45; dynamics of, 204–205; economic, 28–29; economic action, impacted by, 35–36; Ellickson on, 40–44; emergence of, 38; emotions impact on, 29–30, 42–43; for esteem, 40; evolution, 26; exclusionary, 43; family, 173–174; force of, 32–34; functional, without mechanism, 40; group benefitting from, 44; as harmful to group, 44–45; human nature and, 35–36; inefficiency identification of, 43; inefficient, 43; influence of, 35, 38; malleability of, 51–52; market interactions, 37; market pricing, 41–42, 46; mental constructs, 27; moral judgments impact on, 49–50; Index Parsons on, 28; problem-solving, 39–40; of reciprocity, 46–47, 49–50, 66, 70; role of, 1; self-interest, 45–46; shame, guilt impact on, 31; social context of, 135–136; social networks and, 15–16; in sociology, 28–29; theoretical work on, 38–39; trust based on, 70–72; welfare impacted by, 39, 44–45 Null hypothesis, 3, 4; of economic rationality, 108; of human nature, 3–4; of individualism, 77; on nature of action, 11; of parsimony, 45–46; of self-interest, 73; of socialization, 45 Occupations, 33–34 OEM See Original equipment manufacturer Opportunity, 112 Order, 12 Organization, 231n2, 232n2; history of, 140–141; of industry, 141, 158–159; institutions, theory of, 140–141, 162–163 Original equipment manufacturer (OEM), 156, 160–163 The Origins of Non-Liberal Capitalism (Streeck and Yamamura), 189–190 Outcomes, Ownership, 130–131 Pareto, Vilfredo, 117, 229n17, 230n2 Parsimony: human nature of, 4–5; null hypothesis of, 45–46; trust impacted by, 60–61, 72–73 Parsons, Talcott, 12, 14, 228n11, 229n13; on functional prerequisites, 137; on power as centralized, 52; on power of money, 97–98; on social consensus, 80; on values and norms, 28 Partnership system, 176–179 The Passions and the Interests (Hirschman), 56–57 Path dependence, 9–10 Patriarchy, 90, 176 Personal relationships: based on sympathy, 84; benefits of, 60–61; Index deception in, 81; emotions in, 61–62; identity impact on, 64–65; markets impact on, 83–84; as necessity, 84; trust in, 62–65; of victim-offender, 64 Political science, 28, 46, 95, 100, 127 Politics, culture of, 151–153 Pollution, 101, 103 Popkin, Samuel, 51–53 Positivistic, 12 Power, 1, 89–90, 232n11; in animals, 104; from brokerage, 106–126, 232n8; centralization of, 52; from control of agenda and discourse, 100–103, 127–128, 232n5; from dependence, 92–97, 104; domination as, 92; dynamics of, 204–205; of elite, 116–126, 118, 232n10; of entrepreneurship, 112–116; in hierarchy, 129–132; history of, 133–134; from individual characteristics, 103–104; from interests, 103; invisibility and, 102; legitimacy-based, 97–100; macro-level perspectives on, 125–134; Marx on, 92–93; of money, 97–98; through ownership, 130–131; from resources, 108–110, 129–134; seizure of, 110–111; small worlds and, 116–126, 122–123; social exchange impacted by, 94–95; from social network position, 104–105, 232n6; social structure and, 103; in spheres of exchange, 105, 112–116; varieties of, 91–92; Weber on, 91–93, 96–97 The Power Elite (Mills), 117 Pragmatist epistemology, viii, 22, 144, 149, 172 Pragmatist view, 28, 139, 147, 154, 187, 189, 192, 194, 202, 203, 227n2 Prisoners’ Dilemma, 63 Problems, of order, 12 Problem-solving, 171–172; action as, 192–193; human nature and, 139–140, 