Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/322132 
Year of Publication: 
2025
Series/Report no.: 
WIDER Working Paper No. 34/25
Publisher: 
The United Nations University World Institute for Development Economics Research (UNU-WIDER), Helsinki
Abstract: 
This paper examines the erosion of trust as a global phenomenon, highlighting its implications for social cohesion and governance. Using data from the World Values Survey and regional barometers, the analysis focuses on trust's dual dimensions-interpersonal and institutional-within different socio-economic and geopolitical contexts. Results show a sharp decline in institutional trust worldwide, coupled with a mixed trajectory for interpersonal trust. Trust erosion is particularly acute in low-income countries and younger generations, exacerbated by inequality, corruption, and political instability. Trust levels are shown to significantly impact social cohesion, civic engagement, and perceptions of governance. A positive correlation is observed between institutional trust and economic redistribution, underscoring the role of effective governance in trust-building. The paper concludes by emphasizing the need for institutional reform and global cooperation to restore trust, particularly in fragile states, to strengthen social contracts and foster sustainable development.
Subjects: 
trust
social cohesion
social contract
governance
Persistent Identifier of the first edition: 
ISBN: 
978-92-9256-591-6
Document Type: 
Working Paper

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