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Does Religion Affect Economic Growth and Happiness
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Does Religion Affect Economic Growth and Happiness Evidence from Ramadan. Filipe R Campante and David H Yanagizawa Drott,NBER Working Paper No 19768. December 2013,JEL No E20 J20 O40 O43 Z12, We study the economic effects of religious practices in the context of the observance of Ramadan. fasting one of the central tenets of Islam To establish causality we exploit variation in the length. of the fasting period due to the rotating Islamic calendar We report two key quantitatively meaningful. results 1 longer Ramadan fasting has a negative effect on output growth in Muslim countries and. 2 it increases subjective well being among Muslims We then examine labor market outcomes and. find that these results cannot be primarily explained by a direct reduction in labor productivity due. to fasting Instead the evidence indicates that Ramadan affects Muslims relative preferences regarding. work and religiosity suggesting that the mechanism operates at least partly by changing beliefs and. values that influence labor supply and occupational choices beyond the month of Ramadan itself Together. our results indicate that religious practices can affect labor supply choices in ways that have negative. implications for economic performance but that nevertheless increase subjective well being among. Filipe R Campante,Harvard Kennedy School,79 JFK Street. Cambridge MA 02138,filipe campante harvard edu,David H Yanagizawa Drott. 79 JFK Street,Cambridge 02138 MA,David Yanagizawa Drott hks harvard edu.
1 Introduction, Religions are essentially ubiquitous across human societies It is thus natural to speculate that. they may affect important economic outcomes such as economic growth as many have done. dating at the very least to Max Weber s 1905 celebrated work While this possibility is certainly. appealing assessing its prevalence and importance is a rather complicated task both conceptually. and empirically not the least because religions are multifaceted social phenomena whose different. aspects could most likely have different effects, That said one fundamental aspect that is common to all forms of religion is that they prescribe. rules of behavior or practices that constrain followers In other words religious practices are a. kind of informal institution North 1991 imposing constraints that structure economic political. and social interactions First religious practices impose an immediate trade off as they require. time and resources that are then unavailable for production Going to temples or to pilgrimages. taking time to pray or to meditate or to study sacred books spending money on religious rituals. not working on religious days of rest these will all take away from what is devoted to materially. productive activities Second they could also directly affect productivity for instance by limiting. social interactions with non believers or by imposing dietary restrictions Third they may shape. beliefs and values that determine economic decisions such as labor supply occupational choice or. savings behavior, The recent empirical literature that has studied the relationship between religion and economic. performance after years of relative neglect from economists has found a negative correlation. between religious practices e g attendance at religious services and economic growth Barro. and McCleary 2003 McCleary and Barro 2006 and between religiosity and income at the cross. country and individual levels e g Barro and McCleary 2003 However as religious behavior and. religiosity are likely endogenous and affected by economic growth itself convincing evidence that. there is a causal effect driving these relationships has proved elusive 1. Still taking this evidence at face value if religions prescribe rules and practices that constrain. the behavior of followers in ways that lead to lower material living standards it begs the question. of whether these practices also have private non pecuniary benefits If such benefits exist it. would help explain why religious practices are sustained in equilibrium and why religions are so. ubiquitous 2 An empirical strand of literature in the social sciences suggests that they do exist. as religious engagement and religiosity is associated with higher levels of self reported happiness. 1 The causal identification challenge was obviously acknowledged by the literature For instance Barro and Mc. Cleary 2003 try to address it using instrumental variables e g presence of a state religion While reassuring with. respect to reverse causality the limitations of their empirical setting do not let them deal with omitted variables. 2 There are many arguments for the persistence of costly religious practices relying on approaches ranging from. economic e g Iannaccone 1992 to psychological e g Plante and Sherman 2001 or evolutionary e g Hinde 2009. and life satisfaction or more generally subjective well being SWB at the individual level e g. Dolan Peasgood and White 2008 Deaton and Stone 2013 However whether such associations. can be given a causal interpretation remains very much an open question as endogeneity issues. remain a fundamental challenge in this literature as well Argyle 2003 Francis 2010. Against this background we present in this paper what is to the best of our knowledge the. first estimate of a causal effect of a religious practice on economic growth and subjective well. being 3 We do so by focusing on the specific example of fasting in observance of the Islamic holy. month of Ramadan Ramadan fasting is surely a very prominent example of religious practice as. one of the Five Pillars of Islam its observance is understood to be obligatory for all billion plus. Muslim believers As this religious practice has a well defined rule specifying that Muslims shall. fast from dawn to sunset and as the month of