Between 1982 and 2000, The Netherlands experienced a remarkable economic recovery. Mutual trust among the participants in the social-economic policy preparation process was one of the main driving forces of this recovery. The institutional framework, in which government, unions, employer organisations, central bank, and advisory bodies frequently meet each other in formal and informal networks, enhanced this trust. The resulting cooperativemood led to effectiveness in dealing with (collective action) problems. The framework thus functioned as amechanism that transformed interpersonal and interorganisational trust into positive macroeconomic effects.
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Find related papers by JEL classification: D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy-Making and Implementation J58 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Public Policy Z13 - Other Special Topics - - Cultural Economics - - - Social Norms and Social Capital; Social Networks Economic Anthropology
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