University of Kentucky UKnowledge University of Kentucky Doctoral Dissertations Graduate School 2006 CAN TRUST BE LEARNED IN HETEROGENEOUS ENVIRONMETNS? AN INTEGRATIVE MODEL OF POLITICAL AND SOCIAL LEARNING THROUGH DEMOCRACY Satoshi Machida University of Kentucky, [email protected] Right click to open a feedback form in a new tab to let us know how this document benefits ou.y Recommended Citation Machida, Satoshi, "CAN TRUST BE LEARNED IN HETEROGENEOUS ENVIRONMETNS? AN INTEGRATIVE MODEL OF POLITICAL AND SOCIAL LEARNING THROUGH DEMOCRACY" (2006). University of Kentucky Doctoral Dissertations. 454. https://uknowledge.uky.edu/gradschool_diss/454 This Dissertation is brought to you for free and open access by the Graduate School at UKnowledge. It has been accepted for inclusion in University of Kentucky Doctoral Dissertations by an authorized administrator of UKnowledge. For more information, please contact [email protected]. ABSTRACT OF DISSERTATION Satoshi Machida The Graduate School University of Kentucky 2006 CAN TRUST BE LEARNED IN HETEROGENEOUS ENVIRONMETNS? AN INTEGRATIVE MODEL OF POLITICAL AND SOCIAL LEARNING THROUGH DEMOCRACY ABSTRACT OF DISSERTATION A dissertation submitted in partial fulfillment for the requirements for the degree of Doctor of Philosophy in the College of Arts and Sciences at the University of Kentucky By Satoshi Machida Lexington, Kentucky Co-Director: Dr. Matthew Gabel, Associate Professor of Political Science in Washington University in St. Louis, Missouri and Dr. Mark Peffley, Professor of Political Science Lexington, Kentucky 2006 Copyright © Satoshi Machida 2006 ABSTRACT OF DISSERTATION CAN TRUST BE LEARNED IN HETEROGENEOUS ENVIRONMETNS? AN INTEGRATIVE MODEL OF POLITICAL AND SOCIAL LEARNING THROUGH DEMOCRACY While the virtues of social capital in democracies are widely recognized, previous studies have repeatedly shown that social capital is in short supply in heterogeneous communities with ethnic minorities. Against the view that levels of social capital are culturally predetermined, I argue that it is possible to generate social capital by carefully formulating political institutions. Drawing from theories of institutional management of ethnic conflict and theories of institutional learning, I construct an integrated theory of social capital which hypothesizes that citizens learn to trust one another based on their experiences with political institutions during an extended period of democratic rule. To test this integrated model of social capital, I use a probit analysis to examine how democratic longevity in different institutional settings (e.g., majoritarian vs. consensus) influences social capital. To overcome the endogeneity problem that exists between social capital and democratic longevity, I adopt an instrumental variables approach, drawing on theories in international relations. My analysis of World Values Survey data yields three main conclusions concerning the institutional arrangements that foster social capital. First, I find that democratic longevity fosters higher levels of trust in countries with consensus institutions containing power- sharing arrangements through cabinets, executive-legislative balances, party systems, and electoral systems—presumably because cooperation among different groups enhances social capital. Second, a longer period of democratic rule in highly federal institutions undermines trust, as the devolution of powers through territorial units is thought to fragment the political system and society. Finally, consistent with the theoretical expectations, I find that these two conclusions hold only among ethnic minorities. Among ethnic majorities, the effect of democratic longevity disappears once we purge the endogenous component (i.e., the effect of social capital on democratic longevity), using an instrumental variables approach. Case studies of the Baltic States, the Canadian province of Quebec, and Malaysia corroborated the findings from the statistical analyses. By uncovering a mechanism through which social capital can be generated in multiethnic states, this study makes an important contribution to the literature. KEYWORDS: Social Capital, Community Heterogeneity, Political Institutions, Democratic Longevity, Multiethnic Democracies Satoshi Machida Oct 1, 2006 CAN TRUST BE LEARNED IN HETEROGENEOUS ENVIRONMETNS? AN INTEGRATIVE MODEL OF POLITICAL AND SOCIAL LEARNING THROUGH DEMOCRACY By Satoshi Machida Dr. Matthew Gabel Co-Director of Dissertation Dr. Mark Peffley Co-Director of Dissertation Dr. Donald Gross Director of Graduate Studies October 26, 2006 RULES FOR USE OF DISSERTATIONS Unpublished dissertations submitted for the Doctor's degree and deposited in the University of Kentucky Library are as a rule open for inspection, but are to be used only