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The Clan and the City: Sustaining Cooperation in China and Europe

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  • Avner Greif
  • Guido Tabellini

Abstract

Over the last millennium, the clan and the city have been the locus of cooperation in China and Europe respectively. This paper examines - analytically, historically,and empirically - the cultural, social, and institutional co-evolution that led to this bifurcation. We highlight that groups with which individuals identify are basic units of cooperation. Such groups impact institutional development because intra-group moral commitment reduces enforcement cost implying a comparative advantage in pursuing collective actions. Moral groups perpetuate due to positive feedbacks between morality, institutions, and the implied pattern of cooperation.

Suggested Citation

  • Avner Greif & Guido Tabellini, 2012. "The Clan and the City: Sustaining Cooperation in China and Europe," Working Papers 445, IGIER (Innocenzo Gasparini Institute for Economic Research), Bocconi University.
    • Handle: RePEc:igi:igierp:445
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    1. Where do pro-social institutions come from?
      by pseudoerasmus in Pseudoerasmus on 2015-10-04 05:01:30

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    3. Alesina, Alberto & Giuliano, Paola, 2014. "Family Ties," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 2, chapter 4, pages 177-215, Elsevier.
    4. Beinhocker, Eric & Dhami, Sanjit, 2019. "The Behavioral Foundations of New Economic Thinking," INET Oxford Working Papers 2019-13, Institute for New Economic Thinking at the Oxford Martin School, University of Oxford.
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    11. Xue, Melanie Meng & Koyama, Mark, 2018. "Autocratic Rule and Social Capital: Evidence from Imperial China," MPRA Paper 84249, University Library of Munich, Germany.
    12. Traviss Cassidy & Mark Dincecco & Massimiliano Gaetano Onorato, 2015. "The Economic Legacy of Warfare: Evidence from European Regions," Working Papers 6/2015, IMT School for Advanced Studies Lucca, revised Jul 2015.
    13. Carol H. Shiue & Wolfgang Keller, 2024. "Elite Strategies for Big Shocks: The Case of the Fall of the Ming," NBER Working Papers 33121, National Bureau of Economic Research, Inc.
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    JEL classification:

    • N00 - Economic History - - General - - - General
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • O50 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - General
    • P51 - Political Economy and Comparative Economic Systems - - Comparative Economic Systems - - - Comparative Analysis of Economic Systems
    • Z10 - Other Special Topics - - Cultural Economics - - - General

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