The religious ecosystem in the United States operates within the framework of the U.S. Constitution. Religious organizations not only maintain vitality through market competition, but also remain transparent due to legal and public scrutiny. According to the Pew Research Center's 2023–24 Religious Landscape Study, about 62% of the U.S. population identifies as Christian. Although this proportion has been gradually declining, religion remains a significant force in social life. Many prestigious American universities, such as Harvard, Yale, and Stanford, and even those in other countries like Peking University in China, relied on donations from American churches and individual believers in their early development, helping to cultivate large numbers of talented individuals for society.
The religious landscape of the U.S. is rooted in its immigration history. In 1620, the Pilgrims arrived in the New World aboard the Mayflower. The Mayflower Compact was one of the earliest self-governance documents in North America, embodying the idea of autonomy based on shared religious principles. Thereafter, religious thought had a profound influence on the founding of the United States. The Declaration of Independence in 1776 proclaimed that all men are endowed by their "Creator" with "unalienable Rights". The term "Creator" reflects the influence of Enlightenment thinking and Christian natural theology. After the country was founded, the First Amendment of the Bill of Rights (1791) explicitly prohibited the establishment of a national religion and guaranteed freedom of religion, ensuring the separation of church and state. One of America's Founding Fathers, Thomas Jefferson, emphasized that religion must develop through free competition rather than rely on state privileges.
Within this institutional framework, religious groups have exerted a profound influence on nearly every aspect of American society. In the 1960s, Rev. Martin Luther King Jr., a Baptist minister, led the African American civil rights movement with a steadfast commitment to nonviolence. Many of the movement's rallies were held in churches, which served as both organizational hubs and sources of moral support. Religious groups have also played a significant role in the development of charitable and educational institutions. Numerous prominent universities and hospitals were either founded or financially supported by churches. Today, the Catholic Church operates a nationwide hospital network in the U.S., providing care for roughly one-sixth of all inpatient admissions. Clearly, religion in the U.S. is not merely a matter of private belief, but a public force contributing to social advancement.
Even today, religious influence remains deeply embedded in American politics. Every U.S. President has traditionally taken the oath of office with a hand on the Bible, reflecting the enduring impact of religion on political culture. However, due to constitutional and legal safeguards, this influence has not undermined the authority of the state. Instead, it functions as a form of moral capital. As a result, the religious landscape of the U.S. has, since its founding, avoided monopolization, retained certain dynamics, and fostered an open and diverse environment.
The U.S. is predominantly Christian, yet it exhibits remarkable internal diversity. This diversity stems largely from doctrinal differences that have evolved since the Reformation in the 16th century, such as disputes over baptism and infant baptism, which have led to numerous denominational splits. According to the Pew Research Center, there are over 200 Christian denominations in the U.S., a level of variety rarely seen elsewhere in the world.
Roughly two-thirds of the American population identifies as Christian. Within this group, Protestantism constitutes the largest branch, comprising approximately 40% of the total population. Catholicism follows, with around 50 million adherents, roughly 19% of the population, making the Roman Catholic Church the largest single Christian body in the country. Among Protestant denominations, the Southern Baptist Convention stands out as the largest. At its peak, it recorded over 16 million baptized members, and it continues to exert significant influence, particularly in the southern region of the country, where its doctrinal emphasis on adult believer baptism is especially prominent. Methodist denominations, including the United Methodist Church, long considered part of the "mainline Protestant" tradition, also have millions of members nationwide, accounting for about 2% of the population. Other major Protestant bodies, such as the Presbyterian Church, the Lutheran Church, and the Episcopal Church, each maintain significant followings in the millions. As for Catholicism, the Roman Catholic Church experienced rapid growth in the U.S. beginning in the 19th century, fueled by large-scale immigration. Today, its members span all ethnic backgrounds. With more than 170 dioceses and approximately 22,000 churches across the country, Catholicism remains a foundational element of the American religious landscape.
