robustly established that remittances and trust matter for financial development. …

players to reward trust even if material incentives dictate to exploit trust. By analyzing the crowding out or crowding in of …

To investigate the relation between trust and formal institutions, we analyze bilateral trade patterns in a sample of … 16 European countries between 1996-2009. Trust in trading partners has a significant positive effect on bilateral trade …. However, our results suggest that trust and formal institutions are substitutes, as the positive effect of trust on trade is …