Social Capital, Income and Personal Well-Being Case Study: Iran



Nowadays the phrase “Social Capital” has become one of the widely used general terms in social studies. The impact of social capital on economies and politics has expanded and has opened new venues for solving social and political malaise. One of the effects of social capital is its impact on personal welfare. In this article we have used a dynamic model containing two equations to study the impact of social capital on income and personal welfare. The data used were obtained using responses to over two thousand questioners distributed is the capital of about 15 provinces in the Islamic Republic of Iran in 2008. The results indicate that social capital affects both income and personal welfare in a positive way.
JEL Classification: AL3, D69, D19