scholarly journals Trust and Local Bias

2019 ◽  
Vol 55 (7) ◽  
pp. 2211-2245 ◽  
Author(s):  
Chishen Wei ◽  
Lei Zhang
Keyword(s):  
United States ◽  
Institutional Investors ◽  
Social Trust ◽  
The United States ◽  
Additional Analysis ◽  
Trust Regions ◽  
Local Bias ◽  
Informational Advantage

In this article, we examine the effect of social trust on local bias. Our evidence suggests that institutional investors located in high-trust regions of the United States exhibit lower local bias. Moreover, we find that high-trust investors are better diversified, suggesting that trust helps accomplish greater diversification. The results are not due to firm, demographic, or local economic characteristics. Additional analysis reveals that the documented informational advantage in local holdings exists only in low-trust regions. We show that this finding is consistent with a trust explanation.

The Setting

2018 ◽  
Author(s):  
Nicolette D. Manglos-Weber
Keyword(s):  
United States ◽  
Social Trust ◽  
The United States ◽  
Evangelical Christianity ◽  
Interracial Relations ◽  
Personal Trust ◽  
Conceptual Background ◽  
History Of ◽  
Role Of Religion

This chapter presents the historical and conceptual background to the book’s argument. It starts with a history of Ghana, followed by an analysis of the trends that have led to high levels of out-migration, and then to a description of Ghanaian populations in Chicago. Next, it addresses the concept of social trust in general and personal trust in particular, developing a theory of personal trust as an imaginative and symbolic activity, and analyzing interracial relations through the lens of racialized distrust. It concludes by describing the role of religion in the integration of immigrant groups into the United States and the particular religious frameworks that characterize Charismatic Evangelical Christianity in Ghana.

Honesty and trust in old and new democracies: Challenges and disappointments

2018 ◽  
Vol 68 (s1) ◽  
pp. 153-160
Author(s):  
Susan Rose-Ackerman
Keyword(s):  
United States ◽  
Civil Society ◽  
Eastern Europe ◽  
Transition Economies ◽  
Low Income ◽  
Social Trust ◽  
The United States ◽  
New Democracies ◽  
Developing Societies

In 2002, János Kornai and the author organized a project that sought to confront distrust, corruption, and dishonesty in the transition economies of Eastern Europe. In reflecting on that project, this essay highlights present-day weaknesses in the region’s transition and stresses equally troubling developments in the United States that could make government less open to input from civil society groups and low-income individuals. Building a trustworthy state and creating social trust remain challenges for committed democrats in both developed and developing societies.

The Prosperity Gospel of Coronavirus Response

2020 ◽  
pp. 1-22
Author(s):  
Paul A. Djupe ◽  
Ryan P. Burge
Keyword(s):  
United States ◽  
Social Trust ◽  
Social Systems ◽  
The United States ◽  
Concerted Action ◽  
Prosperity Gospel ◽  
Social Good ◽  
The Social ◽  
Virus Research ◽  
State Responses

Abstract The sweep of the coronavirus pandemic across the world and the United States offers an almost unparalleled opportunity to study how social systems cope with the threat and opportunities for collective action. In this paper, we draw on survey data collected as the United States flailed in response and before a general consensus among executive officeholders developed in the following weeks. In particular, we assess how holding prosperity gospel views strongly shaped perceptions of the virus and reactions to state responses to the virus. Research on the prosperity gospel is slowly expanding and this paper helps to highlight some missing dimensions. At a time when concerted action for the social good could be uniting the country, prosperity gospel beliefs systematically undermine that possibility by augmenting threat, raising outgroup barriers, and decreasing social trust.

scholarly journals Experiences matter: A longitudinal study of individual-level sources of declining social trust in the United States

2021 ◽  
pp. 102537
Author(s):  
Jan Mewes ◽  
Malcolm Fairbrother ◽  
Giuseppe Nicola Giordano ◽  
Cary Wu ◽  
Rima Wilkes
Keyword(s):  
United States ◽  
Longitudinal Study ◽  
Social Trust ◽  
The United States ◽  
Individual Level

scholarly journals Different disclosure activities and sophisticated investors

2020 ◽  
Vol 31 (82) ◽  
pp. 129-144
Author(s):  
Davi Jônatas Cunha Araújo ◽  
Jefferson Pereira de Andrade ◽  
Luiz Felipe de Araújo Pontes Girão
Keyword(s):  
United States ◽  
Institutional Investors ◽  
Voluntary Disclosure ◽  
Earnings Forecasts ◽  
The United States ◽  
Publicly Traded ◽  
Publicly Traded Companies ◽  
Discretionary Disclosure ◽  
The Subject ◽  
The Cost

ABSTRACT This article aims to verify what the influence is of different disclosure activities on the concentration of more sophisticated investors in Brazilian companies. The study fills a gap regarding the influence that disclosure activities can have on the concentration of sophisticated investors in Brazilian firms, considering that this may occur due to their ability to maximize the usefulness of the information disclosed and the return on investments, with a reduction in the cost of allocated funds. This subject is relevant because it verifies not the clientless effect of disclosure, presented by the only study previously developed on the subject in the United States (Kalay, 2015), but rather the influence that disclosure activities (earnings forecasts, market communications, and investor relations [IR]) have on the most sophisticated investors’ decisions to allocate funds in companies in the Brazilian market. As an impact on the area, it was noted that those companies that release market communications attract the investment of funds and the concentration of sophisticated investors much more than those that present better IR and release profit forecasts. We studied 89 publicly-traded companies whose reference forms were published in the period from 2011 to 2016. The number of institutional investors disclosed in the reference forms was used as a proxy to categorize them as more sophisticated. The different disclosure activities were represented by the disclosure of profit forecasts, the number of market communications, and the best IR. The best IR proxy was categorized using the companies awarded by IR Magazine Brazil that presented the best IR in the study period. The results of this study show that the most sophisticated investors concentrated in companies with better IR, in those that do not disclose profit forecasts, and in companies with a greater number of disclosed market communications. The disclosure of market communications is the disclosure activity that most influences the concentration of sophisticated investors in Brazilian companies that use more voluntary disclosure than discretionary disclosure to allocate their funds.

scholarly journals The Granular Nature of Large Institutional Investors

2021 ◽  
Author(s):  
Itzhak Ben-David ◽  
Francesco Franzoni ◽  
Rabih Moussawi ◽  
John Sedunov
Keyword(s):  
United States ◽  
Financial Markets ◽  
Empirical Evidence ◽  
Institutional Investors ◽  
Stock Prices ◽  
Equity Markets ◽  
The United States ◽  
Price Impact ◽  
Idiosyncratic Shocks

Large institutional investors own an increasing share of the equity markets in the United States. The implications of this development for financial markets are still unclear. The paper presents novel empirical evidence that ownership by large institutions predicts higher volatility and greater noise in stock prices as well as greater fragility in times of crisis. When studying the channel, we find that large institutional investors exhibit traits of granularity (i.e., subunits within a firm display correlated behavior), which reduces diversification of idiosyncratic shocks. Thus, large institutions trade larger volumes and induce greater price impact. This paper was accepted by David Simchi-Levi, finance.

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