For democracy to function and economies prosper, people need to believe that their fellow citizens are trustworthy: that they are well intentioned, will honor commitments and will not take advantage of them. When people have little to no information about others, it is difficult to believe that. The fact that Latin America and the Caribbean has the lowest rates of trust in … [Read more...] about Employing Information to Boost Citizen Trust and Welfare
Phil Keefer
Philip Keefer is a Principal Economic Advisor at the Inter-American Development Bank. Prior to this he served as a Lead Research Economist in the Development Research Group of the World Bank. The focus of his work, based on experience in countries ranging from Bangladesh, Benin, Brazil, and the Dominican Republic to Indonesia, México, Perú and Pakistan, is the determinants of political incentives to pursue economic development. His research, on issues such as the impact of insecure property rights on growth; the effects of political credibility on policy; the sources of political credibility in democracies and autocracies; and the influence of political parties on conflict, political budget cycles, and public sector reform, has appeared in journals ranging from the Quarterly Journal of Economics to the American Political Science Review.
When the Lack of Trust Cripples Productivity and Growth
The government says it is progressing in its fight against the COVID-19 pandemic, but firms distrust the news, delaying investments and hiring and slowing economic recovery. A firm manager distrusts her own employees and refuses to delegate responsibilities, complicating efforts to invest, innovate and move into new markets. Citizens distrust firms and demand excessive … [Read more...] about When the Lack of Trust Cripples Productivity and Growth
Building Trust for Social Cohesion and Growth in Latin America and the Caribbean
It would always get a laugh from readers of Peanuts. Lucy would hold the football for Charlie Brown to kick. Then she would pull it back at the last minute and send him flying onto his back. The gag, repeated over and over throughout the years, was funny because of Charlie's absurdly trusting behavior. Having been tricked so many times by Lucy, didn't he realize she would trick … [Read more...] about Building Trust for Social Cohesion and Growth in Latin America and the Caribbean
For a Region in Turmoil, An Updated Database of Political Institutions
In a year when political institutions around the world were tested and pushed to their limits, understanding institutions and institutional features has become more important than ever. The rise of populism, increasing economic inequality, and the emergence of racial and other protests in the U.S. and globally—all against the backdrop of … [Read more...] about For a Region in Turmoil, An Updated Database of Political Institutions