Social capital

Elements of social capital

The Social Capital of a nation is the sum of social stability and the well-being (perceived or real) of the entire population. Social Capital generates social cohesion and a certain level of consensus, which in turn delivers a stable environment for the economy, and prevents natural resources from being over-exploited. Social Capital is not a tangible value and therefore hard to measure and evaluate in numeric values. In addition to local historical and cultural influences, the social consensus in a society is affected by several factors: health care systems and their universal availability/affordability (measuring physical health); income and asset equality, which are correlated to crime levels; demographic structure (to assess the future generational balance within a society); and freedom of expression, freedom from fear and the absence of violent conflicts that are required for businesses to be able to generate value.

Social capital scheme

The Social Capital World Map

  • The top 20 in the Social Capital sub-index is dominated by European countries from the North (particularly Scandinavia) – only Japan (12), Singapore (13) and Kyrgyzstan (19) break into the ranks
  • The USA, due to comparable high crime rates, low availability of health services, and rising inequality, is ranked 142, just below Guinea-Bissau and above South Sudan.
  • The UK is ranked 40, reflecting the deteriorating social fabric.
  • China is ranked 34, India 90, Russia 127, and Brazil 148
  • The highest ranked South American country are Argentina (55) and Ecuador (69); the highest-ranking African country Burkina Faso (73).
Social Capital World Map_2019

Social Capital World Map_2019

Dark areas indicate high social capital, light shades low social capital

Social Capital World Ranking

Social Capital Rankings_2019.JPG

Social Capital Rankings_2019.JPG