Title

Religion and earnings: evidence from Germany

Document Type

Article

Publication details

Sinnewe, E, Kortt, M & Steen, T 2016, 'Religion and earnings: evidence from Germany', Journal of Social Economics, vol. 43, no. 8, pp. 841-855.

Published version available from:

http://dx.doi.org/10.1108/IJSE-08-2014-0172

Peer Reviewed

Peer-Reviewed

Abstract

Purpose

The purpose of this paper is to estimate the association between religious affiliation and the rate of return to human capital for German men and women.

Design/methodology/approach

This paper employs data from the 1997, 2003, 2007 and 2011 waves of the German Socio-Economic Panel for German men and women in full-time employment between the age of 25 and 54. The association between religious affiliation and wages was estimated using a conventional human capital model.

Findings

This paper finds that Catholic men (women) received a wage premium of 4 per cent (3 per cent) relative to their Protestant counterparts, even after controlling for an extensive range of demographic, economic and social characteristics.

Originality/value

The study contributes to the literature by providing – to the best of the authors’ knowledge – the first results on the wage premium received by Catholic men and women in the German labour market.