IDEAS home Printed from https://ideas.repec.org/a/eee/wodepe/v25y2022ics2452292921000850.html
   My bibliography  Save this article

Does institutional trust and governance matter for multidimensional well-being? Insights from Pakistan

Author

Listed:
  • Danish, Muhammad Hassan
  • Nawaz, Shahzada Muhammad Naeem

Abstract

This research aims to investigate the relationship between institutional trust and well-being by using the data of 1566 households from Punjab, Pakistan. This study deploys two methods: one is the order logistic regression to analyze the role of institutional trust and governance on SWB, whereas the second is GSEM to develop a structural relationship of independent variables with SWB and SRH. The findings of the study reveal that institutional quality, government effectiveness, and satisfaction with services of hospitals are positively related to happiness, LS, and worth of life. Furthermore, people tend to feel happier and satisfy with their lives if they perceive no corruption by the government and public institutions and have trust on institutions. The present study suggests the government and policymakers improve the institutional quality and enhance the trust of the public in police and judiciary as well as improve the quality of public institutions like education and health departments. The government also needs to implement strict penalties on bribery and corruption in public institutions.

Suggested Citation

  • Danish, Muhammad Hassan & Nawaz, Shahzada Muhammad Naeem, 2022. "Does institutional trust and governance matter for multidimensional well-being? Insights from Pakistan," World Development Perspectives, Elsevier, vol. 25(C).
    • Handle: RePEc:eee:wodepe:v:25:y:2022:i:c:s2452292921000850
    DOI: 10.1016/j.wdp.2021.100369
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S2452292921000850
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.wdp.2021.100369?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. John Hudson, 2006. "Institutional Trust and Subjective Well‐Being across the EU," Kyklos, Wiley Blackwell, vol. 59(1), pages 43-62, February.
    2. Nazim Habibov & Lida Fan & Alena Auchynnikava, 2019. "The Effects of Corruption on Satisfaction with Local and National Governments. Does Corruption ‘Grease the Wheels’?," Europe-Asia Studies, Taylor & Francis Journals, vol. 71(5), pages 736-752, May.
    3. Blanchflower, David G. & Oswald, Andrew J., 2008. "Is well-being U-shaped over the life cycle?," Social Science & Medicine, Elsevier, vol. 66(8), pages 1733-1749, April.
    4. Bjørnskov, Christian & Dreher, Axel & Fischer, Justina A.V., 2010. "Formal institutions and subjective well-being: Revisiting the cross-country evidence," European Journal of Political Economy, Elsevier, vol. 26(4), pages 419-430, December.
    5. Marco Ciziceno & Giovanni A. Travaglino, 2019. "Perceived Corruption and Individuals’ Life Satisfaction: The Mediating Role of Institutional Trust," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 141(2), pages 685-701, January.
    6. Frey, Bruno S & Stutzer, Alois, 2000. "Happiness, Economy and Institutions," Economic Journal, Royal Economic Society, vol. 110(466), pages 918-938, October.
    7. David Aristei & Bruno Bracalente, 2011. "Measuring multidimensional inequality and well-being: methods and an empirical application to Italian regions," Statistica, Department of Statistics, University of Bologna, vol. 71(2), pages 239-266.
    8. Christian Bjørnskov & Axel Dreher & Justina Fischer, 2008. "Cross-country determinants of life satisfaction: exploring different determinants across groups in society," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 30(1), pages 119-173, January.
    9. Xuyun Tan & Li Liu & Zhenwei Huang & Xian Zhao & Wenwen Zheng, 2016. "The Dampening Effect of Social Dominance Orientation on Awareness of Corruption: Moral Outrage as a Mediator," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 125(1), pages 89-102, January.
    10. Timothy Besley & Stephen Coate, 1997. "An Economic Model of Representative Democracy," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 112(1), pages 85-114.
    11. Sarracino, Francesco, 2013. "Determinants of subjective well-being in high and low income countries: Do happiness equations differ across countries?," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 42(C), pages 51-66.
