nep-soc New Economics Papers
on Social Norms and Social Capital
Issue of 2011‒06‒04
eleven papers chosen by
Fabio Sabatini
Euricse

  1. Trust, Trustworthiness, Relational Goods and Social Capital: A Cross-Country Economic Analysis By Paul Downward; Tim Pawlowski; Simona Rasciute
  2. Do Natural Disasters Affect Trust/Trustworthiness? Evidence from the 2010 Chilean Earthquake By Fleming, David A; Chong, Alberto E.; Bejarano, Hernan D.
  3. Democracy or videocracy? An econometric analysis of the role of television in the Italian political arena By Sabatini, Fabio
  4. War Signals: A Theory of Trade, Trust and Conflict By Rohner, D.; Thoenig, M.; Zilibotti, F.
  5. Job satisfaction in Italy: individual characteristics and social relations By Fiorillo, Damiano; Nappo, Nunzia
  6. Communication, commitment, and deception in social dilemmas: experimental evidence By G. Camera; M. Casari; M. Bigoni
  7. Formation and Persistence of Oppositional Identities By Bisin, Alberto; Patacchini, Eleonora; Verdier, Thierry; Zenou, Yves
  8. More than outcomes: A cognitive dissonance-based explanation of other-regarding behavior By Astrid Matthey; Tobias Regner
  9. Youth Employment in Europe: Institutions and Social Capital Explain Better than Mainstream Economics By Bruno Contini
  10. Civic returns to education: its effect on homophobia By Kevin Denny
  11. Peer Effects and Multiple Equilibria in the Risky Behavior of Friends By David Card; Laura Giuliano

