Not the Opium of the People: Income and Secularization in a Panel of Prussian Counties

Author:

Becker Sascha O1,Woessmann Ludger2

Affiliation:

1. Department of Economics and CAGE, University of Warwick, Coventry, CV4 7AL United Kingdom.

2. Ifo Institute and Department of Economics, University of Munich, Germany.

Abstract

The interplay between religion and the economy has long occupied social scientists. We construct a unique panel of income and Protestant church attendance using 175 Prussian counties, presented in six waves from 1886 to 1911. The data reveal a marked decline in church attendance coinciding with increasing income. The cross-section also shows a negative association between income and church attendance. The associations disappear in panel analyses, including first-differenced models of the 1886 to 1911 change, panel models with county and time fixed effects, and panel Granger-causality tests. The results cast doubt on causal interpretations of the religion-economy nexus in Prussian secularization.

Publisher

American Economic Association

Subject

Economics and Econometrics

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