147; institutions for, 190–191, 201–203; norms for, 39–40; social movement, 143–144 Professional communities: elite in, 118–122; ethics in, 33–34; moral commitment of, 49; recruitment in, 241 social network, 179–180; small worlds in, 123–125 Psychology: behavioral, 94–95; cognitive, 138; of emotions, 32–35; moral, 31, 35, 41; of moral dilemmas, 154; social, 16, 105, 112, 141; of social sciences, 3–5; of trust, 58–59, 67 Railway industry, 151 Rational action, 1, 26, 34–35, 227n2 Rationality: of cooperation, 58–59; economics, 108; human nature and, 57; trust and, 59–63 Rationalization, 59–60 The Rational Peasant (Popkin), 51 Reciprocity: exchange of, 105, 232n6; norms of, 46–47, 49–50, 66, 70 Reductionism, 4–5; arguments of, 12 Redundancy, 108 Relational embeddedness, 17–18 Relationships See Personal relationships Renaissance men, 102, 179 Reputation, 41, 61–63, 83, 87, 141; bad, 81–82; consequences, 67; establish, 172; power of, 77 Resources, 179–186; acquisition of, 84, 95–96; benefits from, 61–62; commitment of, 85–86; control over, 50, 92–95, 98, 121, 126, 134; entrepreneurship and, 5–6; exchange of, 16–17, 50–51, 67, 96, 100, 103–107; for guiding action, 184–193; human, 140–141, 162; investment of, 71–72, 79–80; power from, 108–110, 129–134; scarcity of, 1–2, 96 Ricardo, David, 13, 228n12 Risk: protection against, 69; of trust, 58, 72–73 Robbins, Lionel, Robust action, 110, 184 Roe, Mark, 152 Role conflict: in family, 172–173; in institutions, 172–173 Rules, 98–100 Sacred values, 35, 74 Samuelson, Paul, 21 242 Scarcity, 1–2 Scott, James, 50 The Search for Order (Wiebe), 142–143 Self-interest: atomization from, 13; cooperation beyond, 36–38; norms, 45–46; null hypothesis of, 73; realization, 27 Shame: behavior impacted by, 30–31; as moral dilemma, 32–33; norms impacted by, 31 Silver, Allan, 83–84 Simmel, Georg, 93–94, 106–107 Skinner, B F., Small worlds: collapse of, 133; power in, 122–123; in professional communities, 123–125 Smith, Adam, 13, 21, 83–84 Social capital, 82 Social consensus, 80 Social context: of culture, 135–136; of individuals, 135–136 Social exchange, 23, 63, 104–105; power impacting, 94–95; theory, 67 Social identity, 67, 82, 109–110 Social institutions, 4, 15, 25, 76; capitalist, 138; definition of, 136; discussion of, 135–136; individual action impacted by, 12; intersecting, 179; like polity, 97; theory of, Socialization: approval in, 23; for cooperation, 56; as equilibria, 37; labor markets impacted by, 24; null hypothesis of, 45; obedience as, 11–12 Social movement, 143–144 Social networks, 227n4; advantage in, 23–24, 44; authority in, 131–132; autonomy in, 107–108; for community welfare, 85–86; consequences and, 15; contours of, 45; density of, 229n15; embeddedness in, 17–20; influence on, 18–19; norms, 15–16; occupations, 33–34; power from position in, 104–105, 232n6; professional recruitment in, 179–180; redundancy within, 108; reputation in, 81; as small worlds, 116–118; structural holes in, 16–17, 110–112; weak ties in, 16 Index Social psychology, 16, 105, 112, 141 Social sciences, 3–5 Social setting, 11–12 Social structure: intersection, 112; mechanism, 54; power and, 103 Sociobiology, Sociological exchange theory, 94, 104–109 Sociology, 135–136, 227n1, 232n1; norms in, 28–29 Solution: institutional, 