Faithonomics: Religion and the Free Market

by Torkel Brekke

Faithonomics uses economic theory to provide a new and unorthodox view of religion in today's world. Drawing on state-of-the-art research and on case studies from around the globe, this book shows that religion should be analysed as a market similar to markets for other goods and services, like bottled water or haircuts.

Faithonomics is about today's religious markets, but in sweeping detours through the histories of Christianity, Islam, Buddhism and Hinduism, Brekke shows us the religious markets of the past, although these were sometimes heavily regulated by states. He argues that government 'control' over religious markets is often the cause of unforeseen and negative consequences. Many of today's problems related to religion, like religious terrorism or rent-seeking by religious political parties, are easier to understand if we think like economists. Religious markets work best when they are relatively free. Religious organizations should be free to sell their products without unnecessary restrictions, but we have no good reason to grant them privileges in the form of subsidies or tax-breaks.

256 pages, Hardcover

Published October 15, 2016

Reviews

[Sanjay Banerjee · Rating 4 out of 5]

The book applies the concepts of economics to analyze religion as one does for other goods and services. While it is about religion today, the author contends that there have always been religious markets all over the world and these have had varying degree of being regulated by the state. He argues that state control of religions is often the cause of unforeseen and negative consequences. Many of today’s problems like religious terrorism or rent-seeking by religious political parties, are easier to understand if we think like economists.

[Will · Rating 3 out of 5]

This is one of recent works dealing with the economic theory of religion. Analysis here is based on viewing religious organizations as supplying the market for religious "products".

Brekke devotes this book to the thesis that what is best for society is a free market in "religious goods", with government kept meticulously out of it. This will come as no shock to some of us (is he a closet libertarian?). But we may not realize that this analysis goes all the way back to, yes, Adam Smith. Brekke also reexamines the assumption that religion is a public good (in economic terms).

His treatment of the "sins" of the state in religious management is illuminating, but seems forced in his anxiety to enumerate SEVEN of them, and he seems to blame the state for things ("discrimination") which would happen even in the absence of government