We propose that (i) social capacity, defined as the ability of people to organize and use their social capital, does influence their level of income, and that (ii) this is because social capital use facilitates the flow of income-related knowledge and information between economic agents. Tests of these propositions based on a framework classifying social capital as a productive asset embedded in four types of social relations, and using data on household and community social capital for rural Canada, revealed some supportive evidence.