If you look at how few people believe in the Real Presence (isn’t it something like 30%?), and also at how few Catholics really know and understand their faith today, then you can see that we are failing in our responsibility to teach Catholicism to Catholics. **I agree, but that’s not a “watering down” of doctrine so much as it is a failure to communicate the doctrine accurately. The Church has never varied from the true teaching. **
And there are many poor homilies that fail to instruct the faithful in faith and morals. Every weak homily is a wasted opportunity to pass on the living legacy of the Catholic faith. **
I think homiletics (the art or science, if you will, of preaching) is in a very poor state in the Church, but that still isn’t watering down doctrine. AND if we’re depending on a 10-15 minute sermon per week to pass on the faith, I think we’re in trouble. The homilies are supposed to address the readings. I think we would do well to borrow a leaf from our Protestant brethren (dare I suggest it) and adopt “Sunday School,” ie, continuing religious education across the board, not simply Bible studies (which are well and good and plentiful), but studies of the Catechism, of the encyclicals, etc. These things, however, are still not a dilution of the faith. They go to poor catechetical methods.
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Now, I know that you attend a good parish, and this may not be your experience, but you are aware that this happens routinely around the world. Weak priests, poorly formed in the seminaries translates into weak faith for their parishioners. **Again, poor instruction. **
Add to that, the way we seem to close our eyes to the more difficult and harder truths of our faith, (like no salvation outside the Church, the Immaculate Conception, and the Assumption of Mary) when we are dealing with ecumenism, and you can see what I mean when I say we have watered down our faith.