A monetary valuation of individual religious behaviour: the case of prayer

The majority of the US population is religious. The value of a fundamental religious behaviour, prayer, is determined using the well-being valuation method. Theoretically appropriate Instrumental Variables (IV) are used to avoid bias in estimating the effects of household income and the frequency of prayer on well-being. The marginal value of an additional weekly prayer session for individuals already at the national mean is estimated to be $6550 per annum (2004 dollars). Praying at the frequency of the national mean of 8.1 prayer sessions weekly is valued at $53?055 (2004 dollars) per annum. This is larger than the median household income in the US in 2004: $44?684. This suggests that the perception of communion with God is highly valued by religious individuals.