Measuring individual social capital in cooperatives in West Shoa, Ethiopia

Author:

Belay Daniel1ORCID,Wondimu Asegedech2

Affiliation:

1. Department of Economics Ambo University Ambo Ethiopia

2. Department of Public Health Wolkite University Wolkite Ethiopia

Abstract

AbstractThe aim of the paper is to extend the knowledge of the measurement of dimensions of social capital in cooperatives. The paper draws on data collected in a survey of 154 members in dairy cooperatives to develop and test composite indicators for measuring dimensions of social capital: structural, relational, and cognitive. Principal component analyses (PCAs) were performed on the data sets of indicators of dimensions of social capital. The Kaiser–Meyer–Olkin measure of sampling adequacy and Bartlett's test of Sphericity supported the appropriateness of performing PCAs. After the extraction of the principal components, intermediate composite indicators were computed for the dimensions of social capital. Finally, the composite indicators were computed as linear weighted aggregations of the intermediate composite indicators. The internal consistency of the composite indicators was verified using Cronbach's alpha. The method provided single, synthetic measures for the dimensions of social capital, which are robust and exhibit construct validity. The paper provided practical knowledge that can be applied to measuring dimensions of social capital in cooperatives.

Publisher

Wiley

Subject

Economics and Econometrics,Sociology and Political Science

Reference43 articles.

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4. Determinants of individual social capital in dairy cooperatives in West Shoa, Ethiopia

5. The effect of trust on farmers’ milk market participation in dairy cooperatives in West Shoa, Ethiopia

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