  1. By: Paul Downward (Loughborough University); Tim Pawlowski (German Sport University Cologne); Simona Rasciute (Loughborough University)
    Abstract: For a sample of 34 countries, this paper examines the impact that relational goods have on trust and, more specifically, trustworthiness; that is the degree of trust placed in others. Relational goods emanate from social interactions, which can be viewed as underpinning the development of social capital in the sense of helping to form trust in society. The relational goods examined comprise both informal activities such as meeting with family and friends, as well as more formal but voluntary association connected with participation in cultural, political, civic, sport and religious organisations. As the measure of trust comprises an ordered variable, a variety of ordered estimators are applied to the data, including attempts to account for the country-specific grouping of observation and, as a consequence, unobserved heterogeneity. The results suggest that whilst informal relational activities tend to generate trustworthiness, consistent with the concept of ‘thick’ trust, along with cultural and civic association and frequent political association, there is less evidence that sports does. In addition, the results suggest that religious association can actually reduce trustworthiness along with less frequent political association. Therefore, the results suggest, that it is the type and frequency of associational activity that contributes to the development of trustworthiness, rather than its existence per se.
    Keywords: Trust, relational goods, social capital
    JEL: D60 I31 C25
    Date: 2011–05
    URL: http://d.repec.org/n?u=RePEc:spe:wpaper:1110&r=soc
  2. By: Fleming, David A; Chong, Alberto E.; Bejarano, Hernan D.
    Abstract: A series of trust games were conducted in Chile to analyze whether the past 2010 earthquake affected trust and trustworthiness in rural communities. Results show that trust levels are invariant between villages affected by the earthquake and villages not affected by this shock (control group). However, we find statistical evidence that trustworthiness has diminished in areas affected by the earthquake. Results are relevant for policy regarding aid and recovery of communities affected by these types of disasters.
    Keywords: Trust games, natural disasters, trustworthiness, Community/Rural/Urban Development, International Development, C93, O13,
    Date: 2011
    URL: http://d.repec.org/n?u=RePEc:ags:aaea11:104522&r=soc
  3. By: Sabatini, Fabio
    Abstract: This paper contributes to the literature by carrying out the first econometric investigation into the role of television in the formation of political consensus in Italy. Based on probit and instrumental variables estimates, we find trust in television to be the most significant predictor of trust in the Italian prime minister. The latter is also strongly and negatively correlated with trust in the judicial system and tolerance towards immigrants.
    Keywords: trust; institutions; democracy; television; media; social capital; Italy; instrumental variables
    JEL: L82 Z13 D72 D83
    Date: 2011–05–25
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:31117&r=soc
  4. By: Rohner, D.; Thoenig, M.; Zilibotti, F.
    Abstract: We construct a dynamic theory of civil conflict hinging on inter-ethnic trust and trade. The model economy is inhabitated by two ethnic groups. Inter-ethnic trade requires imperfectly observed bilateral investments and one group has to form beliefs on the average propensity to trade of the other group. Since conflict disrupts trade, the onset of a conflict signals that the aggressor has a low propensity to trade. Agents observe the history of conflicts and update their beliefs over time, transmitting them to the next generation. The theory bears a set of testable predictions. First, war is a stochastic process whose frequency depends on the state of endogenous beliefs. Second, the probability of future conflicts increases after each conflict episode. Third, "accidental" conflicts that do not reflect economic fundamentals can lead to a permanent breakdown of trust, plunging a society into a vicious cycle of recurrent conflicts (a war trap). The incidence of conflict can be reduced by policies abating cultural barriers, fostering inter-ethnic trade and human capital, and shifting beliefs. Coercive peace policies such as peacekeeping forces or externally imposed regime changes have instead no persistent effects.
    JEL: D74 D83 O15 Q34
    Date: 2011–04–11
    URL: http://d.repec.org/n?u=RePEc:cam:camdae:1136&r=soc
  5. By: Fiorillo, Damiano; Nappo, Nunzia
    Abstract: This paper investigates the determinants of job satisfaction in Italy with particular emphasis on social relations. Our econometric analysis is based on four waves (1993, 1995, 1998 and 2000) of the Multipurpose Household Survey conducted annually by the Italian Central Statistics Office. The results of ordered probit regressions and robustness tests show that volunteering and meetings with friends are significantly and positively correlated with job satisfaction, with religious participation playing the biggest role. Our findings also show that meetings with friends increase job satisfaction through self-perceived health.
    Keywords: Job satisfaction; social relations; social capital; health; statistical matching; Italy
    JEL: J28 C31 Z13
    Date: 2011–05–26
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:31133&r=soc
  6. By: G. Camera; M. Casari; M. Bigoni
    Abstract: Social norms of cooperation are studied under several forms of communication. In an experiment, strangers could make public statements before playing a prisoner’s dilemma. The interaction was repeated indefinitely, which generated multiple equilibria. Communication could be used as a tool to either signal intentions to coordinate on Pareto-superior outcomes, to deceive others, or to credibly commit to actions. Some forms of communication did not promote the incidence of efficient Nash play, and sometimes reduced it. Surprisingly, cooperation suffered when subjects could publicly commit to actions.
    JEL: C70 C90 D80
    Date: 2011–05
    URL: http://d.repec.org/n?u=RePEc:bol:bodewp:wp751&r=soc
  7. By: Bisin, Alberto; Patacchini, Eleonora; Verdier, Thierry; Zenou, Yves
    Abstract: We develop a dynamic model of identity formation that explains why ethnic minorities may choose to adopt oppositional identities (i.e. some individuals may reject or not the dominant culture) and why this behavior may persist over time. We first show that the prevalence of an oppositional culture in the minority group cannot always be sustained in equilibrium. Indeed, because the size of the majority group is larger, there is an
    Keywords: cultural transmission; Ethnicity; peer effects; racism; role models
    JEL: A14 J15
    Date: 2011–05
    URL: http://d.repec.org/n?u=RePEc:cpr:ceprdp:8380&r=soc
  8. By: Astrid Matthey (Max Planck Institute of Economics, Jena, Germany); Tobias Regner (Max Planck Institute of Economics, Jena, Germany)
    Abstract: Recent research has cast some doubt on the general validity of outcome-based models of social preferences. We develop a model based on cognitive dissonance that focuses on the importance of self-image. An experiment (a dictator game variant) tests the model. First, we find that subjects whose choices involve two psychologically inconsistent cognitions indeed report higher levels of experienced conflict and take more time for their decisions (our proxies for cognitive dissonance). Second, we find support for the main model components. An individual's self-image, the sensitivity to cognitive dissonance, and expected behavior of others have a positive effect on other-regarding behavior.
    Keywords: social preferences, other-regarding behavior, self-image, experiments,,cognitive dissonance, social norms, normative beliefs, expectations
    JEL: C72 C91 D80
    Date: 2011–05–27
    URL: http://d.repec.org/n?u=RePEc:jrp:jrpwrp:2011-024&r=soc
  9. By: Bruno Contini
    Abstract: Why did employment growth - high in the last decade– take place at the expense of young workers in the countries of Central and Southern Europe ? This is the question addressed in this paper. Youth unemployment has approached or exceeded 20% despite a variety of factors, common to most EU countries. According to neo-classical economics all would be expected to exert a positive impact on its evolution: population ageing and the demographic decline, low labor cost of young workers, flexibility of working arrangements, higher educational attainment, low unionization of young workers, early retirement practices of workers 50+. But neither seems to provide a convincing explanation. Historically based institutions and political tradition, cultural values, social capital – factors that go beyond the standard explanation of economic theory – provide a more satisfying interpretation.
    Date: 2010
    URL: http://d.repec.org/n?u=RePEc:cca:wplabo:102&r=soc
  10. By: Kevin Denny (University College Dublin)
    Abstract: This paper addresses the question of whether higher levels of education contribute to greater tolerance of homosexuals. Using survey data for Ireland and exploiting a major reform to education, the abolition of fees for secondary schools in 1968, it is shown that increases in education causes individuals to be significantly more tolerant of homosexuals. Ignoring the endogeneity of education leads to much lower estimates of the effect of education. Replicating the model with data for the United Kingdom generates very similar results.
    Keywords: education, homophobia, tolerance, social returns
    Date: 2011–04–14
    URL: http://d.repec.org/n?u=RePEc:ucn:wpaper:201108&r=soc
  11. By: David Card; Laura Giuliano
    Abstract: We study social interactions in the risky behavior of best-friend pairs in the National Longitudinal Study of Adolescent Health (Add Health). Focusing on friends who had not yet initiated a particular behavior (sex, smoking, marijuana use, truancy) by the first wave of the survey, we estimate bivariate discrete choice models for their subsequent decisions that include peer effects and unobserved heterogeneity. Social interactions can lead to multiple equilibria in friends’ choices: we consider simple equilibrium selection models as well as partial likelihood models that remain agnostic about the choice of equilibrium. Our identification strategy assumes that there is at least one individual characteristic (e.g., physical development) that does not directly affect a friend’s propensity to engage in a risky activity. Our estimates suggest that patterns of initiation of risky behavior by adolescent friends exhibit significant interaction effects. The likelihood that one friend initiates intercourse within a year of the baseline interview increases by 4 percentage points (on a base of 14%) if the other also initiates intercourse, holding constant family and individual factors. Similar effects are also present for smoking, marijuana use, and truancy. We find larger peer effects for females and for pairs that are more likely to remain best friends after a year. We also find important asymmetries in the strength of the peer effects in non-reciprocated friendships.
    JEL: J13
    Date: 2011–05
    URL: http://d.repec.org/n?u=RePEc:nbr:nberwo:17088&r=soc

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