Social Capital and Credit Cooperative Banks

30 Pages Posted: 6 Jun 2016

See all articles by Ivana Catturani

Ivana Catturani

European Research Institute on Cooperative & Social Enterprises (EURICSE); University of Trento

Panu Kalmi

Aalto University - Department of Economics

Maria Lucia Stefani

Bank of Italy

Date Written: July 2016

Abstract

This paper contributes to the literature on social capital and financial institutions by analysing the relationship between the market share of Italian credit cooperative banks (CCBs) in 2003–2011 at the province level and some measures of trust and of membership in formal associations (networks). According to anecdotal evidence, cooperatives require high levels of social capital to be successful, but theoretical predictions are ambiguous, and there is still little empirical evidence. We find that the social capital and market shares of Italian CCBs are related and that the links are stronger when banks lend to small enterprises. When the types of associations are separated according to their particularistic or universalistic nature, the results show that it is especially the latter that matters. We also find that the link between social capital and CCBs is due more to their cooperative structures than to their local orientations.

Suggested Citation

Catturani, Ivana and Kalmi, Panu and Stefani, Maria Lucia, Social Capital and Credit Cooperative Banks (July 2016). Economic Notes, Vol. 45, Issue 2, pp. 205-234, 2016. Available at SSRN: https://ssrn.com/abstract=2790373 or http://dx.doi.org/10.1111/ecno.12058

Ivana Catturani (Contact Author)

European Research Institute on Cooperative & Social Enterprises (EURICSE) ( email )

Via S. Giovanni 36
38122 Trento (TN)
Italy

University of Trento ( email )

Via Giuseppe Verdi 26
Trento, Trento 38152
Italy

Panu Kalmi

Aalto University - Department of Economics ( email )

PO Box 1210
FI-00101 Helsinki
Finland

Maria Lucia Stefani

Bank of Italy ( email )

Via Nazionale 91
Rome, 00184
Italy

Register to save articles to
your library

Register

Paper statistics

Downloads
0
Abstract Views
142
PlumX Metrics