Cavalcanti et al.: "Religion in Macroeconomics"

Cavalcanti, T. A., S. L. Parente and R. Zhao (2003):
"Religion in Macroeconomics: A Quantitative Analysis of Weber's Thesis"
Abstract: Max Weber in 1905 claimed that Protestantism, and more specifically Calvinism, facilitated the rise of modern capitalism. This paper assesses the quantitative plausibility of his hypothesis by introducing religious beliefs into a dynamic general equilibrium model of development and growth. Through counterfactual exercises, the paper investigates whether differences between Catholics and Protestants can account for long delays in the start of industrialization. The main ?nding is that they cannot. Differences in religions that primarily affect capital accumulation and work effort account for only a 35-year delay in the start of industrialization.
Download: https://netfiles.uiuc.edu/parente/Religion.pdf