Report

Trust of second-generation immigrants: intergenerational transmission or cultural assimilation?

Julie Moschion, Domenico Tabasso

IZA Journal of Migration | SPRINGER HEIDELBERG | Published : 2014

Abstract

This paper studies the respective influences of intergenerational transmission and the environment in shaping individual trust. Focusing on second generation immigrants in Australia and the United States, we exploit the variation in the home country and in the host country to separate the effect of cultural transmission from that of the social and economic conditions on individual trust. Our results indicate that trust in the home country contributes to the trust of second generation immigrants in both of the host countries, and marginally more in the United States. Social and economic conditions in the host country also affect individual trust.JEL classificationJ15, O15, Z10

University of Melbourne Researchers

Grants

Funding Acknowledgements

For their helpful comments and suggestions we thank Pierre Cahuc, Deborah Cobb- Clark, Giovanna Labartino, Patrick Nolen, Marc Sangnier, Eric Uslaner, and the participants at the EALE Conference in Bonn, the AFSE Conference in Paris, the AIEL Conference in Napoli, the fRDB Fellows and Affiliates Workshop in Milan, the ESAM Conference in Melbourne and the seminars at the Melbourne Institute, University of Surrey and Queen's University Belfast. We thank the editor and an anonymous referee for their extremely useful comments on an earlier version of the paper. This paper was supported by a 2012 Faculty Research Grant (Early Career Researcher Category) of the Faculty of Business and Economics of the University of Melbourne. This paper uses unit record data from the Household, Income and Labour Dynamics in Australia (HILDA) Survey. The HILDA Project was initiated and is funded by the Australian Government Department of Social Services (DSS) and is managed by the Melbourne Institute of Applied Economic and Social Research (Melbourne Institute). The findings and views reported in this paper, however, are those of the author and should not be attributed to either DSS or the Melbourne Institute.