A social capital analysis on the axis of behavioral economics: Applied analysis on the effects of trust in decision processes

This research aims to analyze the effects of trust on individuals' decision-making processes by addressing social capital from the perspective of behavioral economics. The theoretical foundation of the study is based on the dynamic choice models developed by David Kreps (1990) and non-cooperative game theory, as well as the trust game introduced by Berg, Dickhaut, and McCabe (1995). In this context, the study examines how trust shapes economic and social relationships between individuals and how it guides decision-making processes. While the economic and psychological aspects of trust are often discussed in the literature, this study aims to concretely reveal the role of trust in social capital through an experimental method. For the experimental study, a survey was conducted with 51 students from Istanbul Gelisim University. Two different methods were applied to the same observation group, and the results were compared for consistency. The study aimed to identify the trust levels and the effects of trust (as a component of social capital) on individuals' behavior in decision-making processes. The findings show that trust levels are a significant factor in determining individuals' economic and social preferences. Moreover, as a component of social capital, trust plays a critical role in interpersonal interactions and cooperation processes. The results of the study highlight the determining effect of trust on decision-making processes in the field of behavioral economics and offer new perspectives for future research.