Capital-labor substitution in the production of religious goods

Abstract

This paper provides evidence of capital-labor substitution in the production of religious goods. Using data on church attendance, tithing, and income from the U.S. Congregational Life Survey, I show that (A) the labor input to religious production (as measured by attendance at formal church services) declines as income increases, (B) the labor time equivalent of monetary giving increases as income increases, and (C) the increase in the labor time equivalent of monetary giving more than offsets the decline in formal church attendance, such that total household resources allocated to religious production increase with income.