Trust: The Key to Social Cohesion and Growth in Latin America and the Caribbean (Executive Summary)

Trust is the most pressing and yet least discussed problem confronting Latin America and the Caribbean. Whether in others, in government, or in firms, trust is lower in the region than anywhere else in the world. The economic and political consequences of mistrust ripple through society. It suppresses growth and innovation: investment, entrepreneurship, and employment all flourish when firms and government, workers and employers, banks and borrowers, and consumers and producers trust each other. Trust inside private and public sector organizations is essential for collaboration and innovation. Mistrust distorts democratic decision-making. It keeps citizens from demanding better public services and…