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There are two links between the church and Libertarian viewpoints. One is the subsidisation issue, which you mentioned. The other, though arguable, is that the church is a substitute state in many places. In theory people have a choice of whether to join or remain in a church or not, but in practice many people are indoctrinated from an early age and have extremely constrained choices. Those in the developing world in particular are highly influenced by church-made law. I agree that you can argue that this is not the concern of Libertarians, but I am swayed by the view that for many people the church and the state are effectively little different.
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