Implementing Social Capital in Poverty Reduction Efforts in Indonesia

10.2478/bjlp-2022-002051

Abstract

Economic strategies are typically prioritized in Indonesia's efforts to
alleviate poverty. These strategies include the building of new infrastructure (a
form of physical capital), the provision of financial and educational capital, and the
improvement of health care and education (human capital). In point of fact, poverty
is a complicated problem that involves a wide variety of resources, one of which is
social capital. This article takes the form of applying social capital theory to analyze,
map, and stimulate the alleviation of poverty in a community by making the most
of the social capital that is available in that society. In this investigation, a
qualitative strategy is combined with a descriptive research approach. The findings
indicate that social capital is an important factor in reducing the severity of poverty
and is also capable of lifting the poor out of poverty. This is accomplished through
the formation of bonds and bridges between members of a household's family,
friends, and even neighbors, all of which work to ensure that the household does
not fall even below the poverty line.