The impact of human capital on economies of Central and Eastern Europe: similarities and differences

realization time: 02.2009 - 06.2010

The result of the project was a theoretical mechanism explaining poverty traps and multiple equilibria in the economy. In the core of this mechanism, which links social capital and social trust, there is interdependency between income and subjective sense of well-being. Low trust and lack of social capital form a vicious circle, which leads to “trap of low trust”.

The project was realised for CERGE-EI Foundation.

publication author:
Katarzyna Growiec
publication author:
Jakub Growiec
Contact:

ibs@ibs.org.pl

Publications
2010-01-04 Trusting Only Whom You Know, Knowing Only Whom You Trust: The Joint Impact of Social Capital and Trust on Individuals’ Economic Performance and Well-Being in CEE Countries
authors:    /   / 
This paper provides evidence that bridging and bonding social capital as well as social trust may interdependently affect individuals’ earnings and subjective well-being. Based on cross-sectional World Values Survey 2000 data on individuals from Central and Eastern European countries (CEECs), we show that majority of ...
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