Kristine,
Yes, I realized at the end of my post that I hadn’t really answered the question, but I had already written quite a long post by that time so decided to let it rest. I think that it’s important to get our terms straight first and foremost, because I really don’t think the question “how many denominations” is a meaningful one. Just as Catholicism can’t accurately be described as a denomination, so various Protestant groups are “denominations” (or in my terminology “church bodies”) in different senses. The basic problem with the question from the start is that it sets Protestantism over against Catholicism and Orthodoxy. But in some respects Anglicans and Lutherans may have more in common with Catholics than with fundamentalist Baptists. Most of the splitting is at the extreme conservative end of the Protestant spectrum, and much of it affects Baptists, Pentecostals, and other “free church” groups.
Also, one of the problems with the large figures often given is that such figures often count different national bodies as separate “denominations,” even though they cooperate fully with each other. In other words, you need to find a way of distinguishing between genuine disunity among Protestants (of which there is plenty) and a lesser degree of centralization, which in fact is no different from the condition of the early Church, the probable structure of the reunited Catholic/Orthodox Church should such a thing ever come about, or even for that matter the present relationships among the various sui juris churches that make up the Catholic Church.
Katholikos, two notes in response to you. I don’t know what you mean by Luther’s “original church” not existing any more. It’s true that Lutherans are divided–however, they are essentially divided into two groups–the state churches of Germany and Scandinavia and corresponding denominations such as ELCA in other parts of the world, on the one hand; and “confessional” Lutheran churches such as the Missouri Synod on the other. There are other Lutheran groups but they are tiny. So it’s true that the state churches and the confessional churches can each claim Luther’s legacy in different ways. But that’s not the same thing as saying that Luther’s original church “doesn’t exist.” You can go to Wittenberg and see Lutheranism still being taught and practiced. Your assertion doesn’t make any sense.
Also, most historians would not say that the Baptists derive from the Anabaptists, but rather from the Puritan movement in England. There was some Anabaptist influence, but it’s debated just how much. Probably not a lot when all is said and done. The Baptists are essentially radical Puritans.
In Christ,
Edwin