jimkhong #14
There are however some parts of capitalist thinking that we believe do not dignify the human condition.
“We” don’t believe that. Free enterprise began in the ninth century with the monks as Rodney Stark affirms, and the understanding and development of the natural laws by the Catholic Late Scholastics followed.
There is a solid basis of economic Catholic thought from the fourteenth century. In the fifteenth century the Late Scholastics who were Thomists (followers of St Thomas) “writing and teaching at the University of Salamanca in Spain, sought to explain the full range of human action and social; organization.” They “observed the existence of economic law, inexorable forces of cause and effect that operate very much as other natural laws. Over the course of several generations, they discovered and explained the laws of supply and demand, the cause of inflation, the operation of foreign exchange rates, and the subjective nature of economic value…” For these reasons Joseph Schumpeter applauded them as the first real economists. (Thomas E Woods Jr,
The Church And The Market, Lexington Books, 2005, p 8).
One of which Pope Francis has taken issue with is the idea that we need policies that encourage wealth creation among the rich and the rich will be doing things directly (by charity) or indirectly (by investments) which will also lift up the poor. This is largely discredited as Pope Francis said, the poor are still waiting.
This is an interesting appraisal on the *Entrepreneurial Vocation *by Fr. Robert A. Sirico that brings out these prejudices.
“As a group, entrepreneurs are frequently depicted as greedy, immoral, and cutthroat. This prejudice can be found equally among business and religious leaders, not to mention among cultural elites and individual people. But such criticisms, though justified far too often, fail to acknowledge the implicit spiritual dimension of enterprise, seen particularly in terms of the entrepreneur’s creative ability to imagine new possibilities, to maintain a proper concept of stewardship, and to cultivate the earth to harness its potential. While it is true that entrepreneurs—like any other group of people—have been stained by sin, they must not be judged more severely for their moral failings merely because their profession involves the creation of wealth. Those who consider the entrepreneurial vocation a necessary evil must affirm that the Parable of the Talents lends ample scriptural support to entrepreneurial activity.”
acton.org/publications/mandm/mandm_article_110.php
The value of free enterprise in alleviating poverty is phenomenal. Eradicating poverty has to be done one step at a time. Right now there is enough food to feed everyone. That has been so for many decades.
The revered Fr James V. Schall, S.J.:
‘Much of world poverty has in fact been reduced or alleviated, as a recent essay in The Economist has shown. Christians often seem not to know that this change has happened or why it happened.’
Further, between 1990 and 2010, their number fell by half as a share of the total population in developing countries, from 43% to 21%—a reduction of almost 1 billion people.
tinyurl.com/ldjt6go
We do not reject capitalism per se (or Marxism for that matter) as there are good things in most idealogies but we seek to change, amend, ameliorate, mititgate the parts of the idealogy which Catholics believe run counter to Gospel values.
False.
Pius XI declared emphatically in
Quadragesimo Anno, 1931, #120:
“We have also summoned Communism and Socialism again to judgment and have found all their forms, even the most modified, to wander far from the precepts of the Gospel.”
Now see the affirmation of free enterprise as Bl John Paul II teaches in
Centesimus Annus, 1991:
CA 42. ‘Returning now to the initial question: can it perhaps be said that, after the failure of Communism, capitalism is the victorious social system, and that capitalism should be the goal of the countries now making efforts to rebuild their economy and society? Is this the model which ought to be proposed to the countries of the Third World which are searching for the path to true economic and civil progress?
‘The answer is obviously complex. If by “capitalism” is meant an economic system which recognizes the fundamental and positive role of business, the market, private property and the resulting responsibility for the means of production, as well as free human creativity in the economic sector, then the answer is certainly in the affirmative, even though it would perhaps be more appropriate to speak of a “business economy”, “market economy” or simply “free economy”.
‘CA 43. The Church has no models to present;’
Pope Benedict XVI felt it necessary to teach that “Society does not have to protect itself from the market, as if the development of the latter were ipso facto to entail the death of authentically human relations…Therefore it is not the instrument that must be called to account, but individuals, their moral conscience and their personal and social responsibility.” (
Caritas et Veritate, Benedict XVI, 2009, #36).