ABSTRACT
Whereas there are many reasons why governments may impede or fail to facilitate independent organization, the forms that organizations take under these circumstances are singularly dominated by reliance on a single factor: personal relationships. Without facilitative government, impersonal relationships are insecure, and when there are none of the substitutes for complex impersonal dealings that a facilitative government can provide, organizing depends on personal relationships. The hallmark of modern societies has been the institutional arrangements that can produce impersonal trust among strangerswhen the scope of business activity expands beyond what can be accommodated by a friendship or kinship circle (Fligstein, 1996; North, 1990).
