The Invisible Hand Plays Dice: Eventualities in Religious Markets
AbstractReligious participation is much more widespread in the United States than in Europe, while Europeans tend to view sects more suspiciously than Americans. We propose an explanation for these patterns without assuming differences in preferences or market fundamentals. Religious markets may have multiple equilibria, suggesting that observed differences in religious structures may merely be eventualities. Further, equilibria with more sects result in higher welfare and lower membership costs, as secular societies tend to host on average more demanding sects. Our main methodological contribution to the theory of religious markets is endogenizing simultaneously supply and demand of spiritual services.
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Bibliographic InfoPaper provided by EconWPA in its series Others with number 0406005.
Length: 19 pages
Date of creation: 23 Jun 2004
Date of revision:
Note: Type of Document - pdf; pages: 19
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Sects; religion; tithes; religious markets; occupational choice;
Other versions of this item:
- Panu Poutvaara & Andreas Wagener, 2004. "The Invisible Hand Plays Dice: Eventualities in Religious Markets," CESifo Working Paper Series 1238, CESifo Group Munich.
- L89 - Industrial Organization - - Industry Studies: Services - - - Other
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
This paper has been announced in the following NEP Reports:
- NEP-ALL-2004-06-27 (All new papers)
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