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Religious Festivals and Economic Development: Evidence from the Timing of Mexican Saint Day Festivals

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  • Eduardo Montero
  • Dean Yang

Abstract

Does variation in how religious festivals are celebrated have economic consequences? We study the economic impacts of the timing of Catholic patron saint day festivals in Mexico. For causal identification, we exploit cross-locality variation in festival dates and in the timing of agricultural seasons. We estimate the impact of "agriculturally coinciding" festivals (those coinciding with peak planting or harvest months) on long-run economic development of localities. Agriculturally coinciding festivals lead to lower household income and worse development outcomes overall. These negative effects are likely due to lower agricultural productivity, which inhibits structural transformation out of agriculture. Agriculturally coinciding festivals may nonetheless persist because they also lead to higher religiosity and social capital.

Suggested Citation

  • Eduardo Montero & Dean Yang, 2022. "Religious Festivals and Economic Development: Evidence from the Timing of Mexican Saint Day Festivals," American Economic Review, American Economic Association, vol. 112(10), pages 3176-3214, October.
    • Handle: RePEc:aea:aecrev:v:112:y:2022:i:10:p:3176-3214
    DOI: 10.1257/aer.20211094
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    References listed on IDEAS

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    1. Sellars, Emily A. & Alix-Garcia, Jennifer, 2018. "Labor scarcity, land tenure, and historical legacy: Evidence from Mexico," Journal of Development Economics, Elsevier, vol. 135(C), pages 504-516.
    2. Stelios Michalopoulos, 2012. "The Origins of Ethnolinguistic Diversity," American Economic Review, American Economic Association, vol. 102(4), pages 1508-1539, June.
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    Cited by:

    1. Hanemaaijer, Kyra & Marie, Olivier & Musumeci, Marco, 2023. "The Fast and the Studious? Ramadan Observance and Student Performance," IZA Discussion Papers 16249, Institute of Labor Economics (IZA).
    2. Tabellini, Marco & Gagliarducci, Stefano, 2021. "Faith and Assimilation: Italian Immigrants in the US," CEPR Discussion Papers 15794, C.E.P.R. Discussion Papers.
    3. Sascha O. Becker & Jared Rubin & Ludger Woessmann, 2024. "Religion and Growth," Journal of Economic Literature, American Economic Association, vol. 62(3), pages 1094-1142, September.
    4. Jetter, Michael & Molina, Teresa, 2022. "Persuasive agenda-setting: Rodrigo Duterte’s inauguration speech and drugs in the Philippines," Journal of Development Economics, Elsevier, vol. 156(C).
    5. Guillermo Cabanillas-Jiménez, 2024. "The Effect of Religious Constraints on Individual Labor Supply," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 36(6), pages 1398-1447, December.
    6. Claudia Martínez V. & Rubén Poblete-Cazenave, 2024. "Holi Crimes," Tinbergen Institute Discussion Papers 24-041/V, Tinbergen Institute.
    7. Aparajita Dasgupta & Ashokankur Datta, 2023. "Religious Institutions & Gendered Time Use: Evidence from Ramadan Festivities in India," Working Papers 90, Ashoka University, Department of Economics.
    8. Yasar Ersan & Ilhan Can Ozen, 2022. "Once Upon a Time in Anatolia: The Long Run Development Effects of American Missions in Anatolia," ERC Working Papers 2201, ERC - Economic Research Center, Middle East Technical University, revised Jan 2022.
    9. Campbell, Douglas & Brodeur, Abel & Dreber, Anna & Johannesson, Magnus & Kopecky, Joseph & Lusher, Lester & Tsoy, Nikita, 2024. "The Robustness Reproducibility of the American Economic Review," I4R Discussion Paper Series 124, The Institute for Replication (I4R).

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    More about this item

    JEL classification:

    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Z12 - Other Special Topics - - Cultural Economics - - - Religion
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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