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This study explores social capital and its relevance to bank risk taking across countries. Our empirical results show that the levels of bank risk taking are lower in countries with higher levels of social capital, and that the impact of social capital is mainly reflected by the reduced value of...
Persistent link: https://www.econbiz.de/10011843274
We present new evidence on the influence of income inequality on generalized trust. Using individual panel data from … differences among people in the bottom half of the income distribution, are associated with lower trust. The relationship between … income inequality and trust is particularly strong for people with a strong aversion against income differentials. We also …
Persistent link: https://www.econbiz.de/10010321606
We conduct an extensive robustness analysis of the relationship between trust and growth for a later time period (the … results. We find that the trust-growth relationship is less robust with respect to empirical specification and to countries in … the sample than previously claimed, and that outliers affect the results. Nevertheless trust seems quite important …
Persistent link: https://www.econbiz.de/10010321616
We present new evidence on how generalized trust is formed. Unlike previous studies, we look at the explanatory power … Freedom Index) increase trust. The idea is that a market economy, building on voluntary transactions and interactions with … for trust to emerge between people. …
Persistent link: https://www.econbiz.de/10010321621
for employees to work in co-ethnic firms. It argues that strong social networks and related high intra-group trust …
Persistent link: https://www.econbiz.de/10010325357
Vendettas occur in many real world settings where rivals compete for a prize, e.g., winning an election or a competitive promotion, by engaging in retaliatory aggressive behavior. We present a benchmark experiment where two players have an initial probability of winning a prize. Retaliatory...
Persistent link: https://www.econbiz.de/10010277513
to contribute also an adequate share to the community. In such a situation trustworthiness of a government and trust in a … government is high. This paper provides empirical evidence that trust is crucial for fiscal performance using data for the full … sample of Swiss cantons over the 1981-2001 period. In cantons with high levels of trust, the level of indebtedness is …
Persistent link: https://www.econbiz.de/10010312479
We present new evidence on the influence of income inequality on generalized trust. Using individual panel data from … especially differences among people in the bottom half of the income distribution, are associated with lower trust. The … relationship between income inequality and trust is particularly strong for people with a strong aversion against income …
Persistent link: https://www.econbiz.de/10010320115
For a cross-section of 123 European regions, we find evidence for a positive effect of generalized trust on regional … recent literature on the effects of climate on historic trust levels. The popular explanation for spatial clustering of … be better explained by a positive influence of trust on innovation and spatial clustering of trust. …
Persistent link: https://www.econbiz.de/10010126949
television in the formation of political consensus in Italy. Based on probit and instrumental variables estimates, we find trust … in television to be the most significant predictor of trust in the Italian prime minister. The latter is also strongly … and negatively correlated with trust in the judicial system and tolerance towards immigrants. …
Persistent link: https://www.econbiz.de/10011524858