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Marketization process predicts trust decline in China

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  • Xin, Ziqiang
  • Xin, Sufei

Abstract

Although previous literature has revealed the predictive effect of trust on economic development, whether the level of China’s market economy development predicts changes in trust across birth cohorts remains unknown. Study 1, a cross-temporal meta-analysis of 82 studies (N=34,151), indicated that Chinese college students’ scores on the Interpersonal Trust Scale (ITS) decreased significantly from 1998 to 2011, and that the decline in interpersonal trust across birth cohorts was negatively associated with and predicated by the marketization index. Study 2 found that the levels of marketization of different provinces in China were negatively associated with the levels of trust in these provinces. The present research first proposed that the marketization process in China may predict or correlate with a trend of declining trust, and then demonstrated the validity of the proposal based on both longitudinal and cross-sectional evidence.

Suggested Citation

  • Xin, Ziqiang & Xin, Sufei, 2017. "Marketization process predicts trust decline in China," Journal of Economic Psychology, Elsevier, vol. 62(C), pages 120-129.
    • Handle: RePEc:eee:joepsy:v:62:y:2017:i:c:p:120-129
    DOI: 10.1016/j.joep.2017.07.001
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    References listed on IDEAS

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    6. Choi, Ginny Seung & Storr, Virgil Henry, 2023. "The morality of markets in theory and empirics," Journal of Economic Behavior & Organization, Elsevier, vol. 216(C), pages 590-607.
    7. Wang, Hua & He, Jie & Huang, Desheng, 2020. "Public distrust and valuation biases: Identification and calibration with contingent valuation studies of two air quality improvement programs in China," China Economic Review, Elsevier, vol. 61(C).
    8. Chen, Zhongfei & Chen, Fanglin & Zhou, Mengling, 2021. "Does social trust affect corporate environmental performance in China?," Energy Economics, Elsevier, vol. 102(C).
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