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Title:The empire is dead, long live the empire! Long-run persistence of trust and corruption in the bureaucracy PDF Logo
Authors:Becker, Sascha O.
Boeckh, Katrin
Hainz, Christa
Woessmann, Ludger
Issue Date:2011
Series/Report no.:CESifo working paper: Fiscal Policy, Macroeconomics and Growth 3392
Abstract:Do empires affect attitudes towards the state long after their demise? We hypothesize that the Habsburg Empire with its localized and well-respected administration increased citizens' trust in local public services. In several Eastern European countries, communities on both sides of the long-gone Habsburg border have been sharing common formal institutions for a century now. Identifying from individuals living within a restricted band around the former border, we find that historical Habsburg affiliation increases current trust and reduces corruption in courts and police. Falsification tests of spuriously moved borders, geographic and pre-existing differences, and interpersonal trust corroborate a genuine Habsburg effect.
Subjects:Habsburg Empire
trust
corruption
institutions
borders
JEL:N33
N34
D73
Z10
Document Type:Working Paper
Appears in Collections:CESifo Working Papers, CESifo Group Munich

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