2006–2010

Inequality and Trust in Sweden: Some Inequalities are More Harmful than Others

Reprint No. 2008:28

Author(s): Magnus Gustavsson and Henrik JordahlYear: 2008 Title: Journal of Public Economics Volume (No.): 92 (1-2) Pages: 348–365


We present new evidence on the influence of income inequality on generalized trust. Using individual panel data from Swedish counties together with an instrumental variable strategy, we find that differences in disposable income, and especially differences among people in the bottom half of the income distribution, are associated with lower trust. The relationship between income inequality and trust is particularly strong for people with a strong aversion against income differentials. We also find that the proportion of people born in a foreign country is negatively associated with trust.


Reference:
Gustavsson, Magnus and Henrik Jordahl (2008), "Inequality and Trust in Sweden: Some Inequalities are More Harmful than Others". Journal of Public Economics 92(1-2), 348–365.

Henrik Jordahl

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Ph: +46 8 665 4533
Mob: +46 70 938 3858
henrik.jordahl@ifn.se

Interdisciplinary European Studies

Trust in the European Union in Challenging Times

2018-Trust-in-the-European-Union-by-Oxelheim.jpg

This is the first book in the Interdisciplinary European Studies collection. This volume provides an interdisciplinary perspective on trust in the EU from the vantage point of political science, law and economics. Lars Oxelheim, Lund University and affiliated to IFN, is one of the authors.

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