We show the existence of a twin peaks relation between trust and the size of the welfare state that stems from two opposing forces. Uncivic people support large welfare states because they expect to benefit from them without bearing their costs. But civic individuals support generous benefits...

We show the existence of a twin peaks relation between trust and the size of the welfare state that stems from two opposing forces. Uncivic people support large welfare states because they expect to benefit from them without bearing their costs. But civic individuals support generous benefits...

This article surveys recent research on the relationship between trust and growth. It documents the strong international and interregional heterogeneity of trust. The theoretical mechanisms that explain the influence of trust on economic performance and the empirical methods used to identify the...