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Trust and the wealth of nations

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  • Nurullah Gur

    (Istanbul Medipol University, Faculty of Business and Management Sciences, Beykoz, Istanbul/Turkey)

Abstract

In this article, we survey a growing body of evidence showing the effects of trust on the wealth of nations. It is important to understand the mechanisms through which trust affects the wealth of nations. This article suggests that trust has effects on the wealth of nations mainly through five channels. These channels are: (a) investment in human and physical capital, (b) financial development, (c) public expenditures, (d) regulations and institutions and (e) the organization of firms.

Suggested Citation

  • Nurullah Gur, 2015. "Trust and the wealth of nations," Progress in Development Studies, , vol. 15(2), pages 107-124, April.
    • Handle: RePEc:sae:prodev:v:15:y:2015:i:2:p:107-124
    DOI: 10.1177/1464993414565529
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