Linking action to social structure within a system: Social capital within and between subgroups

Differences in transactions within and outside of cohesive subgroups are hypothesized to be a function of actors' pursuit of different forms of social capital. In an example of the French financial elite, subgroups are identified based on the pattern of friendships, and graphical representations establish the descriptive link between social structure and action. Estimates from multilevel models quantify the extent to which actors abstain from hostile action against subgroup members but tend to support others not in their subgroup. These complementary findings establish the subgroup as a critical mesolevel entity, defined by the social structure while affecting action.