Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/101925 
Year of Publication: 
2014
Series/Report no.: 
IZA Discussion Papers No. 8277
Publisher: 
Institute for the Study of Labor (IZA), Bonn
Abstract: 
We show the existence of a twin peaks relation between trust and the size of the welfare state that stems from two opposing forces. Uncivic people support large welfare states because they expect to benefit from them without bearing their costs. But civic individuals support generous benefits and high taxes only when they are surrounded by trustworthy individuals. We provide empirical evidence for these behaviors and this twin peaks relation in the OECD countries.
Subjects: 
welfare state
trust
civism
corruption
redistribution
JEL: 
H1
Z1
Document Type: 
Working Paper

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