No.42 Trust and Social Networks: Evidence from a Household Survey in Cambodia
This study investigates the relationship between community trust and social networks in Cambodia, using data from a household survey conducted across Phnom Penh and six provinces in 2021. As key components of social capital, trust and social networks play a vital role in economic participation and community cohesion, particularly in developing economies where formal institutions may be weaker. The analysis focuses on three dimensions of trust—trust in neighbors, trust in community safety, and trust in community leaders. These three dimensions are measured through respondents’ answers to survey questions. For example, trust in neighbors is assessed by asking whether most people in the community can be trusted, with options ranging from “no” to “all.” Comparable scales are used for trust in community safety and trust in community leaders. Social networks, which reflect the extent of household engagement in community activities, are measured through four dimensions—frequency of visits to neighbors, participation in community groups, attendance at community events, and frequency of meals with non-household members. The analyses reveal that higher levels of trust are significantly associated with stronger social networks. Specifically, even at its low levels, trust in neighbors is positively associated with social networks. Trust in community safety, trust in community leaders, and financial inclusion (i.e., borrowing from microfinance institutions) are positively correlated with social networks when their levels are high. Additionally, female-headed households tend to have weaker social networks, whereas farmer-headed and rural households show stronger social networks, likely due to the communal nature of agricultural activities. These findings have important policy implications, particularly in strengthening community trust, addressing gender disparities, and leveraging rural networks to enhance social networks and, eventually, social capital.
Keywords: Trust, Social networks, Social capital, Cambodia
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