ABSTRACT
This chapter examines how natural environment and the emergence of new technologies can influence societal trust. It also reviews of the most relevant literature on the economics of natural disasters, trust or social capital formation, and IT or communication technologies in the context of social capital formation. The chapter explains most relevant literature on the economics of natural disasters, trust or social capital formation, and IT or communication technologies in the context of social capital formation. Before turning to the empirical analysis, the chapter discusses the most relevant literature on social capital and trust, including the role of IT or communications technologies. Data on natural disasters come from the Office of Disaster Assistance (OFDA) or Center for Research on the Epidemiology of Disasters (CRED) International Database. The OFDA or CRED database is a result of collaboration between the Office of US Foreign Disaster Assistance and the Center for Research on the Epidemiology of Disasters.
