Cohesive minority groups sustain commerce through shared law and reputation.
Evidence
In the past, Jews formed a cohesive, geographically concentrated social group in the countries in which they lived. Jewish law provided detailed substantive rules of commercial behavior, and the Jewish community provided an array of extralegal dispute resolution institutions. — Lisa Bernestein, Opting out of the Legal System, 182
Categorization
- XREF: Echoes the reputation-and-networks logic of medieval merchant guilds and Venice’s Jewish quarter as discussed in economic history literature. — connects to: A bazaar can function as an organization through merchants’ social capital. — Coleman, SocialCapitalCreation-1988, 63; Group reputation for fair dealing drives a trading bourse’s economic viability.; A Law Merchant institution can sustain honest trade as an equilibrium — PAUL R. MILGRO, PAUL R. MILGRO - THE ROLE OF…, 95 (+9 more)
Broader Connections
- Group reputation for fair dealing drives a trading bourse’s economic viability.
#exemplifies(0.95) - A Law Merchant institution can sustain honest trade as an equilibrium
#corroborates(0.90) — PAUL R. MILGRO, PAUL R. MILGRO - THE ROLE OF…, 95 - Confinement to one community makes reputational sanctions powerful enough to guarantee repayment
#expands(0.85) - Mafia reputation functions as a shared trademark yielding collective benefits
#exemplifies(0.80) - Institutions enabling safe cooperation must precede trustworthiness, which precedes trust
#qualifies(0.80) - Collective-retaliation threat, encoded in honour culture, sustains group trust
#corroborates(0.80) - Commerce requires liberty, contract security, trust, and justice
#expands(0.75) - Community leaders police Muslim behavior to protect reputational standing
#exemplifies(0.75) - Rotating-credit associations depend on social trust to function.
#exemplifies(0.75) — Coleman, SocialCapitalCreation-1988, 85 - Governing corrodes the group cohesion that enabled a group to rule
#complicates(0.72)