The Network Structure of Social Capital
THE NETWORK STRUCTURE OF SOCIAL CAPITAL Ronald S. Burt ABSTRACT This is a review of argument and evidence on the connection between social networks and social capital. My summary points are three: (1) Research and theory will better cumulate across studies if we focus on the network mechanisms responsible for social capital effects rather than trying to integrate across metaphors of social capital loosely tied to distant empirical indicators. (2) There is an impressive diversity of empirical evidence showing that social capital is more a function of brokerage across structural holes than closure within a network, but there are contingency factors. (3) The two leading network mechanisms can be brought together in a productive way within a more general model of social capital Structural holes are the source of value added, but network closure can be essential to realizing the value buried in the holes. Research in Organizational Behaviour, Volume 22, pages 345-423. Copyright © 2000 by Elsevier Science Inc. All rights of reproduction in any form reserved. ISBN: 0-7623-0641-6 345 346 RONALD S. BURT INTRODUCTION Social capital is fast becoming a core concept in business, political science, and sociology. An increasing number of research articles and chapters on social capital are appearing (look at the recent publication dates for the references to this chapter), literature reviews have begun to appear (e.g. Nahapiet & Ghoshal, 1998; Portes, 1998; Sandefur & Laumann, 1998; Woolcock, 1998; Foley & Edwards, 1999; Lin, 1999; Adler & Kwon, 2000), books are dedicated to it (e.g. Leenders & Gabbay, 1999; Baker, 2000; Lesser, 2000; Lin, Cook, & Burt, 2001; Lin, forthcoming), and the term in its many uses can be found scattered across the internet (as a business competence, a goal for non-profit organizations, a legal category, and the inevitable subject of university conferences).
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