کد مقاله | کد نشریه | سال انتشار | مقاله انگلیسی | نسخه تمام متن |
---|---|---|---|---|
881922 | 1471556 | 2015 | 11 صفحه PDF | دانلود رایگان |
• Prevailing theory claims that churches need to eliminate free-riders.
• This paper argues that churches need free-riders in a dynamic setting.
• Allowing potential members to free-ride temporarily exposes them to religious goods and begins the process of religious capital formation.
• Free-riders thus provide a risky but necessary investment by the church.
• The theory yields predictions consistent with stylized empirical facts.
Prevailing theory claims that churches thrive when they overcome the free-rider problem. However, this paper argues that religious organizations need free-riders in a dynamic setting. If individuals’ contributions to congregations increase as their exposure to religion increases, then allowing potential members to free-ride temporarily may increase future membership and contribution levels. Free-riders thus comprise a risky but necessary investment by the church. Strict churches screen out riskier investments yet still allow some free-riding, while ultra-strict churches screen out all but members’ children. This new theory yields predictions consistent with stylized empirical facts.
Journal: Journal of Behavioral and Experimental Economics - Volume 58, October 2015, Pages 77–87