Ramadan rotates over the seasons according to the. lunar calendar it also provides us with an ideal context for dealing with the causal identification. issues that confound the study of the links between religious practices and economic outcomes. To give a concrete example when Ramadan falls in the Northern Hemisphere winter the pre. scribed length of fasting according to the Qur an will be longer in Bangladesh than in Turkey. because Bangladesh is closer to the Equator However when Ramadan falls in the summer fast. ing will be longer in Turkey than in Bangladesh This interaction of latitude and the vagaries of. the lunar calendar being exogenous to our outcomes of interest we thus have an ideal source of. idiosyncratic variation in the prescribed intensity of the practice. Using country level panel data we show that longer prescribed Ramadan fasting has a robust. negative effect on output growth in Muslim countries whether measured by GDP per capita or. GDP and whether measured in yearly rates or aggregated up to five year periods Most reassur. ingly we find no effect whatsoever on GDP growth in non Muslim countries underscoring that. the result is unlikely to be spurious, The quantitative significance of our estimates can be illustrated as follows if average daily. Ramadan fasting were to increase from the actual average of 12 hours to 13 hours which is about. one standard deviation of the variation for the typical Muslim country over the Ramadan cycle. output growth would be lower by about 0 7 percentage point As a comparison the coefficient. found by Barro and McCleary 2003 implies that a one standard deviation increase in church. going would be associated with a 1 1 percentage point decline in growth rates. We then use the same empirical strategy to estimate the causal effect of Ramadan fasting on. SWB Using data from the World Values Survey we find that Ramadan fasting leads Muslim. individuals to report greater levels of both happiness and life satisfaction Once again we find no. 3 Clingingsmith Khwaja and Kremer 2009 document that the Hajj pilgrimage to Mecca another of the Five. Pillars of Islam leads to an increase in negative feelings suggesting distress for women only However they find no. effect on self reported life satisfaction, effect whatsoever on the SWB of non Muslim individuals in non Muslim countries.
The results thus shed light on the question of why religions persist despite containing practices. that impose constraints on individuals Our evidence indicates that exogenously inducing Muslims. to fast longer for religious reasons has a net positive impact on their SWB put simply it makes. them happier in spite of making them relatively poorer This is particularly interesting since recent. research has provided evidence that economic growth leads to higher SWB at the cross country. level Stevenson and Wolfers 2008 in contrast with the well known Easterlin paradox Easterlin. 1974 Therefore to the extent that lower GDP growth causally reduces SWB our results show. that this effect is trumped by the non pecuniary benefits of the practice on SWB. To further understand these results we turn to the mechanisms that might be driving the effects. on economic growth In particular we focus on an arena that we would expect to be of first. order importance labor markets The key insight is that different mechanisms would have distinct. implications in this domain On the one hand if labor productivity goes down because of fasting. this would lead to a downward shift in labor demand On the other hand if increased fasting leads. workers to simply choose to work less whether because of the direct competition from religious. activities or of an indirect effect through changed attitudes towards work in general this should. correspond to a leftward shift in labor supply, Using country level panel data on employment and wages in manufacturing sectors and indi. vidual survey data on employment status we find evidence that the labor supply effect dominates. This evidence indicates that the negative effect of Ramadan fasting on GDP growth is mostly driven. by occupational choice out of formal employment and into the informal sector rather than simply. by decreased productivity directly associated with fasting. In addition we find direct suggestive evidence that Ramadan fasting affects work related in. dividual beliefs and values Specifically Ramadan leads Muslim men to report that they care. relatively more about religion and less about work and material rewards This is interesting in its. own right but may also help explain the underlying mechanism driving the shifts in labor supply. and occupational choice decisions More generally this finding underscores the view that religious. practices affect the formation of beliefs and values whose impact goes well beyond the month of. Ramadan itself, This evidence on mechanisms is illuminating in two crucial ways First it helps reconcile the. results linking religion growth and happiness If the growth effect works at least partly through. labor supply choices that is individuals choosing to work less or in more flexible if less pro. ductive occupations that seems consistent with any potential impact of reduced growth on SWB. being relatively muted To the extent that religious practices affect individual preferences it is less. surprising that negative effects on growth could co exist with a net positive effect on subjective. well being in spite of the generally positive correlation between the latter and the former. Second and just as important that the effect is not driven simply by the impact of fasting on. productivity suggests that it is not specific to Ramadan but rather an indication of the potential. effects of religious practices in general In short what we find are not the effects of fasting per se. reduction in nutritional intake affecting productivity but rather that more intense practicing of. religion has an impact on individual