What is the significance of social capital in society?

The significance of social capital in society lies in its role in enabling effective functioning through networks of relationships. Social capital refers to the connections, networks, and relationships among people that facilitate cooperation and collective action for mutual benefit. When individuals and groups are interconnected, they can share information, resources, and support, leading to stronger communities and enhanced problem-solving capabilities.

This interconnectedness fosters trust, norms of reciprocity, and collaborative behavior, which are essential for addressing social issues, promoting civic engagement, and enhancing individual well-being. By recognizing the value of social capital, we understand how relationships among individuals can significantly influence societal outcomes, such as economic development, public health, and educational achievements.

In contrast, the other options focus on aspects that are not representative of social capital. Financial wealth pertains to economic capital, educational achievements relate to human capital, and rules and norms reflect the framework of social norms rather than the relational aspect of social capital itself. Therefore, the emphasis on networks and relationships captures the essence of how social capital operates within communities.