Some researchers claim that diverse populations lead to less trust. Generalized trust is a core value that leads to positive outcomes in societies - from greater tolerance of minority groups and immigrants and willingness to do good deeds, to less corruption, more social welfare and education...

Using data from US states, we find a positive relationship between trust and growth. According to our results, a 10 percentage point increase in trust increases the growth rate of per capita income by 0.5 percentage point, growth rate of housing prices by 1.25 percentage points, and the growth...