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Competition and the Strategic Choices of Churches

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  • Adam D. Rennhoff
  • Mark F. Owens

Abstract

We examine how the decisions of churches are impacted by the decisions of rival churches. Using a novel dataset, we estimate a model of strategic interaction, which accounts for the location and denomination of churches. We focus on a church's decision of whether to provide a weekday child care program. Empirical evidence indicates that churches compete more strongly with same-denomination churches than with different-denomination churches. These effects diminish with distance. (JEL J13, L31, Z12)

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Bibliographic Info

Article provided by American Economic Association in its journal American Economic Journal: Microeconomics.

Volume (Year): 4 (2012)
Issue (Month): 3 (August)
Pages: 152-70

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Handle: RePEc:aea:aejmic:v:4:y:2012:i:3:p:152-70

Note: DOI: 10.1257/mic.4.3.152
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  1. Andrew Cohen & Beth Freeborn & Brian McManus, 2013. "Competition And Crowding Out In The Market For Outpatient Substance Abuse Treatment," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 54(1), pages 159-184, 02.
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  6. Jonathan Gruber, 2005. "Religious Market Structure, Religious Participation, and Outcomes: Is Religion Good for You?," NBER Working Papers 11377, National Bureau of Economic Research, Inc.
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  9. Jonathan Gruber & Daniel M. Hungerman, 2008. "The Church versus the Mall: What Happens When Religion Faces Increased Secular Competition?," The Quarterly Journal of Economics, MIT Press, vol. 123(2), pages 831-862, 05.
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  11. Stephen Ryan & Patrick Bajari & Han Hong, 2005. "Identification and Estimation of Discrete Games of Complete Information," Computing in Economics and Finance 2005 53, Society for Computational Economics.
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  13. Laurence R. Iannaccone, 1998. "Introduction to the Economics of Religion," Journal of Economic Literature, American Economic Association, vol. 36(3), pages 1465-1495, September.
  14. Gruber, Jonathan & Hungerman, Daniel M., 2007. "Faith-based charity and crowd-out during the great depression," Journal of Public Economics, Elsevier, vol. 91(5-6), pages 1043-1069, June.
  15. Hungerman, Daniel M., 2009. "Crowd-out and diversity," Journal of Public Economics, Elsevier, vol. 93(5-6), pages 729-740, June.
  16. Pierre Lefebvre & Philip Merrigan, 2008. "Child-Care Policy and the Labor Supply of Mothers with Young Children: A Natural Experiment from Canada," Journal of Labor Economics, University of Chicago Press, vol. 26(3), pages 519-548, 07.
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Cited by:
  1. Filistrucchi, L. & Prüfer, J., 2013. "Faithful Strategies: How Religion Shapes Nonprofit Management," Discussion Paper 2013-052, Tilburg University, Center for Economic Research.

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