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From Social Attitudes to Outcomes: The Role of Institutional Quality in Development

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  1. Oksana Liashenko ,  
  2. Mª Ángeles Caraballo
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Abstract

Background

Institutional quality is a critical determinant of development outcomes, yet the role of social attitudes in shaping institutions remains underexplored. This study examines the impact of public attitudes toward gender equality, environmental protection, and immigration on institutional strength and socioeconomic development.

Method

Using data from Wave 7 of the World Values Survey, we apply a classification of attitudes based on a combination of set theory and ordinal preference logic. Respondents are grouped into 27 attitude combinations and then aggregated into eight categories. Country-level proportions are computed. We apply Bayesian Network Analysis (BNA) to uncover complex dependencies, identifying relationships and central institutional nodes such as the rule of law, democratic stability, and market organisation. Latent institutional quality and development outcomes variables are derived using Principal Component Analysis. We then use Structural Equation Modelling (SEM) to test a mediation model, estimating direct and indirect effects of attitudes on development outcomes. Bootstrapping with 5,000 replications ensures statistical robustness.

Results

BNA reveals that institutional quality is a key bridge between social attitudes and development outcomes. SEM confirms that institutional quality mediates these effects in most cases. Neutral-positive and mixed-neutral attitudes yield the most potent positive indirect effects, underscoring their role in consensus building. Negative attitudes are associated with institutional weakening and lower development performance. Interestingly, moderately negative views may drive democratic reform when linked to institutional accountability.

Conclusion

Social attitudes affect development primarily through their influence on institutions. Contrary to common assumptions, moderate and neutral positions are not passive; they foster institutional adaptability and stability. These findings underscore the importance of targeting centrist groups in policy design to reinforce inclusive governance and long-term development.

Plain Language Summary

This study examines how people’s attitudes towards gender equality, environmental protection and immigration affect the quality of institutions and, in turn, economic performance. Using global survey data, the research categorises attitudes as positive, neutral or negative and analyses their effects using advanced statistical methods.

The results show that institutions act as a bridge between social attitudes and development. Positive and neutral attitudes towards the three topics help strengthen institutions, leading to economic development. Interestingly, moderate or less extreme views (neutral attitudes) have a greater positive effect on institutional quality than positive ones. Furthermore, negative attitudes weaken institutions and hinder economic development. These findings suggest that less polarised societies are more likely to develop strong and effective institutions.

The research in this paper provides a comprehensive approach to better understanding the links between social attitudes, institutional quality and economic development. It can help policymakers design more effective and inclusive governance frameworks.

Corresponding author
Mª Ángeles Caraballo
0000-0002-8753-1562
Grant information

This project has received funding from the European Union’s Horizon Europe research and innovation program under grant agreement No. 101101923

The funders had no role in study design, data collection and analysis, decision to publish, or preparation of the manuscript.

Copyright
© 2025 Oksana Liashenko (Co-Author); Mª Ángeles Caraballo (Corresponding Author, Co-Author) Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

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Authors & roles

Oksana Liashenko

Economics and Trade Department, Lesya Ukrainka Volyn National University, Lutsk, 43025, Ukraine

Economics and Economic History Department, University of Seville, Seville, 41018, Spain

Roles
Co-Author, Conceptualization, Data Curation, Formal Analysis, Funding Acquisition, Investigation, Methodology, Project Administration, Resources, Software, Supervision, Validation, Visualization, Writing – Original Draft Preparation, Writing – Review & Editing
0000-0001-5489-815X

Mª Ángeles Caraballo

Economics and Economic History Department, University of Seville, Seville, 41018, Spain

IUSEN (Instituto de Economía y Negocios de la Universidad de Sevilla), Universidad de Sevilla, Sevilla, 41018, Spain

Roles
Corresponding Author, Co-Author, Conceptualization, Data Curation, Formal Analysis, Funding Acquisition, Investigation, Methodology, Project Administration, Resources, Software, Supervision, Validation, Visualization, Writing – Original Draft Preparation, Writing – Review & Editing
0000-0002-8753-1562

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