Abstract

http://ssrn.com/abstract=1012786
 
 

References (36)



 
 

Citations (2)



 


 



Inequality and Trust


Henrik Jordahl


Research Institute of Industrial Economics (IFN); CESifo (Center for Economic Studies and Ifo Institute); IZA

August 21, 2007

IFN Working Paper No. 715

Abstract:     
This paper reviews the literature on economic inequality and trust. Cross-country studies, within-country studies, and experiments all suggest that economic inequality exerts a negative influence on trust. Four mechanisms are proposed to explain the negative relationship: social ties (or networks), inference on social relationships (to see inequality as a signal of untrustworthy behavior), conflicts over resources, and opportunity cost of time. Social ties receive the strongest empirical support, but there is also some evidence in favor of inference on social relationships. Conflicts over resources and opportunity cost of time are contradicted by important pieces of evidence.

Number of Pages in PDF File: 22

Keywords: Trust, Inequality, Social Capital, Social Ties, Networks

JEL Classification: C23, D31, Z13


Open PDF in Browser Download This Paper

Date posted: September 10, 2007 ; Last revised: October 14, 2007

Suggested Citation

Jordahl, Henrik, Inequality and Trust (August 21, 2007). IFN Working Paper No. 715. Available at SSRN: http://ssrn.com/abstract=1012786 or http://dx.doi.org/10.2139/ssrn.1012786

Contact Information

Henrik Jordahl (Contact Author)
Research Institute of Industrial Economics (IFN) ( email )
Box 55665
Grevgatan 34, 2nd floor
Stockholm, SE-102 15
Sweden
HOME PAGE: http://www.ifn.se/hj
CESifo (Center for Economic Studies and Ifo Institute) ( email )
Poschinger Str. 5
Munich, DE-81679
Germany

IZA ( email )
P.O. Box 7240
Bonn, D-53072
Germany

Feedback to SSRN


Paper statistics
Abstract Views: 1,840
Downloads: 359
Download Rank: 59,765
References:  36
Citations:  2

© 2016 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollobot1 in 0.203 seconds