In my last post I prepared an article about Social Capital Markets 2009 or SOCAP09 . When writing this article I was filled with excitement that there was finally an event that would bring social entrepreneurs and various funders together for the sole purpose of creating partnerships and organizations that would make a difference in the world.
Then, I stopped to think about what the name of this event really meant. I realized that I had no clue. And neither did any of the other people I was telling about conference.
Every time I told someone about it they would confuse social capital with social marketing and start telling how much they love Facebook and Twitter or how they didn’t have time for it, etc.
In an effort to eliminate my ignorance on the matter, I began surfing the web to learn the true definition of social capital. Amazingly enough I ended up at the Saguaro Seminar website. This Seminar is an initiative created by Harvard University Professor Robert D. Putnam and several of his colleagues to promote Civic Engagement in America.
Here is how Dr Putnam explains Social Capital:
The central premise of social capital is that social networks have value. Social capital refers to the collective value of all “social networks” [who people know] and the inclinations that arise from these networks to do things for each other ["norms of reciprocity"].
How does social capital work?
The term social capital emphasizes not just warm and cuddly feelings, but a wide variety of quite specific benefits that flow from the trust, reciprocity, information, and cooperation associated with social networks. Social capital creates value for the people who are connected and – at least sometimes – for bystanders as well.
Social capital works through multiple channels:
- Information flows (e.g. learning about jobs, learning about candidates running for office, exchanging ideas at college, etc.) depend on social capital.
- Norms of reciprocity (mutual aid) rely on social networks. Bonding networks that connect folks who are similar sustain particularized (in-group) reciprocity. Bridging networks that connect individuals who are diverse sustain generalized reciprocity.
- Collective action depends upon social networks (e.g., the role that the black church played in the Civil Rights movement) although collective action also can foster new networks.
- Broader identities and solidarity are encouraged by social networks that help translate an “I” mentality into a “we” mentality.
Examples of Social Capital
When a group of neighbors informally keep an eye on one another’s homes, that’s social capital in action. When a tightly knit community of Hassidic Jews trade diamonds without having to test each gem for purity, that’s social capital in action. Barn-raising on the frontier was social capital in action, and so too are e-mail exchanges among members of a cancer support group. Social capital can be found in friendship networks, neighborhoods, churches, schools, bridge clubs, civic associations, and even bars. The motto in Cheers “where everybody knows your name” captures one important aspect of social capital.
I think what Professor Putnam is saying in a nutshell is that our social networks (community groups, sports teams, PTA, Facebook etc) appreciate in value as we take the opportunity to engage in the relationships and activities afforded by these networks. Social networks must be nurtured and maintained.
Why is social capital important
According to Professor Putnam, social capital has been on the decline for several years and everyone suffers negatively as a result. Participation in civic or community based activity has not only been linked to increased quality of life but longer life span.
The purpose of the the Saguaro Seminar is to encourage participation in civic activities in America.
Here is a list of 150 ways you can increase the social capital in your community.