beliefs and values that reduce labor supply More generally. this is consistent with the view of religious practices as an input into the production of beliefs and. values Barro and McCleary 2003 such as attitudes towards work thrift trust etc which can. enduringly and significantly affect economically relevant decisions By changing them religious. practices can thus have a substantial aggregate impact such as that which our estimation detects. To be sure neither our results nor those of the extant literature should be interpreted as im. plying that religion broadly understood necessarily causes poor economic performance Just as. importantly we focus on religious practices and other aspects of religion could have much differ. ent effects 4, Besides the aforementioned literature studying religion and income and growth and religion. and SWB our paper also relates to a number of additional strands Some have studied the effects of. adherence to different religions on a number of economic and political outcomes Barro 1997 La. Porta et al 1999 or used survey evidence to study the connection between religiosity and economic. attitudes Guiso Sapienza and Zingales 2003 5 We differ in that we focus on a specific example. of religious practice which lets us deal with the issue of identifying a causal effect and considering. specific mechanisms More broadly we build on the by now vast literature documenting the effects. of culture of which religion is certainly a very important component on a number of economic. outcomes see Guiso Sapienza and Zingales 2006 for an early survey and Nunn 2012 for a more. recent discussion, Our use of micro evidence to study the impact of religion on individual economic decisions also. puts us in line with a recent and growing literature which looks at specific topics such as work. ethic Spenkuch 2011 entrepreneurship Audretsch Boente and Tamvada 2007 loan repayment. decisions Baele Farooq and Ongena 2011 social trust Berggren and Bjornskov 2011 and. human capital accumulation Becker and Woessmann 2009 among others Within this literature. our paper is closest to Clingingsmith Khwaja and Kremer 2009 who study the impact of the. Hajj Consistent with our evidence they also find an important impact of this practice on individual. views and beliefs, 4 For instance Barro and McCleary 2003 and McCleary and Barro 2006 find a positive relationship between.
economic growth and religious beliefs such as belief in hell For skeptical takes on this result see Durlauf Kourtellos. and Tan 2012 and Young 2009, 5 In particular those studies tend to find a negative coefficient for Muslim adherence in regressions focusing on. growth or institutional development Our results do not speak directly to that since we focus on one specific aspect of. Islam Kuran 2004 provides an extensive discussion of possible economic implications of Islamic institutions. The remainder of the paper is organized as follows Section 2 lays out some background on. Ramadan practices their potential effects and how they relate to our source of variation Section. 3 provides a motivating conceptual discussion and Section 4 describes the data and empirical. strategy Section 5 presents the results which we then discuss in Section 6 Section 7 concludes. 2 Background, Ramadan is the ninth month of the Islamic Hijri calendar and is considered sacred as the month. in which the Prophet Muhammad first received revelations Fasting sawm during that month. is one of the Five Pillars of Islam the five basic acts that are considered an obligation for all. believers and the foundation of Muslim life The fasting encompasses abstention from food and. drink as well as smoking and sexual activities between dawn and sunset during the entire month 6. Ramadan fasting entails obvious physiological consequences because of the constraints it places. on the ingestion of food and liquids and these have been extensively studied in the medical lit. erature Not surprisingly the literature has consistently found body weight loss and significant. metabolic changes e g Hallak and Nomani 1988 Ziaee et al 2006 In addition Leiper Molla. and Molla 2003 summarize the research as finding symptoms such as irritability headaches sleep. deprivation and lassitude being commonly reported although with few major health problems. More broadly it stands to reason that these effects would have potential implications for pro. ductivity at work Indeed research has found significant prevalence of individuals reporting tired. ness and unwillingness to work as well as reduced levels of activity and concentration ability. during the month of Ramadan Afifi 1997 Karaagaoglu and Yucecan 2000 7 More specific stud. ies focusing on worker productivity in heavy labor activities have also found evidence of. substantial health hazard to Islamic workers in such situations going as far as strongly urging. employers to refrain from assigning Islamic workers to heat work or heavy daytime work during. Ramadan Schmahl and Metzler 1991 In short there is strong indication that Ramadan fasting. affects followers in ways that affect their productivity at work although any negative effects seem. unlikely to persist beyond the fasting period Toda and Morimoto 2004 Consistent with that a. recent survey on the impact of Ramadan on productivity Dinar Standard 2011 finds that up to one. in four Muslim professionals admits to not maintaing the same level of productivity as compared. with other months, No less important are the broader effects of Ramadan on individual lifestyle and social life. during the holy month Maqsood 2007 Marshall Cavendish Corporation 2010 The daily rou. 6 There are exemptions from the obligation typically for children the ill and the elderly travelers and breastfeeding. 