with due regard to the rights of the authors. Bibliographical references may be noted, but quotations or summaries of parts may be published only with the permission of the author, and with the usual scholarly acknowledgments. Extensive copying or publication of the dissertation in whole or in part also requires the consent of the Dean of the Graduate School of the University of Kentucky. A library that borrows this dissertation for use by its patrons is expected to secure the signature of each user. Name Date __________________________________________________________________ __________________________________________________________________ __________________________________________________________________ __________________________________________________________________ __________________________________________________________________ __________________________________________________________________ __________________________________________________________________ __________________________________________________________________ __________________________________________________________________ DISSERTATION Satoshi Machida The Graduate School University of Kentucky 2006 CAN TRUST BE LEARNED IN HETEROGENEOUS ENVIRONMETNS? AN INTEGRATIVE MODEL OF POLITICAL AND SOCIAL LEARNING THROUGH DEMOCRACY DISSERTATION A dissertation submitted in partial fulfillment for the requirement degree of Doctor of Philosophy in the College of Arts and Sciences at the University of Kentucky By Satoshi Machida Lexington, Kentucky Co-Director: Dr. Matthew Gabel, Associate Professor in the Department of Political Science at the Washington University in St. Louis. and Dr. Mark Peffley, Professor of Political Science Lexington, Kentucky 2006 Copyright © Satoshi Machida 2006 DEDICATION I dedicate this dissertation to my mother, Hiroko Machida, and to my father, Noriaki Machida. ACKNOWLEDGEMENTS Looking back on my graduate study for about five years, I find myself indebted to so many people. I attempt to thank them despite the risk that I may overlook someone. I must thank my advisor and chair of my dissertation committee, Dr. Matthew Gabel, for his consistent support on my research. Without his help, I could not have achieved what I did. From him, I have learned what research in political science is all about. I would like to thank many people for providing useful advice and helping me to develop professional skills. I owe special thanks to my committee members. Dr. Mark Peffley, a co-chair in my committee, provided me the foundation from which I was able to develop ideas for my dissertation. Dr. Charles Davis and Dr. Tom Janoski helped me to improve my dissertation by offering constructive criticisms. I also thank Dr. Richard Fording, Dr. Horace Bartilow, Dr. Steve Voss, and Dr. Stuart Kaufman, who warmly supported my study throughout the program. I would like to thank my colleagues in the Department of Political Science. Ridvan Peshkopia, Rajan Kumar, Byungkyu Kim, and Dong-Hyuk Shin have been good friends to me. I am thankful for the friendship. Tae-Hyung Kim, Young-Kwi Bae, and Tom Ruby encouraged me to finish my dissertation with useful advice for my research. I also wish to thank Karen Keogler. She has been a person who I can always talk to whenever I feel sad or frustrated. Dr. Takashi Nomiyama has shown me how to face difficulties through the art of kendo. Kristina Rutkute has always provided me with a strong support and motivated me to be a better person. Without her support, my experience in Kentucky would have been so different. iii Finally, I wish to thank my family. My parents have generously allowed me to pursue what I like. I am always thankful for their support and love. Thank you. iv Table of Contents List of Tables……………………………………………………………………………viii List of Figures……………………………………………………………………………..x Chapter 1: Introduction……………………………………………………………………1 Chapter 2: Literature Review………………………………………………………….....10 2-1: What is Social Capital?...............................................................................................11 2-2: Community Heterogeneity and Social Capital……………………………….……...14 2-3: Exogenous and Endogenous Approach of Social Capital……………….…………..19 2-4: Social Capital as Endogenous to Political Institutions…………………….……….. 26 2-5: Institutional Arrangements in Heterogeneous Communities………………………..30 2-6: Institutional Learning………………………………………………………………..38 2-7: Synthesizing the Stories……………………………………………………………..41 Chapter 3: Theory and Hypotheses……………………………………………………………….44 3-1: Community Heterogeneity and Social Capital……………………………………...45 3-2: Political Institutions and Social Capital……………………………………….........46 3-3: Integrative Model of Political and Social Learning…………………………………50 3-3-1: The Direct-Translation-Learning