won’t help us make good decisions. We have all cringed watching friends and family make terrible decisions, and been tempted by visions of the pain spared if we could only make them follow our advice. The same feeling motivates well-intentioned technocrats to take charge of the public: People are plainly making sad blunders ...
Read Article