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Highlights: [•] We examine the impact of balanced human and social capital on willingness to become an entrepreneur. [•] We extend the theoretical model of Lazear's (2005) jack-of-all-trades theory. [•] We study the willingness to become an entrepreneur of young people before entering the labor market. [•] We introduce a new measure for the balance of a human or social capital portfolio. [•] We find that a more balanced portfolio of human or social capital is positively correlated with the willingness to become an entrepreneur. [ABSTRACT FROM AUTHOR]

Abstract: We estimate fixed-effects and Arellano–Bond GMM equations using panel data from a large group of developing countries and test whether trust-based social capital, proxied by contract-intensive money, complements the role of institutions in promoting development. The results we obtain provide robust evidence that social capital enhances the contribution of institutions when we focus on political institutions and weaker evidence when we use civil liberties. Both social capital and institutions have positive effects on income but the relationships these variables have with income tend to be non-monotonic. Moreover, social capital has a positive influence on the effectiveness of human capital. [Copyright &y& Elsevier]

Abstract: Social capital is a broad term containing the social networks and norms that generate shared understandings, trust and reciprocity, which underpin cooperation and collective action for mutual benefits, and creates the base for economic prosperity. This study deals with the formation of social capital through development of human capital that is created from productive consumption. This paper attempts to formalize incorporation of social capital (SK). This paper sets up a one-sector growth model, where the engine of growth is capital accumulation. The production function for final output is of the AK-type, which uses aggregate capital as single input. Aggregate capital is represented by a Cobb–Douglas index comprising three types capital. Human capital accumulation results from productive consumption and an increase in social capital is driven by the existence of human capital. The optimal growth rate of consumption is derived and it is shown that both human capital and social capital accumulation affect the equilibrium growth rate. Finally, paper presents some empirical evidence on social capital and economic growth. [Copyright &y& Elsevier]

Abstract: This paper proposes three models of social capital and growth that incorporate different perspectives on the concept of social capital and the empirical evidence gathered to date. In these models, social capital impacts growth by assisting in the accumulation of human capital, by affecting financial development through its effects on collective trust and social norms, and by facilitating networking between firms that result in the creation and diffusion of business and technological innovations. We solve for the optimal allocation of resources channelled into the building of social capital, examine the models’ comparative statics and dynamics, and demonstrate how a tax and subsidy scheme may correct the resource under-allocation that results from the public good aspect of social capital creation. Observed differences in social capital across countries are explained by differences in government policies and the possibility of multiple equilibria and social capital poverty traps. [Copyright &y& Elsevier]

This paper explores how entrepreneurial family background impacts upon the development of social and human capital resources and demonstrates how these affect the profitability and growth of new enterprise. Through a qualitative approach, we found that those entrepreneurs from higher socio-economic groupings had high endowments of human capital. Significantly, their businesses were characterised by greater profitability and growth potential. Those entrepreneurs also had social networks characterised by high endowments of human capital. Consequently entrepreneurs from higher socio-economic class had access to highly effective business support, and these networks provided a ‘platform’ from which opportunities could be both recognised and realised. [Copyright &y& Elsevier]