    12. Duha T. Altindag & Junyue Xu, 2009. "The Impact of Institutions and Development on Happiness," Departmental Working Papers 2009-17, Department of Economics, Louisiana State University.
    13. Rose-Ackerman,Susan & Palifka,Bonnie J., 2016. "Corruption and Government," Cambridge Books, Cambridge University Press, number 9781107081208.
    14. Yee Ngoo & Nai Tey & Eu Tan, 2015. "Determinants of Life Satisfaction in Asia," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 124(1), pages 141-156, October.
    15. Johann Graf Lambsdorff, 2003. "How Corruption Affects Productivity," Kyklos, Wiley Blackwell, vol. 56(4), pages 457-474, November.
    16. J. Ott, 2011. "Government and Happiness in 130 Nations: Good Governance Fosters Higher Level and More Equality of Happiness," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 102(1), pages 3-22, May.
    17. Koen Decancq & María Ana Lugo, 2013. "Weights in Multidimensional Indices of Wellbeing: An Overview," Econometric Reviews, Taylor & Francis Journals, vol. 32(1), pages 7-34, January.
    18. Qiang Li & Lian An, 2020. "Corruption Takes Away Happiness: Evidence from a Cross-National Study," Journal of Happiness Studies, Springer, vol. 21(2), pages 485-504, February.
    19. Brown, Sarah & Gray, Daniel, 2016. "Household finances and well-being in Australia: An empirical analysis of comparison effects," Journal of Economic Psychology, Elsevier, vol. 53(C), pages 17-36.
    20. Rose-Ackerman,Susan & Palifka,Bonnie J., 2016. "Corruption and Government," Cambridge Books, Cambridge University Press, number 9781107441095.
    21. Philip Nel, 2020. "When bribery helps the poor," Review of Social Economy, Taylor & Francis Journals, vol. 78(4), pages 507-531, October.
    22. Lufanna Lai & Robert Cummins & Anna Lau, 2013. "Cross-Cultural Difference in Subjective Wellbeing: Cultural Response Bias as an Explanation," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 114(2), pages 607-619, November.
    23. Plagnol, Anke C., 2011. "Financial satisfaction over the life course: The influence of assets and liabilities," Journal of Economic Psychology, Elsevier, vol. 32(1), pages 45-64, February.
    24. Dolan, Paul & Peasgood, Tessa & White, Mathew, 2008. "Do we really know what makes us happy A review of the economic literature on the factors associated with subjective well-being," Journal of Economic Psychology, Elsevier, vol. 29(1), pages 94-122, February.
    25. Carol Graham, 2011. "Adaptation amidst Prosperity and Adversity: Insights from Happiness Studies from around the World," The World Bank Research Observer, World Bank, vol. 26(1), pages 105-137, February.
    26. Alessandro Pellegata & Vincenzo Memoli, 2016. "Can Corruption Erode Confidence in Political Institutions Among European Countries? Comparing the Effects of Different Measures of Perceived Corruption," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 128(1), pages 391-412, August.
    27. Antonella Rita Ferrara & Rosanna Nisticò, 2019. "Does Institutional Quality Matter for Multidimensional Well-Being Inequalities? Insights from Italy," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 145(3), pages 1063-1105, October.
    28. Seoyong Kim & Donggeun Kim, 2012. "Does Government Make People Happy?: Exploring New Research Directions for Government’s Roles in Happiness," Journal of Happiness Studies, Springer, vol. 13(5), pages 875-899, October.
    29. Wen-wen Zheng & Li Liu & Zhen-wei Huang & Xu-yun Tan, 2017. "Life Satisfaction as a Buffer of the Relationship Between Corruption Perception and Political Participation," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 132(2), pages 907-923, June.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Yee Ngoo & Nai Tey & Eu Tan, 2015. "Determinants of Life Satisfaction in Asia," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 124(1), pages 141-156, October.
    2. Badunenko, Oleg & Cordero, Jose M. & Kumbhakar, Subal C., 2021. "Are you slacking? Where do you and your country stand in the happiness pursuit?," MPRA Paper 108316, University Library of Munich, Germany.
    3. Iddisah Sulemana, 2015. "An Empirical Investigation of the Relationship Between Social Capital and Subjective Well-Being in Ghana," Journal of Happiness Studies, Springer, vol. 16(5), pages 1299-1321, October.