6–7; understanding of, Sorge, Arndt, 193–194, 197–200 Spheres: of exchange, 105, 112–116; institutions and, 137–138 Standard and Poor’s, 87, 124 Stark, David, 185–187 Static analysis, 8–9 Status hierarchy, 95 Steel industry, 194–197 Stigler, George, 13 Stories: adaptive, 6–7, 10, 43, 150; of evolution, Strategy: action, as optimum, 110–112; among individuals, 51–52 Streeck, Wolfgang, 189–190, 192 Strong Managers: Weak Owners (Roe), 152 Structural embeddedness, 18–19, 65–66, 231n7 Structural holes: bridge over, 114–115; brokerage and, 106; in social networks, 16–17, 110–112 Structure: of authority, 111, 129–130; in automobile industry, 166–167, 169–170; of business groups, 87–89; trust from, 82 The Structure of Social Action (Parsons), 12 Systems theory, 5, 227n3 Technology, as path dependence, 9–10 Temporal embeddedness, 19–20 Tertius gaudens, 106–107 Tertius iungens, 106–107, 118 Textile industry, 153–154 Thelen, Kathleen, 136 Index “The Methodology of Positive Economics” (Friedman), Theory: applied rational choice, 3–4; evolution game, 38; exchange, with social identity, 109–110; institutional, of organization, 140–141, 162–163; of modernization, 87; systems, 5, 227n3 The Theory of Price (Stigler), 13 The Theory of the Leisure Class (Veblen), 43 Thompson, E P., 27; on paternalism, 46 Thrift industry, 142 Trust, 1, 55, 89–90, 230n3; aggregation of, 81; in automobile industry, 167–169; concept of, 56–59; conditions for, 72–80; cultural impact on, 84–85; culture of, 96–97; dichotomy of, 78; dynamics of, 204–205; enforceable, 231n9; in entrepreneurship, 79; of family, 71–72, 78–79, 87–89; in government policy, 83; in groups, 65–68; high level of, 71, 78–79, 85, 146; institutional sources of, 68–70, 75–76; institutions impact on, 84–85; of interests, 76; in leader, 86–87; low level of, 71, 78–79, 84–85; at macro level, 85–86; from norms, 70–72; parsimony impact on, 60–61, 72–73; in personal relationships, 62–65; psychology of, 58–59, 67; rationality in, 59–63; risk of, 243 58, 72–73; as social capital, 71; of strangers, 80; from structure, 82 Ultimatum Game (UG), 36–38, 230n4 Utilitarianism, 12, 59–60 Value-rational action, 20 Values: as broad concept, 27; emotions impact on, 35; justification of, 185–186; as mental constructs, 27; Parsons on, 28 Veblen, Thorstein, 43 Venture capital financing industry, 183–184 Wall Street, 101–102 Weak ties, strength of, 16, 107 Weber, Max, 1–2, 20, 231n3,4; on power, 91–93, 96–97 Wiebe, Robert, 142–143 Williamson, Oliver, 52, 57 Wilson, E O., World Values Survey (WVS), 70, 78, 150 Wrong, Dennis, 11–12 WVS See World Values Survey Yamamura, Kozo, 189–190 Zucker, Lynne, 62, 66, 69, 75, 140 Zuckerman, Ezra, 108 ... of, Sorge, Arndt, 193–194, 197–200 Spheres: of exchange, 105, 112–116; institutions and, 137–138 Standard and Poor’s, 87, 124 Stark, David, 185–187 Static analysis, 8–9 Status hierarchy, 95 Steel... action, 1, 26, 34–35, 227n2 Rationality: of cooperation, 58–59; economics, 108; human nature and, 57; trust and, 59–63 Rationalization, 59–60 The Rational Peasant (Popkin), 51 Reciprocity: exchange... mechanism, 54; power and, 103 Sociobiology, Sociological exchange theory, 94, 104–109 Sociology, 135–136, 227n1, 232n1; norms in, 28–29 Solution: institutional, 6–7; understanding of, Sorge, Arndt,