Religion & Economic Growth
Robert J. Barro and Rachel M. McCleary (”Religion and Economic Growth Across Countries” & “Religion and Political Economy in an International Panel“) researched the relationship between religion and development.
Their cross-country analysis shows that per capita gdp has a significantly negative effect on religion, both in terms of beliefs and participation. This tendency is gradual as countries grow richer. A steady pattern of secularization has only applied to a few countries, such as Britain, France, and Germany.
For a given level of religious participation, increases in core religious beliefs — notably belief in hell, heaven, and an afterlife — tend to increase economic growth. In contrast, for given religious beliefs, increases in church attendance tend to reduce economic growth. In other words, the main growth effect is a positive response to an increase in believing relative to belonging (attending).
A certain amount of participation in religious activities is positive, in that people acquire useful beliefs. But if people spend too much time in religious activities, there is a negative effect on economic growth.
Religious participation is correlated with a lower probability of substance abuse, juvenile delinquency (Michael J. Donahue and Peter L. Benson, “Religion and the Well-Being of Adolescents“), and depression (”Immigrant Generation, Assimilation and Adolescent Psychological Well-being“), and positive attitudes toward marriage and having children (Elaine Marchena and Linda J. Waite, “Re-assessing Family Goals and Attitudes in Late Adolescence”).
Overall, urbanization has a negative effect on religiosity, particularly in terms of participation.