Can weak ties create social capital? Evidence from Self-Help Groups in rural India

Abstract

The "strength of weak ties" has been established in the context of labour market outcomes, with theoretical and empirical investigation showing how weak ties lead to an increase in mobility and job opportunities. The impact of weak ties on community organisation is less well understood. We contribute to this literature by investigating if weak ties, generated via membership of livelihood programmes, can lead to the creation or enhancement of social capital. Based on data from one of the largest independent primary surveys for India, we find that participation in self-help groups had little impact on livelihoods, but led to the creation of significant social capital, as measured by indicators related to personal efficacy and collective action. The bulk of existing evidence on livelihood programmes is based on small samples. Our large sample size and innovative survey design allow us to detect a larger number of effects with greater certainty. We argue that the social capital generated by the programme is a significant positive impact (even though the main target of the programme is to strengthen livelihoods), as it strengthens the process of women's empowerment.

Expansion, cohesion and diversity: The network advantages of microfinance groups in Indian villages

“…In doing so, it is also important for policy makers to fully represent the disadvantaged groups in the caste system when encouraging gathering in the aggregations. Then, ‘weak ties’ created by these group processes would even increase the chances of exposure to external financial information, sources and contacts (such as banks and governmental institutions), because diverse sources of information and sources tend to come from cross‐cutting ties (Deshpande & Khanna, 2021; Granovetter, 1973).…”

Capable Women, Incapable States: Negotiating Violence and Rights in India. By Poulami Roychowdhury. Oxford: Oxford University Press, 2020. 252 pp. $110.00 (cloth), $32.95 (paper). https://doi.org/10.1093/oso/9780190881894.001.0001.

“…Through material resources, legal advice, and support in the form of community, these brokers work to transform women’s goals from preserving their families to “running a case.” Access to an alternative community is crucial, in no small part because the women who speak up do so at risk of ostracization from their families. This speaks to an emerging literature on the power of women’s collectives for developing solidarity and achieving political and social gains in India (Deshpande and Khanna 2021; Prillaman 2021).…”

“…Access to an alternative community is crucial, in no small part because the women who speak up do so at risk of ostracization from their families. This speaks to an emerging literature on the power of women's collectives for developing solidarity and achieving political and social gains in India (Deshpande and Khanna 2021;Prillaman 2021).…”

The Impact of an Adult Education Program for Mothers: Evidence from India

“…Joining a group of other women towards a common goal has a number of attractions/advantages. The abundant literature on SHGs has highlighted the role of SHGs in enhancing social capital, increasing propensity towards collective action and strengthening woman's empowerment (Deshpande and Khanna (2019)).…”