| Summary: | Collective action has both intrinsic and instrumental value. Being part of a group and participating towards meeting a common objective provides direct benefits to individuals. In the Ethiopian survey data used in this study, individuals who report having larger networks also report higher levels of happiness. Such correlations are not unique to Ethiopia. Using data from the World Values Survey, Helliwell and Putnam (2004) found that individuals who report higher levels of individual and collective civic engagement also reported higher scores on measures of subjective well-being. Collective action is also a means to an end. For example, the joint management of irrigation canals, rangelands, and fisheries are actions by groups that allow individuals to generate higher and more sustainable incomes. The focus of this paper is a specific, instrumental dimension of collective action: the role of groups and networks in helping households in poor communities manage their exposure to risks and cope with shocks to their livelihoods.
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