    4. Jose Manuel Cordero & Cristina Polo & Javier Salinas-Jiménez, 2021. "Subjective Well-Being and Heterogeneous Contexts: A Cross-National Study Using Semi-Nonparametric Frontier Methods," Journal of Happiness Studies, Springer, vol. 22(2), pages 867-886, February.
    5. Alexandra Nonnenmacher & Jürgen Friedrichs, 2013. "The Missing Link: Deficits of Country-Level Studies. A Review of 22 Articles Explaining Life Satisfaction," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 110(3), pages 1221-1244, February.
    6. Iddisah Sulemana, 2015. "The Effect of Fear of Crime and Crime Victimization on Subjective Well-Being in Africa," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 121(3), pages 849-872, April.
    7. Sarah Abdul Rahim & Asma Hyder & Qazi Masood Ahmed, 2017. "Governance and Happiness: Evidence From Citizens? Perception in Pakistan," Proceedings of Economics and Finance Conferences 4807773, International Institute of Social and Economic Sciences.
    8. Blanchflower, David G; Oswald, Andrew, 2011. "International Happiness," CAGE Online Working Paper Series 39, Competitive Advantage in the Global Economy (CAGE).
    9. Marco Ciziceno & Giovanni A. Travaglino, 2019. "Perceived Corruption and Individuals’ Life Satisfaction: The Mediating Role of Institutional Trust," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 141(2), pages 685-701, January.
    10. Qiang Li & Lian An, 2020. "Corruption Takes Away Happiness: Evidence from a Cross-National Study," Journal of Happiness Studies, Springer, vol. 21(2), pages 485-504, February.
    11. Sibylle Puntscher & Christoph Hauser & Janette Walde & Gottfried Tappeiner, 2015. "The Impact of Social Capital on Subjective Well-Being: A Regional Perspective," Journal of Happiness Studies, Springer, vol. 16(5), pages 1231-1246, October.
    12. Eiji Yamamura & Antonio Rodriguez, 2012. "Influence of age of child on differencesinlife satisfaction ofmalesand females: A comparative study among East Asian countries," Development Research Working Paper Series 04/2012, Institute for Advanced Development Studies.
    13. Justina AV Fischer, 2010. "Accounting for Unobserved Country Heterogeneity in Happiness Research: Country Fixed Effects versus Region Fixed Effects," CEIS Research Paper 164, Tor Vergata University, CEIS, revised 28 May 2010.
    14. Alexandra Cristina Sãžrbu & Mircea Asandului, 2021. "Determinants Of Subjective Well-Being Among Romanian Older Adults," Review of Economic and Business Studies, Alexandru Ioan Cuza University, Faculty of Economics and Business Administration, issue 28, pages 111-124, December.
    15. Lucía Macchia & Anke C. Plagnol, 2019. "Life Satisfaction and Confidence in National Institutions: Evidence from South America," Applied Research in Quality of Life, Springer;International Society for Quality-of-Life Studies, vol. 14(3), pages 721-736, July.
    16. Bjørnskov, Christian & Dreher, Axel & Fischer, Justina A.V., 2010. "Formal institutions and subjective well-being: Revisiting the cross-country evidence," European Journal of Political Economy, Elsevier, vol. 26(4), pages 419-430, December.
    17. Alexander Pacek & Benjamin Radcliff & Mark Brockway, 2019. "Well-Being and the Democratic State: How the Public Sector Promotes Human Happiness," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 143(3), pages 1147-1159, June.
    18. Berggren, Niclas & Nilsson, Therese & Bjørnskov, Christian, 2015. "What Aspects of Society Affect the Quality of Life of a Minority? Global Evidence from the New Gay Happiness Index," Working Paper Series 1101, Research Institute of Industrial Economics.
    19. Želinský, Tomáš & Soroková, Tatiana & Petríková, Daniela, 2018. "Economic Characteristics and Subjective Well-Being," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 50(3), pages 334-364.
    20. Eiji Yamamura & Antonio R. Andrés, 2015. "Influence of age of child on differences in life satisfaction of males and females," Journal of Economics and Econometrics, Economics and Econometrics Society, vol. 58(1), pages 1-25.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:wodepe:v:25:y:2022:i:c:s2452292921000850. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/world-development-perspectives .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.