Catholic Losses Are Baptist Gains
In the zero-sum game of competitive markets, one company’s misstep is often a rival’s gain. But what about in the marketplace of religion?
A new study (PDF here) titled “Substitution and Stigma: Evidence on Religious Competition from the Catholic Sex-Abuse Scandal,” by Notre Dame economist Daniel Hungerman, looks at whether other religious faiths gained from the Catholic Church sex abuse scandal. Using data from 1990-2007, Hungerman finds significant spillover effects on other religious groups.
The big winner? Baptist churches, both financially and in membership growth. Read More »
Daniel Kahneman, Nobel Laureate and Author of Thinking, Fast and Slow Takes Your Questions
One of the first times I met Danny Kahneman was over dinner, just after SuperFreakonomics was published. Shortly after we were introduced, Danny said, “I enjoyed your new book. It will change the future of the world.” I beamed with pride at this compliment. Danny, however, was not done speaking. “It will change the future of the world. And not for the better.” While I’m sure many people would agree with his last sentence, he was the only person who ever said it to my face!
If you don’t know the name, Danny Kahneman is the non-economist who has had the greatest influence on economics of any non-economist who ever lived. A psychologist, he’s the only non-economist to win the Nobel Prize in Economics, for his pioneering work in behavioral economics. I don’t think it would be an exaggeration to say that he is among the 50 most influential economic thinkers of all time, and among the ten most influential living economic thinkers. Read More »
The Inefficiency of Local Food
Two members of Congress earlier this month introduced legislation
The “Local Farms, Food and Jobs Act” sponsored by Senator Sherrod Brown of Ohio and Representative Chellie Pingree of Maine, throws about $200 million to local farm programs. That’s a rounding error in the $3.7 trillion federal budget. But the bill follows on a federal rule that gives preference to local farms in contract bidding for school lunches. It also builds on high-profile advocacy by Michelle Obama, who has become a leader of the food reform movement, joining the likes of Michael Pollan, the author of The Omnivore’s Dilemma, and famed-chef Alice Waters. The bill’s introduction came as the world population hit 7 billion, a milestone that provides a stark reminder of the challenge agriculture faces to feed a world population expected to grow to 9 billion by 2050. Read More »
The Italian Debacle and the “Church of ‘Scionology’”
The takeaways from our “Church of ‘Scionology’” radio program were as follows:
+ Economists have found that family firms that pass the company down to the next generation perform worse than if they had brought in professional management.
+ Family firms are particularly dominant in less-developed countries, which tend to have weaker markets and rule of law. Here’s Vikas Mehrotra on that point:
Read More »In the developed world, you have good contracting environments, a good system of law enforcement, and so on. So, in the developed world, you can hire professional managers and expect a certain, you know, sticking to the contract law, and so on. It’s rather more difficult to have the same kind of adherence to the rule of law in emerging economies. So, in emerging economies, family firms sort of provide a second-best solution to this poorly developed institutional problem.
and 
. If you haven’t seen it yet, the movie features Steven Levitt and Stephen Dubner, and was made by a dream team of documentary directors. Paste Magazine named it one of the 