Impact of Social Capital on Poverty: A Case of Rural Households in Eastern Bhutan

Type Working Paper - RCAPS Working Paper Series
Title Impact of Social Capital on Poverty: A Case of Rural Households in Eastern Bhutan
Author(s)
Publication (Day/Month/Year) 2013
URL http://www.researchgate.net/profile/Kaoru_Natsuda/publication/256841650_Impact_of_Social_Capital_on_​Poverty_A_Case_of_Rural_Households_in_Eastern_Bhutan/links/0c960523e5f8a10a12000000.pdf
Abstract
This study examines the impact of social capital on the poverty of rural households in eastern Bhutan by employing a simultaneous equation model of two-stage probit least squares (2SPLS). This study reveals that social capital positively contributes to poverty reduction and the impact is much higher than that of education. Rural people appear to be compensating for their lack of education by banking on social capital.

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