Beyond mainstream Christianity, the U.S. has also given rise to a variety of niche sects and emerging religious movements. Among those that have emerged since the 19th century, the most prominent is the Church of Jesus Christ of Latter-day Saints, commonly known as Mormonism. Founded in New England in the 1830s, the movement grew rapidly as its adherents migrated westward and ultimately settled in Utah. Today, the Church claims over 16 million members worldwide, with a significant proportion, approximately half, residing in the United States, where they represent about 1% of the population. With its distinctive doctrines and highly centralized structure, headquartered in Salt Lake City, Mormonism has often been touted as a "modern multinational corporation". It has achieved notable success in areas such as business, education, and philanthropy, positioning it as one of the most prominent indigenous religious movements within the American religious landscape.
The economic operations of religious organizations in the U.S. are generally based on voluntary donations and governed by non-profit principles. Most churches rely primarily on financial contributions from their members to support daily operations and charitable activities. These contributions typically include weekly offerings, special donations, and regular tithes. Many conservative Christian denominations encourage, or in some cases, require members to tithe, contributing 10% of their income to the church. For example, the Church of Jesus Christ of Latter-day Saints mandates tithing for eligible members, enabling the organization to raise approximately USD 7 billion annually. These funds support church operations and religious outreach, while also being invested significantly in charitable work and public welfare. Many large churches maintain dedicated funds for education and poverty alleviation, and the Mormon Church is especially notable for its comprehensive welfare system, which provides support to both impoverished members and vulnerable communities. Importantly, the Mormon Church also manages its assets through a professional investment entity known as Ensign Peak Advisors. Since its establishment in 1997, Ensign Peak has built a substantial reserve fund. Conservative estimates place the value of this fund at over USD 100 billion, derived from decades of accumulated tithes and investment gains. The fund is primarily intended to support long-term public welfare initiatives and serve as a financial reserve for future emergencies.
At the legal level, most religious organizations in the U.S. are registered as 501(c)(3) non-profit entities and enjoy tax-exempt status. However, they are also required to comply with relevant regulations and are prohibited from using their income for personal gain or non-religious purposes. The U.S. Internal Revenue Service (IRS), along with state-level charity regulators, has oversight authority over these organizations. If violations such as the misappropriation of donations or money laundering are discovered, authorities can revoke an organization's tax-exempt status and pursue legal accountability. Although U.S. law does not require churches to disclose detailed financial information to the public—unlike other non-profits, churches are exempt from filing the annual Form 990—many religious institutions voluntarily release summaries of their income and expenditures or undergo independent audits. These actions are often taken for ethical reasons and to maintain the trust of their congregations. In addition, large denominations typically implement internal mechanisms such as financial committees. For example, Roman Catholic parishes must report fundraising usage to the parish council, while Protestant congregational churches often require their budgets to be reviewed and approved by the congregation. This multi-layered system of supervision, combined with a culture of transparency, serves as a safeguard against corruption and financial misconduct.
American history is not without instances of religious leaders brought down by financial or sexual scandals; most notably, there are cases where televangelists were exposed for embezzling donations to fund extravagant lifestyles. However, such incidents have often been met with swift public scrutiny, driven by media investigations and pressure from believers. In many cases, this has led to corrective actions, greater public awareness of religious financial practices, and improved transparency. Overall, religious finances in the U.S. tend to operate within a virtuous cycle: "living within one's means, taking from believers, and giving back to believers". This ethos is supported by relatively strong mechanisms for financial disclosure and accountability, which help maintain trust and integrity within religious communities.
Overall, American religion, leveraging constitutional protections and market-based mechanisms, demonstrates openness, diversity, and transparency. American religious funding also adheres to the voluntary principle of "acting within one's means" and a market-based, standardized management model. This model effectively reduces corruption and religious alienation driven by money. While the American religious community also has its share of controversies and flaws, the overall institutional environment has significantly avoided the systemic problems that foster corruption.
Final analysis conclusion:
Although religiosity in the United States has declined in recent years, religions continue to exert a profound influence on society. This resilience is rooted in the constitutional principles of religious freedom and the separation of church and state. Free competition among denominations fosters diversity, while transparency mechanisms promote accountability in both funding and leadership. As a result, religion in the U.S. has largely avoided institutional corruption and has instead contributed positively to education, charitable work, and social justice. This open and pluralistic religious landscape remains an essential spiritual foundation of American society.
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Chen Li is an Economic Research Fellow at ANBOUND, an independent think tank.
