Individual trust: does quality of local institutions matter?
Silvia Camussi and
Anna Laura Mancini ()
Journal of Institutional Economics, 2019, vol. 15, issue 3, 487-503
This paper contributes to the literature on the determinants of trust by investigating how the quality of local services influences individualsâ€™ generalized trust and trust in local governments. Using data from Italian national statistical office (Istat) Aspects of Daily Life survey, after building a new measure for the quality of local services, we study its effect on individualsâ€™ trust using linear regressions techniques. Our findings suggest that good local public services have a positive impact on individualsâ€™ trust, the effect being stronger for trust in local institutions. Our results are robust to potential endogeneity issues, tested using a two-step GMM estimation procedure, and to potential omitted variables bias, according to the method proposed by Altonji et al. (2005).
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Persistent link: https://EconPapers.repec.org/RePEc:cup:jinsec:v:15:y:2019:i:03:p:487-503_00
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