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Trust and specialization in complexity: Evidence from U.S. states

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  • De Sousa, José
  • Guillin, Amélie
  • Lochard, Julie
  • Silve, Arthur

Abstract

Industries with more complex input-output relationships are comparatively larger in U.S. states with higher levels of trust. This specialization pattern is not driven by differences in the states' and industries' other observable characteristics. Given the importance of complexity in economic growth and development, our results underscore the need to focus more on the role of social norms, particularly trust, in shaping patterns of economic specialization.

Suggested Citation

  • De Sousa, José & Guillin, Amélie & Lochard, Julie & Silve, Arthur, 2023. "Trust and specialization in complexity: Evidence from U.S. states," Journal of Economic Behavior & Organization, Elsevier, vol. 216(C), pages 332-353.
    • Handle: RePEc:eee:jeborg:v:216:y:2023:i:c:p:332-353
    DOI: 10.1016/j.jebo.2023.10.004
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    More about this item

    Keywords

    Trust; Specialization; Complexity; Input-output relationships;
    All these keywords.

    JEL classification:

    • E23 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Production
    • E71 - Macroeconomics and Monetary Economics - - Macro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on the Macro Economy
    • R32 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Other Spatial Production and Pricing Analysis
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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