Never forget, never forgive: the impact of inflation on trust in banks

Axelle Heyert and Laurent Weill

Applied Economics, 2024, vol. 56, issue 36, 4344-4362

Abstract: This paper investigates how inflation influences an individual’s trust in banks. Using individual data covering 72 countries, we find that inflation, both recent and experienced throughout life, exerts a detrimental influence on trust in banks. Even if recent inflation has a stronger impact, these results support the view that inflation has both short- and long-term effects on trust in banks. Additional estimations show that individual characteristics like education and access to information can affect the negative impact of inflation on trust in banks. Overall, our results indicate that fighting against inflation prevents a lasting reduction of trust in banks.

Date: 2024
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/00036846.2023.2210829 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:applec:v:56:y:2024:i:36:p:4344-4362

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/RAEC20

DOI: 10.1080/00036846.2023.2210829

Access Statistics for this article

Applied Economics is currently edited by Anita Phillips

More articles in Applied Economics from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().