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The bicausal relation between religion and income

[journal article]

Bettendorf, Leon; Dijkgraaf, Elbert

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Abstract In this paper the relation between religion and income is investigated using a micro-dataset for the Netherlands. Religion is measured by religious membership and by participation. Instead of estimating a religion equation and an income equation separately, joint regression is preferred since this generally yields more efficient estimates. Following the single-equation approach, both religious measures are found to decrease income significantly and income is found to affect religion negatively. However, these cross-effects become insignificant once the equations are estimated simultaneously. In contrast, the effects of socio-economic characteristics on religion and income hardly differ between the approaches.
Classification National Economy
Document language English
Publication Year 2009
Page/Pages p. 1351-1363
Journal Applied Economics (2009)
ISSN 1466-4283
Status Postprint; peer reviewed
Licence PEER Licence Agreement (applicable only to documents from PEER project)