Working Paper

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

Sascha Becker, Ludger Wößmann
CESifo, Munich, 2013

CESifo Working Paper No. 4115

The interplay between religion and the economy has occupied social scientists for long. We construct a unique panel of income and Protestant church attendance for six waves of up to 175 Prussian counties spanning 1886-1911. 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. But the association disappears in panel analyses, including first-differenced models of the 1886-1911 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.

CESifo Category
Labour Markets
Economics of Education
Keywords: religion, secularization, Prussian economic history
JEL Classification: Z120, N330