Does Too Much Trust Hamper Economic Growth教程.PDF

KYKLOS, Vol. 62 – 2009 – No. 1, 103–128 Does Too Much Trust Hamper Economic Growth? Felix Roth Recent years have seen interest in the theoretical and empirical relationship between social capital and economic growth. Social capital is said to be ‘the glue that holds societies together’ and it is emphasized that ‘without it no economic growth or human well-being is possible’ (Serageldin 1999, p. iii). Empirical research shows that there is a positive relation between interpersonal trust and economic growth (Knack and Keefer 1997; La Porta et al. 1999; Whiteley 2000; Zak and Knack 2001; Beugelsdijk et al. 2004). In contrast to existing works which examine the relationship between social capital and economic growth using a cross-section research design, the paper uses a panel research design. I. THEORETICAL LINKS BETWEEN SOCIAL CAPITAL, TRUST AND ECONOMIC GROWTH 1.1. Social Capital and Trust Many economists focus on the concept of trust when talking about social capital (Knack and Keefer 1997; Solow 1999; Whiteley 2000; Berggren and Jordahl 2006; c.f. Bjørnskov 2003; Sabatini 2008). Tonkiss (2000) comments that ‘trust regularly features—together with norms and networks—within definitions of social capital’ (p. 78). But how is trust related to social capital? Although there are various definitions of social capital (Bourdieu 1983; Coleman 1988, 1990; Putnam 1993; Fukuyama 1996, p. 26; Temple 2001 in OECD 2001, p. 39; Ostrom 1999, p. 176; Newton 1997, p. 576; for a wide range Dr. Felix Roth, Centre for European Policy Studies, Place du Congres 1, 1000 Brussels, Belgium and` Ibero-Amerika Institut, Oecinomicum II/99, Platz der Gottinger¨ Sieben 3, 37073 Gottingen,¨ Germany; E-mail: felix.roth@ceps.eu. I wish to thank Stephan Klasen, Fran Tonkiss, se