This article argues that behaving prosocially implies more transparent information during the negotiation process of a financial contract and more cooperation among the parties to respect the terms of the contract. For this reason this work considers interest rate on loans and insolvency rate...

The general idea of social capital is that relationships matter. In this sense, trust, cooperation and reciprocity involved in these relationships can have a positive impact on the wealth of the society by reducing transaction costs, facilitating collective actions and lowering opportunistic...

The presence of dysfunctional formal institutions in the Palestinian Territories might drive the citizens to concentrate on alternative forms of governance more community-oriented. Under these circumstances the set of informal institutions embedded in the social capital of the Palestinian...

This paper contributes to the literature by conducting the first empirical investigation into the determinants of prosocial behaviour in the Palestinian territories, with a focus on the role of trust and institutions. Drawing on a unique dataset collected through the administration of a...

This paper contributes to the literature by conducting the first empirical investigation into the determinants of prosocial behaviour in the Palestinian territories, with a focus on the role of trust and institutions. Drawing on a unique dataset collected through the administration of a...

Financial contracts represent an exchange of financial resources today, such as money, for a promise to return more financial resources tomorrow. The aim of the paper is to test whether cheating or respecting a promise, in particular a “financial one”, is also a matter of community norms in...