Investigating Role of Social Capital Indicators on Economic Growth (Selected OIC Countries)

Articles in Press

Document Type : Original Article

Authors

zahra Izadi Ahd ¹

Maryam sharifnezhad ²

ahmad sarlak ¹

ali Sheikhi Mehrabadi ¹

¹ Department of Economics, Ar.C., Islamic Azad University, Arak, Iran.

² Department of Economics, Ar.C., Islamic Azad University, Arak, Iran.Azad University, Arak, Iran

https://doi.org/10.22067/erd.2026.94838.1310

Abstract

Economic growth contributes to improving the quality of life and welfare of individuals in society, while social capital leads to personal development. Therefore, social capital is a key prerequisite for economic growth. Accordingly, recent studies have focused on examining the effects of social capital on economic growth. The purpose of this study is to investigate the role of various sub-indices of social capital on economic growth in a selected group of Islamic Cooperation Organization (OIC) member countries using panel data over the period 2000–2022. For this purpose, in this study, the Civil Society Participation Index (CSPI), Social Trust Index (ST), Social Networks Index (SN), and Corruption Perception Index (CP) were considered as indices of social capital. In addition, the Education Index (ED), Participation Rate of Female (PRF), and Inflation Rate (CPI) were included as control variables. The results of estimating the panel model with fixed effects showed that the variables CSPI, ST, SN, CP, and ED have a positive and significant role in determining the level of economic growth in the studied countries. In other words, a one percent increase in each of the above-mentioned significant indices leads to an increase in economic growth. Hence, social capital sub-indices and the education index, as key components, play a major role in determining the level of economic growth in these countries, such that structural changes in areas such as social trust, civic participation, and education can lead to more sustainable and equitable economic growth. Therefore, it is necessary for policymakers to design their programs based on attention to these key variables.

Keywords

Social Capital

. Economic Performance

Social Trust

.Civil Society Participation

Islamic Countries

Subjects

• economic development

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