I write this short paper with some diffidence. The conference is about civilization. The relationship between the issue discussed in this paper and civilization is tacit. It is about the role of culture in economic exchanges. My interest in this issue is motivated by some recent observations which assert that culture matters in explaining some economic phenomena. One observation which is particularly relevant to the topic discussed here is that culture affects cross-country economic relations. It shows, in particular, the presence of cultural biases in economic exchanges.One channel through which culture affects economic exchange is trust. There has been an ongoing discourse among economists about the role of trust in explaining some economic phenomena. According to Arrow(1972), “Virtually every commercial transaction has within itself an element of trust, certainly any transaction conducted over a period of time. It can be plausibly argued that much of the economic backwardness in the world can be explained by the lack of mutual confidence”. Arrow’s remark has ignited economists’interest in studying the effect of trust on economic development.Another observation that motivates this paper is the absence, thus far, of a formal region-wide economic cooperation in East Asia, which includes countries in Northeast and Southeast Asia. It is not for lack of trying. Various attempts have been made since the late 1980s to form such cooperation, but the progress has been sluggish. This paper argues that one of the main stumbling blocks is a lack of trust, especially among the Northeast Asian counties. It holds that a certain level of trust among the countries involved is necessary so as to transcend any other barriers, such as psychological, that might have prevented them from starting serious negotiations.Trust and culture are two complex concepts that defy simple definitions. Different discipline has its own definition of each concept. The definitions of the two concepts and how they affect economic activities are outlined below.