How culture affects the economy

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How culture affects the economy
The study relating culture to economic growth has been ongoing for a long time. Max Weber, a German-based social scientist in the early 20th century, was among the first people shed more light on how culture and religion which constitute a huge part of culture can affect economic development. He compared the Protestant culture which was based on work ethics and the pursuit of wealth as a duty which made them more successful as their Catholic counterparts which lacked cultural values that promoted economic growth (Hezel 1). According to the Cambridge English Dictionary, a culture is considered as a way people live entailing the customs and beliefs of a set of individuals probably living together (Cambridge 1).
Although culture alone is not a determinant of the economic growth of a country, there have been strong links between the economic growth of a country and its culture. Granato et al. came up with two hypothesis on these subject. First, communities with cultural attitudes towards achievement and thrift had a positive effect on the economy. Second, communities with cultural attitudes towards post materialism had a negative effect on the economy (Granato et al. 607). David Landes in his book “The Wealth and Poverty of Nations” came up with various attitudes including thrift, hard work, tenacity, honesty, and even tolerance among other factors that brought about economic growth (Hezel 1).
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