Home
/
RELIGION & LIBERTY ONLINE
/
What does faith add to the economy? $1.2 trillion, and counting
What does faith add to the economy? $1.2 trillion, and counting
Feb 21, 2026 12:25 PM

Once again, the national news reports that the government has legally prevented a Christian ministry from expanding its services for fear it will lose tax revenue. This opposition proves that politicians overvalue the role of government and undervalue the immense benefits that churches provide munity. Religious institutions generate trillions of dollars for the U.S. economy every year, according to a recent study.

When a nonprofit petitions a zoning board, politicians see only the lost property taxes they can no longer collect and allocate. But a good leader, according to Frédéric Bastiat, “takes account both of the effects which are seen and also of those which it is necessary to foresee.” Statistics show that churches and religious institutions are almost as great a blessing to munities as they are to their members..

What value is a church or ministry?

The total economic impact of all 344,000 U.S. religious congregations is somewhere between $1.2 trillion and $4.8 trillion, according to a 2016 study by Brian and Melissa Grim. The lower estimate was, at the time, “more than the annual revenues of the top 10 panies, including Apple, Amazon, and bined.”

Churches increase property values, and hence property taxes, throughout their neighborhood. One study found that “real property values decrease … as distance from a neighborhood church increases.” The benefit of churches extends across the Atlantic Ocean. The Wall Street Journal reported that churches provide a “halo effect for real estate” in Germany:

A study of the housing market in Hamburg, Germany, found that condos located between 100 to 200 meters, or 109 to 219 yards, away from a place of worship listed for an average of 4.8% more than other homes. The effect was similar across all religious buildings studied, including churches, mosques, and temples.

Religious belief impels believers to improve munity and help the least fortunate. Each year, Christian church members volunteer 56 million hours outside their congregations. Those who are civically engaged are twice as likely to say religion is important in their lives as those who are not active in munities.

Most churches provide at least one social program for the poor: munity meals, food banks, soup kitchens, homeless shelters, clothing drives, and job fairs, to name a few. Often as the economic fortunes of the region decline, the value of church-provided services increases. Churches in Philadelphia alone provided $230 million worth of services, according to one estimate.

Conversely, as government spending increases, private charity decreases. This is lamentable, since ministries have lower levels of overhead and abuse, are less likely to foster dependence, and can address each individuals’ underlying problems in a personalized and loving way.

All of this merely accounts for churches’ and synagogues’ services to non-members (something that the government has too often punished rather than facilitated). Numerous studies find that church attendance decreases criminal or anti-social behavior, especially for munities. “The greater the proportion of a county’s population that is religious, the lower the violent crime rate for Whites and Blacks,” discovered Jeffery T. Ulmer and Casey T. Harris after studying 200 counties in three states. African-American youth are 22 percent less likely mit crime if they actively attend a religious congregation, according to Byron R. Johnson of Baylor University’s Institute for the Studies of Religion.

Churches do this by creating munities,” to use Rodney Stark’s term. They leaven the culture with normative ethical standards that lead their practitioners to success and further social harmony.

Reduced crime, delinquency, and vandalism provides another unseen economic benefit. Incarceration costs an average of $31,000 per prisoner each year, with some states paying as much as $60,000 annually. The cost of time and talent lost to the felon – and, worse, the cost of the crime to the victim – is immeasurable.

Another factor in reducing crime is outstanding education, such as that provided by religious schools. A 2003 study found that every additional male who graduates high school creates $2,100 in social savings every year by lowering incarceration rates. Graduation rates from religious schools range from 97 to 99 percent, pared with 73 percent for public schools – and Catholic school graduates are twice as likely to attend college, according to the National Catholic Educational Association. Combining education with moral principles, as religious schools do, reinforces both socially beneficial phenomena.

These quantifiable, ancillary social benefits flow from churches’ greatest service, which is proclaiming a message of unconditional love, universal human dignity, and divine redemption. God has purchased our salvation, “not with perishable things such as silver or gold, but with the precious blood of Christ” (I Peter 1:18-19). Redeemed people draw from it the power and impetus to redeem munities.

But if politicians do not believe in God, let them believe in the power of the Gospel for the very works’ sake.

