Generalized Morality, Institutions and Economic Growth, and the Intermediating Role of Generalized Trust

Harvey James

Kyklos, 2015, vol. 68, issue 2, 165-196

Abstract: type="main">

Generalized morality reflects ethical norms in society about the inappropriateness of behaviors that can cause harm to others. Generalized morality may be an important factor affecting the economic performance of countries. An indicator of generalized morality is constructed from data from the World Values Survey. One question examined is whether generalized morality is correlated with economic growth rates in per capita GDP across a sample of countries, controlling for institutions and other factors expected to affect economic performance. A second question examined is whether the path by which generalized morality affects growth is direct or indirect through generalized trust. The findings reveal that generalized morality is moderately correlated with economic growth, but its effect appears to be manifested through generalized trust when economic institutions are weak.

Date: 2015
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