7 Recent research by economists has focused on the effects of Ramadan fasting on fetal health and its potential. long term consequences Almond and Mazumder 2011 Van Ewijk 2011. tine incorporates major pre dawn suhur and fast breaking iftar meals which are social events. involving family friends and acquaintances and co workers turning iftar in particular into a. unique opportunity for socializing Chenar 2011 Iftar events often take place in mosques. which more broadly typically hold many special events throughout the month As a result of this. and of the additional tarawih prayers that are meant to be performed on Ramadan days beyond the. five daily prayers that are another Pillar of Islam increased mosque going is an important feature. of the period Major festivities also mark the end of the month with the fast breaking festival of. Eid al Fitr While there is substantial variation across countries regarding the specifics of these. and other Ramadan practices social activities and increased interaction with fellow believers are. common themes, Not all Ramadan practices are of a social nature of course Indeed the optional ritual of. i tekaf staying in on place is a traditional part of the last ten days of the month and reading. the Qur an is also strongly encouraged Consistent with that for instance Afifi 1997 reports that. fasting individuals tend to get more involved in stress reducing such as watching TV listening. to radio or visiting friends and spiritual activities such as praying and reading the Qur an. Given all of these unique features and practices that take place during the holy month one. might expect that the intensity of Ramadan engagement would affect social interactions in ways. that impact economic decisions and the formation of economically relevant beliefs First although. it could also be the case that enhanced networking opportunities might increase productivity the. fact remains that those practices obviously compete for time with regular work activities In fact. the aforementioned survey by Dinar Standard 2011 estimates that reduced Ramadan working. hours could have a substantial impact on production during the month of up to 4 per weekday. working hour lost In addition the salience of religiosity and familiy life during that month could. certainly have an effect on individual beliefs and attitudes towards work family savings and so. on These could in turn extend the impact of Ramadan far beyond the month itself. Needless to say observance of each specific Ramadan practice will vary tremendously across. individuals and countries and is very hard to observe on a systematic basis However our empirical. strategy will take advantage of factors that will exogenously shock that intensity of engagement to. identify its impact on our outcomes of interest, Our strategy as we will later on discuss in greater detail is based on the fact that the Islamic.
calendar is lunar so that months correspond to lunar cycles around 29 5 days As a result the year. is ten to eleven days shorter than the solar year and months rotate over the seasons accordingly in. cycles of roughly 33 years This means that the number of hours of daily fasting corresponding. to the period between sunrise and sunset will vary depending on the time of the year in which. Ramadan happens to fall in any given year and also on latitude Simply put our basic idea revolves. around the effect of a longer daily fasting period as is the case when Ramadan occurs during the. summer and particularly so at greater latitudes and our central assumption is that the intensity. of engagement increases with those extra hours, The longer hours obviously amplify the physiological impact of going without food and drink. especially under conditions of heat and humidity and of the fewer hours of sleep that come. from having to wake up for pre dawn meals Just as importantly dealing with that impact requires. changes in daily routines and activities that affect the broader lifestyle changes we have discussed. Indeed it is not hard to find reports underscoring that point summer Ramadans seem to entail more. time spent with family in worship and in contemplative activities as well as a general slowdown. in daily activities so as to conserve energy and avoid the ill effects of heat and humidity 8 More. directly summer Ramadans also seem associated with a greater crowding out of work activities. as the working day shortens by two or three hours The Economist Aug 12 2010. In sum the anecdotal evidence corroborates the idea that summer Ramadans and its longer. fasting hours constitute a particularly challenging and intense experience which is likely to have. stronger effects on individual views and behavior This justifies our use of the length of fasting. hours as the key source of variation in the intensity of Ramadan practices. 3 Conceptual Framework, Religious practices in general and Ramadan in particular could in principle affect many different. economic outcomes in many different ways As such it is important to very briefly motivate our. empirical investigation in terms of the variables we will focus on and of some of the most natural. potential channels of impact associated with them,3 1 Economic Growth. When it comes to economic growth it is easiest to start with reference to an aggregate production. function Consider a standard Cobb Douglas neoclassical production function Y AL K1. with standard designations for output capital and labor inputs and the productivity of labor and. 0 1 corresponding to the share of labor in total output We can write output growth as. 1 gY g A g L 1 gK, 8 Forinstance a Canadian report Hamilton Spectator July 17 2013 quotes individuals stating that to withstand. the long fasting hours of summer Ramadans they tend to spend time with family at the mosque where they read. from the Koran to read more of the Koran to stay busy helping out at home and being involved in community. programs and to spend more time in active worship and prayer to take their mind off it The impact is not felt. only at higher latitudes however as exemplified by reports on challenging summer Ramadans in Egypt a fast to test. all our willpower The National UAE Aug 7 2010 or Saudi Arabia Arab News Jul 11 2013. where g j is the growth rate of j It follows that there are essentially two different ways in which. religious practices could have a direct impact on growth First they might affect the evolution of. input supply decisions L and K second they might affect the evolution of productivity A. When it comes to inputs religious practices impose an immediate trade off to the extent that. they require time and resources that are then unavailable for producing output Similarly those. practices could affect productivity as well from facilitating or limiting social interactions with. correligionists and outsiders Iannaccone 1992 to purely physiological effects e g dietary re. strictions, In the case of Ramadan we have argued that the holy month involves a number of activities.
