Details

Autor(en) / Beteiligte

• Aoyagi, Keitaro
• Sawada, Yasuyuki
• Shoji, Masahiro

Titel

Irrigation infrastructure and trust: Evidence from natural and lab-in-the-field experiments in rural communities

Ist Teil von

• World development, 2022-08, Vol.156, p.105906, Article 105906

Ort / Verlag

Oxford: Elsevier Ltd

Erscheinungsjahr

2022

Link zum Volltext

Quelle

PAIS Index

Beschreibungen/Notizen

• •This study tests two processes of trust formation by farmer’s access to irrigation infrastructure: particularized trust built on repeated interactions of rational individuals and generalized trust based on arational habits.•To identify the causal relationship between irrigation infrastructure access and trust, we conducted an incentivized trust game with beneficiaries of the irrigated land settlement program in rural Sri Lanka, where land allocation was arguably random.•We find trust among community members monotonically increases with each farmer’s years of access to irrigation, regardless of social relationships but the nexus between irrigation access years and trust does not necessarily differ between in-group and out-group members.•Our findings suggest the relative significance of generalized trust formation by habits in irrigated communities.•Since generalized trust is essential to facilitate market transactions, our finding is especially relevant when formulating infrastructure investment policies. Does irrigation infrastructure lead to trust, and how does this happen? We approach these questions by testing two processes of trust formation: particularized trust built on repeated interactions of rational individuals and generalized trust based on arational habits. To identify the causal relationship between farmers’ irrigation infrastructure access and trust, we conducted an incentivized trust game with beneficiaries of the irrigated land settlement program in rural Sri Lanka, where land allocation was arguably random. Two findings emerged. First, trust among community members monotonically increases with each farmer’s years of access to irrigation, regardless of social relationships. Second, the nexus between irrigation access years and trust does not necessarily differ between in-group and out-group members. These findings suggest the relative significance of generalized trust formation by habits in irrigated communities, although we cannot fully rule out the possible particularized trust formation through repeated interactions. Since generalized trust is essential to facilitate market transactions, our finding is especially relevant when formulating infrastructure investment policies in developing countries.