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Modern Slavery and Mistrust: A Conceptual Replication of Nunn & Wantchekon (AER, 2011)

Author

Listed:
  • Cao, Gewei

    (RS: GSBE other - not theme-related research, Microeconomics & Public Economics)

  • Rusch, Hannes

    (RS: GSBE UM-BIC, Microeconomics & Public Economics, RS: GSBE other - not theme-related research)

Abstract

Human trafficking is a modern form of slave trading. While we know that it inflicts substantial damage on its victims, its broader societal impact is not well understood. Inspired by Nunn & Wantchekon (2011, AER), we study whether human trafficking shapes interpersonal trust in two severely affected countries for which suitable criminal statistics and survey data are available: Romania and India. We find that victimization rates at the sub-national level are robustly linked to lower interpersonal trust. Our results corroborate those of Nunn & Wantchekon, conceptually replicate them in the economics of crime, and highlight their persistent contemporary relevance.

Suggested Citation

  • Cao, Gewei & Rusch, Hannes, 2025. "Modern Slavery and Mistrust: A Conceptual Replication of Nunn & Wantchekon (AER, 2011)," Research Memorandum 008, Maastricht University, Graduate School of Business and Economics (GSBE).
    • Handle: RePEc:unm:umagsb:2025008
    DOI: 10.26481/umagsb.2025008
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    References listed on IDEAS

    as
    1. Armin Falk & Anke Becker & Thomas Dohmen & Benjamin Enke & David Huffman & Uwe Sunde, 2018. "Global Evidence on Economic Preferences," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 133(4), pages 1645-1692.
    2. Falk, Armin & Hermle, Johannes, 2018. "Relationship of Gender Differences in Preferences to Economic Development and Gender Equality," IZA Discussion Papers 12059, IZA Network @ LISER.
    3. Nathan Nunn & Leonard Wantchekon, 2011. "The Slave Trade and the Origins of Mistrust in Africa," American Economic Review, American Economic Association, vol. 101(7), pages 3221-3252, December.
    4. Armin Falk & Anke Becker & Thomas Dohmen & Benjamin Enke & David B. Huffman & Uwe Sunde, 2017. "Global Evidence on Economic Preferences," NBER Working Papers 23943, National Bureau of Economic Research, Inc.
    5. Conley, T. G., 1999. "GMM estimation with cross sectional dependence," Journal of Econometrics, Elsevier, vol. 92(1), pages 1-45, September.
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    More about this item

    JEL classification:

    • J47 - Labor and Demographic Economics - - Particular Labor Markets - - - Coercive Labor Markets
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • J83 - Labor and Demographic Economics - - Labor Standards - - - Workers' Rights
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements

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