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Religious Festivals and Economic Development: Evidence from the Timing of Mexican Saint Day Festivals

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  • Eduardo Montero
  • Dean Yang

Abstract

Does variation in how religious festivals are celebrated have economic consequences? We study the economic impacts of the timing of Catholic patron saint day festivals in Mexico. For causal identification, we exploit cross-locality variation in festival dates and in the timing of agricultural seasons. We estimate the impact of “agriculturally-coinciding” festivals (those coinciding with peak planting or harvest months) on long-run economic development of localities. Agriculturally-coinciding festivals lead to lower household income and worse development outcomes overall. These negative effects are likely due to lower agricultural productivity, which inhibits structural transformation out of agriculture. Agriculturally-coinciding festivals may nonetheless persist because they also lead to higher religiosity and social capital.

Suggested Citation

  • Eduardo Montero & Dean Yang, 2021. "Religious Festivals and Economic Development: Evidence from the Timing of Mexican Saint Day Festivals," NBER Working Papers 28821, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:28821
    Note: DEV POL
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    Cited by:

    1. Guillermo Cabanillas-Jiménez, 2024. "The Effect of Religious Constraints on Individual Labor Supply," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 36(6), pages 1398-1447, December.
    2. Sascha O. Becker & Jared Rubin & Ludger Woessmann, 2024. "Religion and Growth," Journal of Economic Literature, American Economic Association, vol. 62(3), pages 1094-1142, September.
    3. Poblete-Cazenave, Rubén & V., Claudia Martínez, 2025. "Holi crimes: The impact of a public festivity on violence against women," Journal of Development Economics, Elsevier, vol. 177(C).
    4. Suzuki, Mizuhiro, 2025. "Affording expensive ceremonies: Evidence from quinceañeras in Mexico," Journal of Development Economics, Elsevier, vol. 174(C).
    5. Gagliarducci, Stefano & Tabellini, Marco, 2021. "Faith and Assimilation: Italian Immigrants in the US," IZA Discussion Papers 14567, Institute of Labor Economics (IZA).
    6. Becker, Sascha O. & Panin, Amma & Pfaff, Steven & Rubin, Jared, 2025. "Religion and Economic Development: Past, Present, and Future," LIDAM Discussion Papers CORE 2025006, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    7. Aparajita Dasgupta & Ashokankur Datta, 2023. "Religious Institutions & Gendered Time Use: Evidence from Ramadan Festivities in India," Working Papers 90, Ashoka University, Department of Economics.
    8. Kyra Hanemaaijer & Olivier Marie & Marco Musumeci, 2023. "The Fast and The Studious? Ramadan Observance and Student Performance," Tinbergen Institute Discussion Papers 23-023/V, Tinbergen Institute.
    9. Conley, Timothy G. & Kelly, Morgan, 2025. "The standard errors of persistence," Journal of International Economics, Elsevier, vol. 153(C).
    10. Campbell, Douglas & Brodeur, Abel & Dreber, Anna & Johannesson, Magnus & Kopecky, Joseph & Lusher, Lester & Tsoy, Nikita, 2024. "The Robustness Reproducibility of the American Economic Review," I4R Discussion Paper Series 124, The Institute for Replication (I4R).
    11. Allen IV, James, 2024. "Double-booked: Effects of overlap between school and farming calendars on education and child labor," IFPRI discussion papers 2235, International Food Policy Research Institute (IFPRI).
    12. Jetter, Michael & Molina, Teresa, 2022. "Persuasive agenda-setting: Rodrigo Duterte’s inauguration speech and drugs in the Philippines," Journal of Development Economics, Elsevier, vol. 156(C).
    13. Claudia Martínez V. & Rubén Poblete-Cazenave, 2024. "Holi Crimes," Tinbergen Institute Discussion Papers 24-041/V, Tinbergen Institute.
    14. Yasar Ersan & Ilhan Can Ozen, 2022. "Once Upon a Time in Anatolia: The Long Run Development Effects of American Missions in Anatolia," ERC Working Papers 2201, ERC - Economic Research Center, Middle East Technical University, revised Jan 2022.
    15. Alexander Popov, 2025. "Putting Countries on the Map? Pastoral Visits of John Paul II and International Trade," The Economic Journal, Royal Economic Society, vol. 135(671), pages 2338-2358.

    More about this item

    JEL classification:

    • N36 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - Latin America; Caribbean
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • Z12 - Other Special Topics - - Cultural Economics - - - Religion

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