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The Decline of Religiosity in America: Evidence from a Structural Model of Endogenous Church Differentiation

Author

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  • Raphael Corbi

  • Fabio Miessi Sanches

Abstract

This paper presents a structural model of endogenous product differentiation in religious markets, examining how evolving societal moral values drive the rise of the religiously unaffiliated in the U.S. Structural estimates show that individuals choose Churches based on how closely Church teachings match their personal values, while Churches do not adjust their positions in response to changes in societal moral values. Counterfactual analyses reveal that the liberalization of moral values is a key driver of the increasing share of "nones". Furthermore, attempts by Churches to adopt more liberal stances can only partially counteract this trend.

Suggested Citation

  • Raphael Corbi & Fabio Miessi Sanches, 2024. "The Decline of Religiosity in America: Evidence from a Structural Model of Endogenous Church Differentiation," Working Papers, Department of Economics 2024_32, University of São Paulo (FEA-USP).
    • Handle: RePEc:spa:wpaper:2024wpecon32
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    References listed on IDEAS

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    JEL classification:

    • C57 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Econometrics of Games and Auctions
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • Z12 - Other Special Topics - - Cultural Economics - - - Religion

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