Tuesday, August 15, 2017

Recognition can come about only in a social context

From Trust: The Social Virtues and the Creation of Prosperity by Francis Fukuyama. Page 7.
The satisfaction we derive from being connected to others in the workplace grows out of a fundamental human desire for recognition. As I argued in The End of History and the Last Man, every human being seeks to have his or her dignity recognized (i.e., evaluated and its proper worth) by other human beings. Indeed, this drive is so deep and fundamental that it is one of the chief motors of the entire human historical process. In earlier periods, this desire for recognition played itself out in the military arena as kings and princes fought bloody battles with one another for primacy. In modern times, the struggle for recognition has shifted from the military to the economic realm, where it has the socially beneficial effect of creating rather than destroying wealth. Beyond subsistence levels, economic activity is frequently undertaken for the sake of recognition rather than merely as a means of satisfying natural material needs. The latter are, as Adam Smith pointed out, few in number and relatively easily satisfied. Work and money are much more important as sources of identity, status, and dignity, whether one has created a multinational media empire or been promoted to foreman. This kind of recognition cannot be achieved by individuals; it can come about only in a social context.

Thus, economic activity represents a crucial part of social life and is knit together by a wide variety of norms, rules, moral obligations, and other habits that together shape the society. As this book will show, one of the most important lessons we can learn from an examination of economic life is that a nation's well-being, as well as its ability to compete, is conditioned by single, pervasive cultural characteristics: the level of trust inherent in the society.

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