Scandinavian Working Papers in Economics
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Department of Economics, Lund University Working Papers, Department of Economics, Lund University

No 2007:1:
Collective Trust Behavior

Håkan Holm () and Paul Nystedt ()

Abstract: This paper investigates trust in situations, where decision-makers are large groups and the decision-mechanism is collective, by developing a game to study trust behavior. Theories from behavioral economics and psychology suggest that trust in such situations may differ from individual trust. Experimental results here reveal a large difference in trust but not in trustworthiness between the individual and collective setting. Furthermore, an artefactual field experiment captures the determinants of collective trust behavior among two cohorts in the Swedish population. One result is that beliefs about the other and the own group are strongly associated with collective trustworthiness and trust behavior.

Keywords: Collective Trust; Voting; Experiment; Beliefs; (follow links to similar papers)

JEL-Codes: C72; C90; C93; D70; (follow links to similar papers)

58 pages, December 20, 2006

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This paper is published as:
Holm, Håkan and Paul Nystedt, (2010), 'Collective Trust Behavior', Scandinavian Journal of Economics, Vol. 112, No. 1, pages 25-53

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