Whose Realm, His Trust - Regional Disparities of Generalized Trust in Europe

Abstract

Trust explains the functioning of markets, institutions or society as a whole. It is a key element in almost every commercial transaction over time and might be one of the main explanations of economic success and development. In Europe, the determinants of (generalized) trust have been investigated in the past. Most scholars have focused on aggregate (national) levels of trust. However, it can be assumed that driving forces, which foster or diminish trust, act at a sub-national level. Regional clusters remain undetected. With the use of the European Social Survey 6 and modern spatial diagnostics, this work examines the individual and regional determinants of trust in 88 European NUTS1 regions in 26 countries. There are two main findings. First, wealth, linguistic fragmentation, and religious ideologies shape trust on a regional level, education, income, and membership in associations foster trust on an individual level. Secondly, the study unravels regional dispersions in different types of "trust regimes" in Europe. Regional clusters of generalized trust are confirmed by spatial diagnostics. The "regionality" of trust could be of importance for future targeted policy making.