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Sect, subsidy, and sacrifice : an economist's view of ultra-orthodox Jews

Author: Eli Berman; Ruth Klinov; National Bureau of Economic Research.
Publisher: Cambridge, MA : National Bureau of Economic Research, ©1998.
Series: Working paper series (National Bureau of Economic Research), working paper no. 6715.
Edition/Format:   eBook : Document : EnglishView all editions and formats
Summary:
Abstract: The Israeli Ultra-Orthodox population doubles each seventeen years. With 60 % of prime aged males attending Yeshiva rather than working, that community is rapidly outgrowing its resources. Why do fathers with families in poverty choose Yeshiva over work? Draft deferments subsidize Yeshiva attendance, yet attendance typically continues long after they are draft exempt. We explain this puzzle with a club  Read more...
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Additional Physical Format: Print version:
Berman, Eli.
Sect, subsidy, and sacrifice.
Cambridge, MA : National Bureau of Economic Research, ©1998
(OCoLC)40911262
Material Type: Document, Internet resource
Document Type: Internet Resource, Computer File
All Authors / Contributors: Eli Berman; Ruth Klinov; National Bureau of Economic Research.
OCLC Number: 326805501
Notes: "August 1998."
Description: 1 online resource (38 pages) : illustrations.
Series Title: Working paper series (National Bureau of Economic Research), working paper no. 6715.
Other Titles: Economist's view of ultra-orthodox Jews
Responsibility: Eli Berman, Ruth Klinov.

Abstract:

Abstract: The Israeli Ultra-Orthodox population doubles each seventeen years. With 60 % of prime aged males attending Yeshiva rather than working, that community is rapidly outgrowing its resources. Why do fathers with families in poverty choose Yeshiva over work? Draft deferments subsidize Yeshiva attendance, yet attendance typically continues long after they are draft exempt. We explain this puzzle with a club good model in which Yeshiva attendance signals commitment to the community. Subsidizing membership in a club with sacrifice as an entry requirement induces increased sacrifice, compounding the distortion and dissipating the subsidy. Policies treating members and potential entrants equally are Pareto improving. The analysis may generalize to other by increasing the stringency of prohibitions and sacrifice.

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