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Religious Market Competition and Clergy Salary: Evidence from SBC Congregations in the South

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  • Michelle W. Trawick
  • Stephen E. Lile

Abstract

. We utilize a rich and unique data source covering 13,825 Southern Baptist Convention churches in seven Southern states to test the impact of religious market competition, or pluralism, on clergy salary. We link county‐level religious market and socioeconomic data to the county in which each church is located. Two measures of religious output market are used. One is a narrow output market definition calculated using only SBC churches. The other is a more broadly defined measure calculated using 132 Judeo‐Christian denominations. Using regression analysis, we conclude that greater concentration among Southern Baptist Churches' members within a given county area has a positive, and statistically significant, impact on Southern Baptist clergy salaries, while greater concentration among other denominations has no impact on Southern Baptist clergy salaries. Most importantly, we show that Southern Baptist Churches exhibit predictable economic behavior despite the ethereal nature of the product they provide.

Suggested Citation

  • Michelle W. Trawick & Stephen E. Lile, 2007. "Religious Market Competition and Clergy Salary: Evidence from SBC Congregations in the South," American Journal of Economics and Sociology, Wiley Blackwell, vol. 66(4), pages 747-763, October.
    • Handle: RePEc:bla:ajecsc:v:66:y:2007:i:4:p:747-763
    DOI: 10.1111/j.1536-7150.2007.00538.x
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    References listed on IDEAS

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    Cited by:

    1. Jay C. Hartzell & Christopher A. Parsons & David L. Yermack, 2010. "Is a Higher Calling Enough? Incentive Compensation in the Church," Journal of Labor Economics, University of Chicago Press, vol. 28(3), pages 509-539, July.
    2. D. R. Hughes & D. T. Mitchell & D. P. Molinari, 2011. "Heeding the call: seminary enrollment and the business cycle," Applied Economics Letters, Taylor & Francis Journals, vol. 18(5), pages 433-437.

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