Friday, July 27, 2012

Interesting paper

The Clan and the City: Sustaining Cooperation in China and Europe by Avner Greif and Guido Tabellini  (via Chris Blattman) Abstract:


Over the last millennium, the clan and the city have been the locus of cooperation in China and Europe respectively. This paper examines -- analytically, historically, and empirically -- the cultural, social, and institutional co-evolution that led to this bifurcation. We highlight that groups with which individuals identify are basic units of cooperation. Such groups impact institutional development because intra-group moral commitment reduces enforcement cost implying a comparative advantage in pursuing collective actions. Moral groups perpetuate due to positive feedbacks between morality, institutions, and the implied pattern of cooperation.

1 comment:

city said...

thanks for sharing.