What does "social capital" refer to in the context of CED?

In the context of Community Economic Development (CED), "social capital" pertains to the networks, relationships, and norms that facilitate collective action among individuals and groups within a community. This concept emphasizes the importance of social networks in promoting cooperation and mutual support, which can enhance the ability of communities to work together towards common goals.

By building trust and fostering collaboration, social capital helps communities to mobilize resources, address shared challenges, and create sustainable development strategies. Such networks can include formal organizations, informal community groups, neighborhood associations, or even connections between local businesses and residents. This integrative element is crucial for effective problem-solving and community resilience.

Moreover, while other concepts like financial assets, physical resources, and technological advances are essential for development, none of these can substitute for the foundational role that social capital plays in enabling communities to effectively coordinate efforts and achieve their developmental objectives.