that evidently fit that pattern of competing for time and resources thereby potentially affecting. input supply By the same token there are the physiological costs associated with fasting While. this could be mitigated by a positive effect on productivity arising from increased networking and. socialization it is natural to posit that more intense Ramadan fasting would have a negative direct. impact on labor productivity Both of these channels would lead us to expect a negative effect of. more intense fasting on economic activity during the month of Ramadan itself consistent with the. anecdotal perception of a general slowdown, There remains the question however of whether this immediate impact would translate into. a negative effect that could be picked up over the longer horizons for which one would typically. measure macroeconomic aggregates In particular would we expect to find an effect for the yearly. GDP numbers that we will consider in our empirical analysis. The answer could be no individuals could well choose to compensate a month of especially. intense Ramadan fasting by increasing economic activity over the rest of the year This would be. all the more plausible in light of the fact that the variation in Ramadan fasting hours is entirely. predictable, Alternatively there could be an effect in yearly growth rates for instance in the absence of. such compensation In that case the slowdown during the month of Ramadan would translate. into lower measured economic activity over the year albeit of course at only one twelfth of the. monthly rate, Moreover yearly rates could be affected because a more intense Ramadan might also have. an impact beyond the month itself Broadly speaking religious practices could have important. indirect implications for economic activity by affecting preferences beliefs and values Barro and. McCleary 2003 These might certainly include individual input supply decisions for instance by. affecting preferences for work versus other endeavors and might also affect the path of A say. via occupational choice between activities or sectors with distinct productivity growth profiles It. is quite clear that the intensity of the Ramadan experience with its salient religious and social. dimensions could very well affect this channel thus opening the door for a more persistent effect. 3 2 Subjective Well Being, As for SWB one might expect both positive and negative effects of religious practices in general. and of Ramadan in particular On the positive side there could be an impact through religious en. gagement fostering socialization Argyle 2003 p 366 or through its instilling a sense of meaning. and purpose Myers 2000 Either way our previous discussion would lead us to expect Ramadan. to activate those channels in light of the intense socialization and general exposure to religious. content that it entails, These forces however pertain to the partial effect of a shock to religious involvement Sur.
vey responses to questions on happiness and life satisfaction however will inevitably capture the. total impact This is important because to the extent that income and individual SWB tend to be. strongly positively correlated one might expect that the negative effect on output growth would. work towards a negative net impact on the SWB of the average individual In addition the poten. tial repercussions on beliefs values and economic decisions would also likely affect individual. perceptions of happiness and life satisfaction quite possibly in durable ways as well. As such the overall impact of more intense Ramadan fasting would be ambiguous from an ex. ante perspective,3 3 Mechanism, Our discussion concerning the possible impact of Ramadan fasting on economic growth has high. lighted a few different channels and it is worth discussing how we could assess their presence and. relative importance When it comes to the distinction between the direct productivity and input. supply channels the key is in the behavior of labor markets Needless to say religious practices. could also affect the long run accumulation of capital of both the physical and human varieties. We will leave these aside since our empirical strategy will necessarily focus on short to medium. run variation Within this horizon it makes sense to take the capital stock as essentially fixed and. instead focus attention on what happens to the supply and demand of labor 9. It turns out that those two channels would have distinct implications when it comes to labor. markets The labor supply mechanism would naturally represent a movement of the labor sup. ply as individuals choose to work less for the benefit of religious engagement The productivity. mechanism would in turn operate via labor demand as a decrease in the marginal productivity of. labor From basic economic theory we would expect the labor supply effect to be associated with. slower employment growth but faster wage growth while the labor demand channel would imply. the former but not the latter, 9 Wewill later show evidence that the yearly growth rate of the capital stock indeed does