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Social Capital and the Food System: Some Evidences from Empirical Research

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  • Sodano, Valeria
  • Verneau, Fabio

Abstract

The paper stresses that in order to understand the current re-organizational processes in the food system, two kinds of social capital should be taken into account, trust and network-based social capital. Stemming from a case study, concerning the Italian processing tomato industry, it demonstrates that while trust seems to enhance social welfare, by reducing transaction costs and promoting cooperative behavior, network-based social capital mainly affects firm competitive behavior, with unpredictable effects on social welfare.

Suggested Citation

  • Sodano, Valeria & Verneau, Fabio, 2006. "Social Capital and the Food System: Some Evidences from Empirical Research," 99th Seminar, February 8-10, 2006, Bonn, Germany 7764, European Association of Agricultural Economists.
    • Handle: RePEc:ags:eaae99:7764
    DOI: 10.22004/ag.econ.7764
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    References listed on IDEAS

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    1. Ernst Fehr & Simon Gächter, 2000. "Fairness and Retaliation: The Economics of Reciprocity," Journal of Economic Perspectives, American Economic Association, vol. 14(3), pages 159-181, Summer.
    2. Fehr, Ernst & Schmidt, Klaus M., 2001. "Theories of Fairness and Reciprocity," Discussion Papers in Economics 14, University of Munich, Department of Economics.
    3. Ernst Fehr & Simon Gächter, 2000. "Fairness and Retaliation," International Economic Association Series, in: L.-A. Gérard-Varet & S.-C. Kolm & J. Mercier Ythier (ed.), The Economics of Reciprocity, Giving and Altruism, chapter 7, pages 153-173, Palgrave Macmillan.
    4. Rachel E. Kranton & Deborah F. Minehart, 2000. "Networks versus Vertical Integration," RAND Journal of Economics, The RAND Corporation, vol. 31(3), pages 570-601, Autumn.
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    Cited by:

    1. Fritz, Melanie & Fischer, Christian, 2007. "The Role of Trust in European Food Chains: Theory and Empirical Findings," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 10(2), pages 1-24.

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