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Game of Thrones and the judgment of history
This week’s episode of Acton Line features a conversation about Game of Thrones with Tyler Groenendal and me. I won’t try to make the case that the show is salutary viewing. Having read the books and then, with some hesitancy, having watched the show, I can say with some confidence that you can certainly get by (and may well be better off) without consuming (or discerning) this element of popular culture. A great conversation could and should be had about...
The case for capitalism
In preparation for the 2020 presidential elections, democratic candidates are playing by an increasingly progressive rule book: which candidate can promise the most (supposedly) free stuff? Sen. Elizabeth Warren has announced plans to forgive two and four-year college debt by raking in $640 billion from “ultra millionaires.” Sen. Kamala Harris wants e renters to receive billions in tax credits in addition to further Medicare expansion. South Bend, Indiana Mayor, Pete Buttigieg, recently added climate change proposals to his platform, promising...
Alejandro Chafuen in Forbes: Xi Jinping’s ‘New Long March’
Alejandro Chafuen, Acton’s Managing Director, International, writes today in Forbes of the growing trade war between the United States and China. Chinese president Xi Jinping recently characterized the road ahead as a “new Long March,” in a reference to Mao Zedong’s legendary strategic retreat from Chiang Kai-Shek’s nationalist forces in 1934. Chafuen offers his take on the two sides in this “war,” as well as on possible es and effects. Xi Jinping has proclaimed to the Chinese that they should...
7 Figures: U.S. school districts spending per pupil
Earlier this week the U.S. Census Bureau released a report that reveals how much U.S. school districts spend per pupil. Here are seven figures from the report you should know: 1. The amount spent per pupil for public elementary and secondary education (prekindergarten through 12th grade) for all 50 states and the District of Columbia increased by 3.7 percent to $12,201 per pupil during the 2017 fiscal pared to $11,763 per pupil in 2016, according to new tables released today...
Adam Smith shows how sympathy makes life more satisfying
The eighteenth century British economist Adam Smith helps with moral challenges, especially in work and employment, says Daniel B. Klein of the American Enterprise Institute. Smith inspires the individual to make a useful and satisfying place for himself in society by contributing. Competence is key, adds Klein, and Smith shows the petence is in sympathy. The individual petence in sympathy to find his own life satisfying. As a moral counselor, Smith helps the worker and the employer: By “sympathy” Smith...
Rev. Ben Johnson on ‘Donald Trump’s one-front trade war’
In the U.S. edition of The Spectator, Rev. Ben Johnson looks at how President Donald J. Trump eased tariffs on North American and European trade partners so he could ratchet up pressure on China. Yet the Acton Senior Editor offers this caution: “In a trade war, most casualties are self-inflicted.” More: … Trump is poised to impose a 25 percent tariff on virtually all $535 billion of Chinese imports. Varas estimates that the tariffs on Chinese steel will cost US...
Unseen wonders: Man’s creative power and the sacramentality of nature
When I lived in Rome I taught a religious education class for a year, preparing kids for their first Communion. When they found out I was American, some of them were confused as to why I e all the way across the Atlantic to study in Italy. In response I tried to point out that while they were used to the beauty of Rome, the closeness of the Pope, and all the rest, for those of us who didn’t grow...
Getting the Reagan Revolution right
“In the eyes of Ronald Reagan, I saw sparks of hope,” said the old Leninist Mikhail Gorbachev, the last leader of the Soviet Union, about the man who became a conservative legend. Gorbachev was not alone in his assessment. Historian Paul Johnson — who knew Reagan personally — wrote that even those who profoundly disagreed with him, could not help but like him. Reagan’s charm and charisma is undisputed, but there was something more to the man that is hard...
Acton Line podcast: Lessons on tyranny from Game of Thrones; Poverty and alienation in China
On this episode of Acton Line, Jordan Ballor and Tyler Groenendal break down the last season of Game of Thrones, discussing positive and negative aspects of the show as well as lessons on the role of government and the danger of power. Afterwards, Caroline Roberts speaks with Li Ma, senior fellow at the Henry Institute, about Ma’s book The Chinese Exodus. Ma explains how the current economic system in China drives agricultural workers to the city, setting them on a...
Great news: Even ‘socialists’ love the free market (poll)
A Gallup poll released Monday made headlines: “Four in 10 Americans Embrace Some Form of Socialism.” However, the headline could have read, “Seven in 10 Americans reject the central premise of socialism.” When Gallup asked if “some form of socialism” would be “a good thing or a bad thing,” 41 percent said it would and 52 percent said it would not. However, the public’s response to an ill-defined “socialism” reveals less than a more detailed question buried deeper in the...
Related Classification
Copyright 2023-2026 - www.mreligion.com All Rights Reserved