Arbeitspapier

The religious transition: a long-run perspective

We use factor analysis to derive a robust measure of religiosity from items reported in five waves of the World Value Survey. Our measure of religiosity is negatively correlated with per capita income. Development apparently causes religiosity to fall to about half its pre-modern level. Most components of the demand for religion are reduced by development. The supply of religion declines once churches lose control over the institutions providing collective goods like education, health, and social security. These goods used to be supplied by churches jointly with religious services but tend to be supplied by the state with rising levels of development. Aspects of supply and demand are integrated in a CES production function framework that can explain the direction of causality in the observed negative correlation between income and religiosity.

Language
Englisch

Bibliographic citation
Series: Kiel Working Paper ; No. 1576

Classification
Wirtschaft
Macroeconomic Analyses of Economic Development
Cultural Economics: Religion
Subject
Levels of development
religiosity
biogeography
Entwicklung
Sozialprodukt
Religion
Wissenschaft
Entwicklungsstufe
Welt

Event
Geistige Schöpfung
(who)
Paldam, Martin
Gundlach, Erich
Event
Veröffentlichung
(who)
Kiel Institute for the World Economy (IfW)
(where)
Kiel
(when)
2009

Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Paldam, Martin
  • Gundlach, Erich
  • Kiel Institute for the World Economy (IfW)

Time of origin

  • 2009

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