Carlin, Bruce Ian; Dorobantu, Florin; Viswanathan, S. - In: Journal of Financial Economics 92 (2009) 3, pp. 321-341
How does trust evolve in markets? What is the optimal level of regulation and how does this affect trust formation and economic growth? In a theoretical model, we analyze these questions, given the value of social capital and the potential for growth in the market. When social capital is...