Growing up in Denmark-- one of the "high trust" societies-- I will say that it was interestingly different from living in the US, notably in the sense that there was a much greater respect for the concept of "a common good," as opposed to the more individualistic orientation found in this country. The common good is considered important to the point that it is more accepted that a person may not get what they want if/when the common interest is at stake.

On the whole, though, I would say part of the reason it works is as much because there are benefits/rewards for doing right more than "punishments" for doing wrong.