TRENDS & An Implosion of Trust: Researchers find trust in people/institutions @ all time low.

by Richard Edelman, 1/15/17.

It has been a year of unimaginable upheaval. The incumbent party or elected head of state in five of the top 10 global economies (Brazil, Italy, South Korea, U.K., U.S.) has been deposed or defeated. Populist candidates are leading or growing in strength in upcoming elections in France and Germany. The U.K. voted to exit the European Union. …The mainstream media lost audience as its advertising melted away and it confronted the specter of fake news…
The 2017 Edelman TRUST BAROMETER finds that two-thirds of the countries we survey are now “distrusters” (under 50 percent trust in the mainstream institutions of business, government, media and NGOs to do what is right), up from just over half in 2016. This is a profound crisis in trust that has its origins in the Great Recession of 2008. The aftershocks from the stunning meltdown of the global economy are still being felt today, with consequences yet unknown.

These macro trends are causing destabilizing aftershocks, with important negative consequences for trust:

First, the trust collapse has moved beyond a simple “class vs. mass” problem to a systemic threat. More than three-quarters of respondents among both informed and general populations agree that the system is biased against regular people and favors the rich and powerful. … Close to half of the “informed public” — adults 25-64 with a college education, in the top 25 percent of income, and consume large amounts of media — have lost faith in the system.

Second, there is a lack of belief in leaders, who damage the stature of their institutions. We now observe a huge divide between the modest trust in institutions of business and government and a pitifully low level of confidence in their leaders. Over two-thirds of the general population do not have confidence that current leaders can address their country’s challenges. The credibility of CEOs fell by 12 points this year to 37 percent globally; in Japan, it is 18 percent. Government officials and regulators are the least credible spokespeople, at 29 percent credibility. “A person like yourself” is now as credible as an academic or technical expert, and far more credible than a CEO or government official, implying that the primary axis of communications is now horizontal or peer-to-peer, evidence of dispersion of authority to friends and family.

Third, we’ve registered the demise of government as an effective force in leading change. From an exalted position as savior in the wake of the financial crisis, government is viewed today as incompetent, corrupt and divided, the least trusted global institution at 41 percent. The drop in government trust began five years ago in developed markets, …

Fourth, the media, the vaunted Fourth Estate in global governance, plunged in trust this year, distrusted in more than 80 percent of the countries we survey, to a level near government. Media is now seen to be politicized, unable to meet its reporting obligations due to economic pressures, and following social media rather than creating the agenda. Donald Trump circumvents mainstream media with his Twitter account, in this way seeming more genuine, approachable and responsive. Technology has allowed the creation of media echo chambers, so that a person can reinforce, rather than debate, viewpoints. In fact, 59 percent of respondents would believe a search engine over a human editor. It is a world of self-reference, as respondents are nearly four times more likely to ignore information that supports a position that they do not believe in…

Read more at … http://www.edelman.com/p/6-a-m/an-implosion-of-trust/

See also, “Survey: People’s Trust Has Declined in Business, Media, Government, and NGOs” by Matthew Harrington, Harvard Business Review, 1/16/17 at https://hbr.org/2017/01/survey-peoples-trust-has-declined-in-business-media-government-and-ngos

Sincerely,
Bob W.

(Typ@s by Siri.)