Using a unique employee-establishment matched survey, we find a causal relationship between an individual employee's trust of management and the delegation of real authority. We utilize both fixed effects and instrumental variables to control for unobserved factors: establishment-level fixed...

Using a unique matched survey of employees and establishments, we examine the relationship between delegation of decision-making authority and individual worker's trust of management. Utilizing a fixed-effects approach to control for unobserved management quality and establishment...