Does market participation promote generalized trust? Experimental evidence from Southern Africa

Does market participation promote generalized morality and trust, as postulated by some recent theories? We use experimental data from Zimbabwe and Mozambique to probe into one specific component of this question, and find evidence to the contrary. The short-term effect of market integration appears to be to lower generalized trust. However, this finding is not robust across all countries.

► We use experimental data to test if market participation fosters trust. ► Trust and market data are collected in Zimbabwe and Mozambique. ► The short-term effect of market integration appears to be to lower trust. ► This finding is not robust across all countries.