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Research Publications > Spotlights > North Carolina’s Social Capital


In recent years, the idea that business relationships between entrepreneurs have an innate economic development dimension has been given much attention by scholars. The theory of social capital suggests that networks created by small and medium-sized firms can be harnessed to promote outcomes like lower income inequality and sustainable growth. Community development organizations can serve as key social capital generators. We examine variation in county-level social capital across North Carolina.

Why This Matters

While its still unclear how much social capital can be used as a policy lever, it appears to be strongly linked to a variety of desirable socioeconomic outcomes. There is a great deal of variation in county-level social capital across North Carolina, which might explain some variation in local economic development outcomes.

Suggested Citation

McCall, Jamie. 2019. “Understanding the Importance of Social Capital in North Carolina.” Carolina Small Business Development Fund. Raleigh, NC. https://doi.org/10.46712/nc.social.capital.


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