Government size and trust

Eiji Yamamura ()

MPRA Paper from University Library of Munich, Germany

Abstract: This paper uses individual level data (the Japanese General Social Survey) to examine how government size influences generalized trust. After controlling for the endogeneity of government size using instrumental variables, I found: (1) Using all samples, government size is not associated with generalized trust, and (2) After splitting the sample into workers and non-workers, government size does not influence generalized trust for non-workers whereas it significantly reduces generalized trust for workers. This suggests that workers, through their work experience, might have to face greater bureaucratic red tape coming from “larger government”, leading to negative externality effects on relationships of trust in the labor market.

Keywords: Government size; Generalized trust; Employment. (search for similar items in EconPapers)
JEL-codes: D30 Z13 (search for similar items in EconPapers)
Date: 2010-09-03
New Economics Papers: this item is included in nep-evo and nep-soc
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

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Related works:
Journal Article: Government Size and Trust (2012)
Working Paper: Government size and trust (2010)
Working Paper: Government size and trust (2010)
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:24985

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