not seem to be affected. by Ramadan fasting, This is easiest to see again with reference to the aggregate production function now leaving. aside the role of capital With perfectly competitive markets the wage rate w is equal to the. marginal productivity of labor and we can write wage growth as. 2 gw g A 1 g L, It immediately follows that a decrease in labor supply will be associated with rising wages whereas. declining productivity will be associated with falling wages We will therefore look into the effects. of Ramadan fasting on labor markets as a way of disentangling these different channels. Our discussion also highlighted the indirect channel via beliefs and values The simplest way. to get at the empirical relevance of this indirect channel is to use direct evidence on how individuals. value work and material rewards relative to other aspects of their lives We can couple that evidence. with information on individual occupational choice decisions in order to paint a more precise. picture of the ultimate impact of those individual preferences on labor supply and productivity. and of how this may help us understand the connections between the effects of Ramadan fasting. on economic activity and SWB,4 Empirical Framework.
Our first key variable is the number of stipulated fasting hours during Ramadan To calculate that. we collect data from the Astronomical Applications Department of the U S Naval Observatory. Their online data service provides sunrise and sunset times for any geographic coordinate on earth. at any given date in the Gregorian calendar To map historical Ramadan dates from the Islamic. calendar to the Gregorian calendar we use data from Islamic Philosophy Online 10 For each. Ramadan since 1950 we calculate the average daily daylight hours during Ramadan in every. country and year 11, We then match the data on Ramadan fasting hours with various datasets For data on the. Muslim share of a country s population we use a time invariant measure from Miller 2009 Data. on economic growth comes from the Penn World Tables 8 0 PWT8 0 Feenstra Inklaar and. 10 Availableat http www muslimphilosophy com ip hijri htm. 11 To keep things simple we use a country s capital as the coordinates of interest downloaded from. www cepii fr anglaisgraph bdd distances htm This obviously induces some measurement error in our data Simi. larly the Qur an specifies that fasting should start at dawn first light while we measure the start exactly at sunrise. and this subtle difference may therefore introduce some minor measurement error Moreover in some Muslim soci. eties fasting does not start until the new crescent moon of Ramadan has been sighted The sunrise and sunset patterns. of Mecca is also sometimes followed Since these deviations are likely idiosyncratic measurement error is likely to. be classical and would lead to attenuation bias in our estimates. Timmer 2013 resulting in an unbalanced panel of 167 countries between 1950 2011 Our main. outcomes of interest are data from the national accounts on real GDP growth real GDP growth per. capita and real GDP growth per worker all in constant 2005 prices Note that since the variation. in fasting hours that we use is at a yearly level we will focus on year on year growth. To asses whether Ramadan affects subjective well being SWB we use data from all waves of. the World Values Survey WVS The surveys were conducted from 1981 to 2008 in 87 countries. totaling more than 256 000 interviews We use the two key standard measures of SWB First. Feeling of Happiness is a hedonic measure taken from the answer to the question Taking. all things together would you say you are not at all happy not very happy quite happy very. happy We construct the standard indicator variable equal to one if the respondent answers. quite happy or very happy and zero otherwise The second measure Life Satisfaction is. more evaluative based on the question How satisfied are you with your life as a whole these. days on a numerical 10 point scale We construct an indicator variable equal to one if the. answer is above 5 and also present results using the raw number The survey also contains data. on employment status work related preferences whether work is more important than religion in. one s life preferences for whether good hours is important in a job preferences whether a high. income is the most important aspect when searching for a job and a number of socio economic. characteristics Finally it provides information on religiosity or religious values Norris and. Inglehart 2011 whether religion is very important in one s life. Yearly data on wages and employment in the manufacturing sector comes from INDSTAT2. 2013 edition which is available for 166 countries for the 1963 2010 period 12 The data are ar. ranged at the 2 digit level of the International Standard Industrial Classification of All Economic. Activities ISIC Revision 3 pertaining to the manufacturing sector which comprises 23 indus. tries The data is based on surveys of establishments with at least 5 10 employees the cut off. varies by country It includes the total number of persons employed in each sector and the wages. paid to those persons 13 Since our variation in Ramadan hours is at the country year level we. aggregate the sector data to the country year level resulting in an unbalanced panel dataset on. employment number of workers and wage annual wages per worker growth 14. 12 Version 8 0 of the Penn World Tables contains for the first time data on employment However the data for. Africa and the Middle East is actually refering to the labor force thus conflating the employed and the unemployed. Inklaar and Timmer 2013 and rendering it inappropriate for our purposes. 13 The wage data is comprised of all payments paid to employees each year including bonuses and housing al. 14 The data for Azerbaijan in 1992 shows an arguably implausible wage growth of more than 2500 percent or about. 