Faith and growth

Are some religions friendlier to economic growth than others? Do religions influence our economic thoughts and attitudes?...

Are some religions friendlier to economic growth than others? Do religions influence our economic thoughts and attitudes? Is there a relationship between tolerance of immigrants and religion? Did you think these questions are a waste of time? So did I, until I read People’s Opium? Religion and Economic Attitudes, a paper by three economists, Luigi Guiso, Paola Sapienza and Luigi Zingales.

According to this troika, there is a correlation between religion and “people’s attitudes toward cooperation, government, women, legal rules, the market economy, and thriftiness. We found on average that religion is good for the development of attitudes that are conducive to economic growth.” Their conclusions: the religious are more intolerant and conservative

The authors conclude that while Christian religions are more positively associated with attitudes conducive to economic growth, Protestants trust others and the legal system more than Catholics, are less willing to cheat on taxes and accept a bribe.

If the world’s benchmark in wealth creation is to be studied, the role of immigrants in fostering innovation-led economic development of the US cannot be ignored. Nor can its link with Christianity. According to the authors, Hindus and Muslims are less tolerant towards immigrants and other races. While I would not give a sweeping acceptance to this academically researched mirror of what we see every day, I wonder whether the opening up of the economy in 1991 has lowered its barriers to immigrants — Indians work for foreign companies with as much ease as foreigners in Indian ones. Will the talent inflow-outflow between India and the rest of the world through globalised companies add some percentage points to economic growth?

Can’t help highlighting one more conclusion. The authors note that religious upbringing and affiliations have a direct relationship with a reduced willingness to break the law. This conservatism has a gender rigidity too: “The more a person participates in religious services, the more his attitude towards women is conservative.” Is religion, therefore, some sort of chain that simultaneously anchors and binds the free man?