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Trust and institutions: A multilevel analysis

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  • Wang, Lanlan
  • Gordon, Peter

Abstract

In this study, we argue that levels of trust are shaped by formal and informal institutions. We discuss statistical test results that support this view. These utilize World Value Survey results and related data sources to examine the ways that institutions and contextual factors affect individuals’ self-reported trust levels. This investigation is the first, to our knowledge, to take into account micro-unit along with macro-unit characteristics to analyze the nature of contextual effects and does so by applying a multilevel regression approach.

Suggested Citation

  • Wang, Lanlan & Gordon, Peter, 2011. "Trust and institutions: A multilevel analysis," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 40(5), pages 583-593.
  • Handle: RePEc:eee:soceco:v:40:y:2011:i:5:p:583-593
    DOI: 10.1016/j.socec.2011.04.015
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    References listed on IDEAS

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    Cited by:

    1. Jetter, Michael & Kristoffersen, Ingebjørg, 2017. "Financial Shocks and the Erosion of Interpersonal Trust: Evidence from Longitudinal Data," IZA Discussion Papers 11204, Institute for the Study of Labor (IZA).
    2. Hassani Mahmooei, Behrooz & Parris, Brett, 2012. "Dynamics of effort allocation and evolution of trust: an agent-based model," MPRA Paper 44919, University Library of Munich, Germany.
    3. Ewa Gruszewska, 2014. "Changes In Informal Institutions In Poland And Transition Countries," Equilibrium. Quarterly Journal of Economics and Economic Policy, Institute of Economic Research, vol. 9(1), pages 39-55, March.
    4. In Do Hwang, 2017. "Which Type of Trust Matters?:Interpersonal vs. Institutional vs. Political Trust," Working Papers 2017-15, Economic Research Institute, Bank of Korea.
    5. Jahnke, Björn & Fochmann, Martin & Wagener, Andreas, 2016. "Does the reliability of institutions affect public good contributions? Evidence from a laboratory experiment," Annual Conference 2016 (Augsburg): Demographic Change 145646, Verein für Socialpolitik / German Economic Association.
    6. Gaël Plumecocq, 2013. "The Institutionalisation of Multi-level Changes: Sustainable Development, Values and Territory," Post-Print hal-00994871, HAL.
    7. Butzbach, Olivier, 2014. "Trust in banks: a tentative conceptual framework," MPRA Paper 53587, University Library of Munich, Germany.
    8. Ding, Zhujun & Au, Kevin & Chiang, Flora, 2015. "Social trust and angel investors' decisions: A multilevel analysis across nations," Journal of Business Venturing, Elsevier, vol. 30(2), pages 307-321.

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    Keywords

    Trust; Institutions; Multilevel analysis;

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