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Development and� Religious Polarization: The Emergence of Reform and Ultra-Orthodox Judaism

  • Jean-Paul Carvalho
  • Mark Koyama

Jewish emancipation in nineteenth century Europe produced drastically different responses.� In Germany, a liberal variant known as Reform developed, while ultra-Orthodox Judaism emerged in eastern Europe.� We develop a model of religious organization which explains this polarization.� In developed regions, religious authorities embrace the prospect of cultural integration by relaxing probhibitions and benfitting from greater financial contributions.� In poorer regions, religious authorities adopt a strategy of cultural resistance, enforcing prohibitions to elicit greater contributions of effort.� In regions of intermediate development, religious schisms and cycles occur.� This analytic narrative sheds light on how economic development can lead to cultural change.

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File URL: http://www.economics.ox.ac.uk/materials/working_papers/paper560.pdf
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Paper provided by University of Oxford, Department of Economics in its series Economics Series Working Papers with number 560.

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Date of creation: 01 Jul 2011
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Handle: RePEc:oxf:wpaper:560
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  1. Eli Berman, 2000. "Sect, Subsidy, And Sacrifice: An Economist'S View Of Ultra-Orthodox Jews," The Quarterly Journal of Economics, MIT Press, vol. 115(3), pages 905-953, August.
  2. Michael McBride, 2007. "Why Churches Need Free-riders: Religious Capital Formation and Religious Group Survival," Working Papers 060722, University of California-Irvine, Department of Economics.
  3. Botticini, Maristella & Eckstein, Zvi, 2004. "Jewish Occupational Selection: Education, Restrictions, or Minorities?," IZA Discussion Papers 1224, Institute for the Study of Labor (IZA).
  4. Nuno Garoupa & Pedro Pita Barros, 2001. "An economic theory of church strictness," Economics Working Papers 563, Department of Economics and Business, Universitat Pompeu Fabra.
  5. John Komlos, 2007. "Anthropometric evidence on economic growth, biological well-being and regional convergence in the Habsburg Monarchy, c. 1850–1910," Cliometrica, Journal of Historical Economics and Econometric History, Association Française de Cliométrie (AFC), vol. 1(3), pages 211-237, October.
  6. Guinnane, T., 1998. "Population and the Economy in Germany, 1800-1990," Papers 793, Yale - Economic Growth Center.
  7. Ran Abramitzky, 2008. "The Limits of Equality: Insights from the Israeli Kibbutz," The Quarterly Journal of Economics, MIT Press, vol. 123(3), pages 1111-1159, August.
  8. Max-Stephan Schulze, 2000. "Patterns of growth and stagnation in the late nineteenth century Habsburg economy," LSE Research Online Documents on Economics 4370, London School of Economics and Political Science, LSE Library.
  9. Schulze, Max-Stephan, 2000. "Patterns of growth and stagnation in the late nineteenth century Habsburg economy," European Review of Economic History, Cambridge University Press, vol. 4(03), pages 311-340, December.
  10. Abramitzky, Ran, 2009. "The effect of redistribution on migration: Evidence from the Israeli kibbutz," Journal of Public Economics, Elsevier, vol. 93(3-4), pages 498-511, April.
  11. Laurence R. Iannaccone, 1998. "Introduction to the Economics of Religion," Journal of Economic Literature, American Economic Association, vol. 36(3), pages 1465-1495, September.
  12. MICHAEL McBRIDE, 2010. "Religious Market Competition in a Richer World," Economica, London School of Economics and Political Science, vol. 77(305), pages 148-171, 01.
  13. Maristella Botticini & Zvi Eckstein, 2007. "From Farmers to Merchants, Conversions and Diaspora: Human Capital and Jewish History," Journal of the European Economic Association, MIT Press, vol. 5(5), pages 885-926, 09.
  14. Iannaccone, Laurence R, 1992. "Sacrifice and Stigma: Reducing Free-Riding in Cults, Communes, and Other Collectives," Journal of Political Economy, University of Chicago Press, vol. 100(2), pages 271-91, April.
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