A Tale of Minorities: Evidence on Religious Ethics and Entrepreneurship from Swiss Census Data
Does Protestantism favour the market economy more than Catholicism does? We provide a novel quasi-experimental way to answer this question by comparing Protestant and Catholic minorities using Swiss census data from 1970 to 2000. Exploiting the strong adhesion of religious minorities to their confession's ethical principles and the historical determination of the geographical distribution of confessions across Swiss cantons, we find that Protestantism is associated with a significantly higher propensity for entrepreneurship. The estimated difference ranges between 2.3 and 4.4 percentage points. Our findings are robust to a number of robustness checks, including a placebo test.
|Date of creation:||Feb 2014|
|Date of revision:|
|Contact details of provider:|| Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany|
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
|Order Information:|| Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany|
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Kihlstrom, Richard E & Laffont, Jean-Jacques, 1979. "A General Equilibrium Entrepreneurial Theory of Firm Formation Based on Risk Aversion," Journal of Political Economy, University of Chicago Press, vol. 87(4), pages 719-48, August.
- Robert E. Lucas Jr., 1978. "On the Size Distribution of Business Firms," Bell Journal of Economics, The RAND Corporation, vol. 9(2), pages 508-523, Autumn.
- Alberto Bisin & Thierry Verdier, 2000. ""Beyond the Melting Pot": Cultural Transmission, Marriage, and the Evolution of Ethnic and Religious Traits," The Quarterly Journal of Economics, Oxford University Press, vol. 115(3), pages 955-988.
- Cantoni, Davide, 2013.
"The Economic Effects of the Protestant Reformation: Testing the Weber Hypothesis in the German Lands,"
Discussion Papers in Economics
14811, University of Munich, Department of Economics.
- Davide Cantoni, 2015. "The Economic Effects Of The Protestant Reformation: Testing The Weber Hypothesis In The German Lands," Journal of the European Economic Association, European Economic Association, vol. 13(4), pages 561-598, 08.
- Davide Cantoni, 2010. "The economic effects of the Protestant Reformation: Testing the Weber hypothesis in the German Lands," Economics Working Papers 1260, Department of Economics and Business, Universitat Pompeu Fabra.
- Davide Cantoni, 2010. "The Economic Effects of the Protestant Reformation: Testing the Weber Hypothesis in the German Lands," Working Papers 524, Barcelona Graduate School of Economics.
- Parker,Simon C., 2004.
"The Economics of Self-Employment and Entrepreneurship,"
Cambridge University Press, number 9780521828130, November.
- Parker,Simon C., 2006. "The Economics of Self-Employment and Entrepreneurship," Cambridge Books, Cambridge University Press, number 9780521030632, November.
- Holmes, T.J. & Schmitz, J.A., 1988.
"A Theory Of Enterpreneurship And Its Application To The Study Of Business Transfers,"
8827, Wisconsin Madison - Social Systems.
- Holmes, Thomas J & Schmitz, James A, Jr, 1990. "A Theory of Entrepreneurship and Its Application to the Study of Business Transfers," Journal of Political Economy, University of Chicago Press, vol. 98(2), pages 265-94, April.
- Simon C. Parker & Yacine Belghitar, 2006. "What Happens to Nascent Entrepreneurs? An Econometric Analysis of the PSED," Small Business Economics, Springer, vol. 27(1), pages 81-101, August.
- Alberto Bisin & Giorgio Topa & Thierry Verdier, 2004. "Religious Intermarriage and Socialization in the United States," Journal of Political Economy, University of Chicago Press, vol. 112(3), pages 615-664, June.
- Nunziata, Luca & Rocco, Lorenzo, 2014. "The Protestant Ethic and Entrepreneurship: Evidence from Religious Minorities from the Former Holy Roman Empire," MPRA Paper 53566, University Library of Munich, Germany.
- Rachel M. McCleary & Robert J. Barro, 2006. "Religion and Economy," Journal of Economic Perspectives, American Economic Association, vol. 20(2), pages 49-72, Spring.
When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp7976. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak)
If references are entirely missing, you can add them using this form.