Förtroende och tillväxt - det kausala sambandet
Social capitalGrowthInstitutionsConfidenceTrustEconomicsEconometricsEconomic theoryEconomic systemsEconomic policyNationalekonomiEkonometriEkonomisk teoriEkonomiska systemEkonomisk politikBusiness and Economics
In this essay I examine the causal relationship between confidence in institutions and growth in Sweden 1989-2002. By examining the causal relationship between these two variables, valuable indicators of the causal relationship between trust and growth can be obtained. The institutions which are used in this essay are chosen according to the theory on institutions for public administration building trust and social capital. The chosen institutions are primary schooling, the police and medical service. A Granger causality model is used to measure the causal relation and the results from the tests show that there is no causal relationship between growth and confidence in institutions. The result indicates that trust is not sensitive to changes in growth and that growth is not affected by changes in trust in the short run.