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A tale of an unwanted outcome: Transfers and local endowments of trust and cooperation

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  • Accetturo, Antonio
  • de Blasio, Guido
  • Ricci, Lorenzo

Abstract

Transfers can do good; however, they can also result in massive failures. This paper presents a model that highlights the ambiguous nature of the impact of transfers on local endowments of social capital. It then describes an empirical investigation that illustrates that the receipt of EU structural funds causes a deterioration of the endowments of trust and cooperation in the subsidized regions.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of Economic Behavior & Organization.

Volume (Year): 102 (2014)
Issue (Month): C ()
Pages: 74-89

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Handle: RePEc:eee:jeborg:v:102:y:2014:i:c:p:74-89

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Web page: http://www.elsevier.com/locate/jebo

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Keywords: Social capital; Political economy; Regional transfers;

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