THE ROLE OF BONDING, BRIDGING AND LINKING AT TRADITIONAL MARKETS IN INDONESIA: A Study at Lok Baintan Floating Market Banjar Regency South Kalimantan

Abstract

This paper aims to analyze the role of bonding, bridging, and linking among the economic actors in Indonesian Traditional Markets. By applying the analysis of social capital framework and empirical data from the well-known cases, Lok Baintan Floating Market South Kalimantan is analyzed through a qualitative approach and phenomenology research strategy. This study confirms previous findings that market participants rely more on informal institutions for financial problems than on formal institutions, as dealing with formal institutions is too complicated for them. The novelty of this study is that it reveals the role of social capital not only from the point of micro aspects but also from the macro aspects. This study further confirms that the three types of relationship (bonding, bridging, and linking) are attached to individual actors and the market in which the level of social capital "linking" between the market participants and the government is still low due to the difficulty of changing ingrained value among market participants. The “bridging” level between the market participants with formal and informal institutions is very high for assistance, excluded bonding and a wider customer network. Social capital of "bonding" is also important in the exchange of capital, price and goods information among sellers, although the relationship too close is provento potentially lead to the emergence of misappropriation of trust and lead to distrust.