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According to the Bible, Mary was a virgin and yet she had a child named Jesus, that much we know. Apparently, they made this story to make Jesus out to be even more of a miracle man, and to get more people to flock to Christianity, because people always love stories that they can't believe.

It's kind of like when some schoolkids make up stories about doing something, it's either an exaggeration or simply bullshit, and yet somehow, most of them seem to acknowledge it as fact.