1200 standard deviations above the mean We exclude this observation as it is an extreme outlier. 4 2 Identification Strategy and Specifications, Our identification strategy exploits the fact that the number of daylight hours during Ramadan will. vary differentially across countries over time because the Islamic calendar follows the lunar cycle. There are two key factors that interact to give rise to arguably idiosyncratic and exogenous variation. in Ramadan fasting hours First the timing of the start of Ramadan is a factor in years when. Ramadan is held during summer months the sun is up for longer and fasting hours as stipulated. by the Qur an increase accordingly Second the geographical location of the country and more. specifically its latitude also matters it is the primary determinant of sunrise and sunset times. at any given date During summer Ramadan the hours will be longer the further away from the. Equator while during winter Ramadan the relationship is reversed as the hours are short the further. away from the Equator As long as we control for year and country fixed effects we automatically. control for any possible independent effects of Ramadan timing and country latitude We are then. left with the variation due to the interaction of the two factors and this is what we exploit. To illustrate the nature of that variation we first show in Figure 1 a map highlighting the. 32 Muslim countries in the PWT8 0 sample defined as those where more than 75 percent of the. population are Muslim We can see that there is substantial variation in latitude within that sub. sample in spite of there being no Muslim countries in very high latitudes 15. FIGURE 1 HERE, Figure 2 then illustrates the way latitude and timing interact in affecting stipulated fasting. to provide visual intuition for the variation we use for identification It plots for every year the. average daily fasting hours for three countries namely Bangladesh Indonesia and Turkey There is. within country variation over time but most important is the fact that the time variation is different. across the three countries Compare first Bangladesh which is roughly at the average latitude. for the sub sample of Muslim countries to Turkey which has one of the highest latitudes in that. sample Bangladesh has shorter fasting hours when Ramadan falls during the Northern Hemisphere. summer as in the early 1950s and 1980s and the opposite happens when it falls in the winter. months as in the mid 1960s or late 1990s early 2000s Indonesia in turn illustrates yet another. source of idiosyncratic variation coming from the fact that seasons are reversed in the Southern. Hemisphere 16 Note also that the farther from the Equator the greater the amplitude of variation. FIGURE 2 HERE, 15 Note that some Muslim majority countries such as Algeria or Libya are not highlighted in the map This is. because they are not included in the PWT8 0 sample. 16 Note that all curves cross when Ramadan falls around the vernal or autumnal equinoxes when days and nights. are of equal length, Finally Figure 3 shows the implications when we take the sample of Muslim countries as a.
whole the average daily length of Ramadan fasting fluctuates according to the Northern Hemi. sphere seasons since that is where the vast majority of Muslim countries are and the variation. around the average as measured by the lines marking the 20th and 80th percentiles of the hours. distribution bands peaks on December and June Ramadans. FIGURE 3 HERE, We implement this identification strategy by estimating the following equation. 3 gct log RamadanHoursct c t ct, where g is an outcome real GDP growth real GDP per capita growth etc in country c in year. t RamadanHours is the average daily number of fasting hours during Ramadan and and. capture country and year fixed effects respectively Our basic hypothesis that Ramadan has a. negative effect on economic growth would thus translate into 0 17. The country fixed effects account for all time invariant differences across countries such as. geography or cultural factors that do not vary over time The year fixed effects in turn control. for factors that vary across time but are constant across countries such as global business cycles. or the time of the year when Ramadan happens to be held Put together they let us focus on the. idiosyncractic variation we have described 18 We will also present results controlling for pop. ulation growth although by assumption this would not be necessary since population growth is. uncorrelated to Ramadan fasting Still this may reduce residual variation leading to more precise. estimates We do not control for other economic factors because they may be endogenous to Ra. madan fasting Finally we estimate the model on our Muslim country sub sample only 19 This is. because we would expect Ramadan to meaningfully affect economic growth only in countries that. have a substantial Muslim population, This latter feature also presents us with the possibility of further enhancing our identification. strategy A priori there is no obvious reason why one would expect the variation in fasting hours. to be endogenous to other determinants of economic growth such as technological shocks human. capital growth saving rates etc Nevertheless to account for this possibility we complement. 3 with an alternative differences in differences specification that makes use of the fact that. 17 We should stress that what we estimate as indicated by 3 is the marginal effect of increasing the number of. Ramadan fasting hours We cannot estimate an effect against a counterfactual where Ramadan is absent a linear. extrapolation to zero hours would be patently absurd. 18 It is worth noting that there is meaningful residual variation in Ramadan fasting hours the fixed effects account. for 36 percent of the variation across all countries and years. 19 In the Appendix we show that the results are robust to varying the 75 percent threshold and to including linear.

