Trust and State Effectiveness: The Political Economy of Compliance

Author:

Besley Timothy1,Dray Sacha2

Affiliation:

1. London School of Economics , UK

2. World Bank , USA

Abstract

Abstract This paper explores the link between trust in government, policymaking and compliance. It focuses on a specific channel whereby citizens who are convinced of the merits of a policy are more motivated to comply with it. This, in turn, reduces the government’s cost of implementing this policy and may also increase the set of feasible interventions. As a result, state effectiveness is greater when citizens trust their government. The paper discusses alternative approaches to modelling the origins of trust, especially the link to the design of political institutions. We then provide empirical evidence consistent with the model’s findings that compliance is increasing in government trust using the Integrated Values Survey and voluntary compliance during COVID-19 in the United Kingdom.

Funder

Horizon 2020

Publisher

Oxford University Press (OUP)

Reference72 articles.

1. Building trust in government: The opportunities and challenges of adverse shocks;Acharya,2021

2. Identity and the economics of organizations;Akerlof;Journal of Economic Perspectives,2005

3. Identity Economics

4. The Civic Culture

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