religion and economic development

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Last updated 11:36 AM on 4/9/26
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1
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Hinduism & India

  • Some sociologists argue against global secularisation, suggesting instead that religion can play a vital role in economic development. This mirrors Weber’s argument about the Protestant ethic

  • Nanda (2000) studied how Hinduism has influenced India’s rapid economic growth

  • India’s middle class is the largest in the world, and most of its members continue to express religious belief

    • Many of these professionals work in IT, pharmaceuticals and biotechnology, sectors strongly tied to the global economy

  • There has also been a rise in religious tourism, such as visits to shrines and temples

  • According to Nanda, being religious has even become fashionable and a public marker of identity

  • Nanda argues this directly contradicts secularisation theory, which predicts that modernisation should undermine religion

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Hinduism & consumerism

  • Nanda examined why India’s sophisticated, urban middle class continues to believe in miracles and supernatural beings

    • She rejected explanations based on poverty or insecurity, as this group is relatively wealthy

    • She also rejected the idea that their religiosity is a defensive reaction to Westernisation

  • Instead, Nanda argued that rising religiosity stems from ambivalence about newfound wealth

  • Traditional Hindu values emphasise renunciation of materialism, which conflicts with middle-class prosperity

  • This tension is resolved by modern gurus and 'tele-gurus', who promote prosperity as a spiritual goal

  • Religious organisations legitimise consumerism by presenting it as a path to spiritual development

    • They do this through extravagant rituals that often display wealth, reinforcing status

  • As a result, modern forms of Hinduism allow the middle class to adapt to consumer lifestyles while maintaining religious belief

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Hindu ultra-nationalism

  • Nanda also argued that Hinduism has become closely linked to ultra-nationalism

  • Many Indians view Hindu values as central to India’s identity, success, and pride in the global economy

  • This belief is frequently reinforced by the media and politicians

  • Religion is therefore used to unite the nation and encourage economic development

  • In this way, Hinduism functions like a form of civil religion, similar to Bellah’s argument about American identity and Christianity

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Pentecostalism in South America

  • Berger (2003) argues that Pentecostalism works like a modern version of the Protestant ethic, encouraging economic development in Latin America

  • Pentecostalism promotes an ascetic lifestyle that emphasises:

    • personal discipline

    • hard work

    • abstinence from alcohol and other 'wasteful' behaviours

  • These values encourage upward mobility and help believers escape poverty

  • Pentecostalism therefore has a strong affinity with modern capitalism

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Pentecostalism: global and local

  • Lehmann (2002) highlights Pentecostalism’s success as a global religion that adapts to local cultures

  • While its core message remains the same, it uses imagery and practices from local traditions:

    • In South America, it emphasises discipline and prosperity

    • In Africa, it blends with local beliefs in spirits and healing

  • This strategy of adapting rather than replacing existing beliefs helps Pentecostalism spread quickly and attract followers

  • Pentecostalism has been especially successful in developing countries because:

    • it appeals to the poor, who make up most of the population

    • it uses global media to spread its message

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Capitalism in East Asia

  • The 'East Asian Tiger' economies (South Korea, Taiwan, Singapore, and China) have industrialised rapidly and become global economic powers

  • Redding (1990) argues that post-Confucian values supported this development by encouraging:

    • hard work

    • self-discipline

    • frugality

    • commitment to education and self-improvement

  • These values created a culture of ambition and perseverance, contributing to rapid industrial growth

  • Redding compares this to Weber’s idea of the Protestant ethic in Europe, showing how religion can foster economic development in different cultural contexts