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MERLOT Journal of Online Learning and Teaching Vol. 9, No. 1, March 2013 68 The Complexity of Online Discussion Jesse Rhoades Assistant Professor Department of Physical Education, Exercise Science and Wellness University of North Dakota Grand Forks, ND 58202 USA Rebecca Rhoades Graduate Teaching Assistant Department of Physical Education, Exercise Science and ...

Application for Appointment, Credentialing and Clinical ...

Application for Appointment Credentialing and Clinical

Additional Clinical Privileges Sought General Medicine Subject to the role delineation of the hospital, a general practitioner may admit and manage medical inpatients. Patients with a range of acute and chronic health presentations may be admitted to rural hospitals. Patients with serious acute or complex internal medicine problems may be admitted under networked arrangements or in ...

TMDSEVM6678L EVM Technical Reference Manual ... - Advantech

TMDSEVM6678L EVM Technical Reference Manual Advantech

(TMDSEVM6678L) designed and developed by Advantech Limited for Texas Instruments, Inc. ... Release Chapter Description of Change 1.00 All The First Release for draft 2.00 All The Second Release for Rev 1.0 production 2.01 All The Third Release for Rev 3.0 production Acronyms Acronym Description AMC or AdvancedMC Advanced Mezzanine Card CCS Code Composer Studio DDR3 Double Data Rate 3 Interface ...

Guide to Malting arley Production in the Northeast

Guide to Malting arley Production in the Northeast

this guide is intended to help farmers in the Northeast learn how to produce high quality barley for this ... addition to the botanical differences, two-row and six-row barley have somewhat different characteristics for malting. Six-row barley has higher protein and lower carbohydrates. It also has higher enzymatic activity and can more effectively break down both starches and proteins. ecause ...

Power Steering Fluid - Kleen-Flo

Power Steering Fluid Kleen Flo

Power Steering Fluid Safety Data Sheet according to the Hazardous Products Regulation (February 11, 2015) 02/09/2017 EN (English) 5/5 Disclaimer: We believe the statements, technical information and recommendations contained herein are reliable, but they are given without warranty or guarantee of any kind. The information contained in this document applies to this specific material as supplied ...

Belgian X-Dossiers of the Dutroux Affair: List of Elites ...

Belgian X Dossiers of the Dutroux Affair List of Elites

my wife, Judge Agnessens, a Beaurir, van den Boeynants [VDB], a Vastappan, a Depauw, the minister Guy Mathot, and Prince Albert. ... [Doret] also spoke about a certain Tania, without being sure about the name, and described this person, and stated that this person ran a network of call girls in Brussels, and often worked for VDB. ... She said the wives do not participate in these parties ...



BALTIMORE ORIOLES GAME NOTES ODDS & ENDS Home 26-23 Away 29-21 Day 14-20 Night 41-24 vs. LHP 14-13 vs. RHP 41-31 Series Record 16-10-7 First game of series 18-15



TEORI PERTUMBUHAN PERBELANJAAN AWAM Kecenderungan peningkatan saiz dan kadar pertumbuhan perbelanjaan awam dari semasa ke semasa dapat diterangkan oleh teori Wagner ...



ACQUISITION OF SKILLS FOR LISTENING COMPREHENSION: BARRIERS AND SOLUTIONS Md ... listening, is written and a reader can see grammatical components staying on page. If a learner misses some words at first reading, there is scope for him to go back and forth to recollect information. As tape and video are available, most teachers use them in teaching and testing; however, they have some ...