| Abstract: | Trust functions as an instrument for establishing long-term and mutually beneficial cooperative relationships. In this paper we investigate the sources of generalized trust. The main focus of the research is the role of the political-institutional context in allowing trust-based relationships to form, controlling for the attributes and motives of individual agents. The central contention of the paper is that political institutions that support norms of fairness, universality, and the division of power contribute to the formation of inter-personal trust. Using data from the World Values Survey we run multi-level models to test for links between differences between the responses of individuals in various countries and the trust-supporting context, in terms of different institutional configurations. Alongside individual resources and attitudes, aspects of social integration and other sociodemographic characteristics, we test for significant effects of contextual factors — such as the influence of formal rule-of-law institutions, social inequality, and the division of power or pluralistic democratic procedures. The study comes to the conclusion that universalistic, impartial and power-sharing institutions increase the prospects for the development of generalized trust. |
