A perfect economic system has not existed since sin entered into this world, because of sin no economic system will ever be completely without imperfections or injustices. This begs the question, which economic system will bring humanity closest to a utopian state. The book The Virtues of Capitalism written by Scott Rae and Austin Hill examines multiple economic systems, but argues that capitalism is the most virtuous and biblically suitable economic system known to man. Most importantly, the authors explain why it is important to consult the bible when choosing the best economic system. After the authors explain the biblical economic standards, they begin to make the case that capitalism is the most biblically based economic system. The authors then analyze the virtues of capitalism, and how they align with the bibles economic standards. This essay will identify and analyze the author’s case for a biblical approach to economics, opposition of anti-free market systems, and capitalisms superiority as an economic platform.
The authors examine scripture from various places in the bible to make their case that the bible is full of economic advice. Additionally, the authors state (2010), “for centuries, cultures have looked to the Bible as a rich resource that has helped people think about the way morality and economics come together.” (Hill & Rae, 2010, p. 23) The author’s most basic understanding is that morality and economics are intertwined, and in order to fully understand economics one must understand the bibles economic standards. The authors laid out seven biblical teachings on issues such as economics, wealth creation, poverty, injustice, and assets throughout the book.
According to the authors, work and production are good...
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...ny critics over the years, and we have seen many arguments for and against the use of a free market system. However, I believe along with the authors that without capitalism, America could not be the country it is today. Even though American society has faced many moral issues, it is not the fault of the economic system, rather the fault of the morally inept who take advantage of the system and those participating in it. The authors also develop their argument by bringing up issues that I was not able to fit into this paper such as government intrusion in the free market system, as well as corporate injustice. However, again as I stated before, these are injustices resulting from individuals, not from the core foundation of the system. Capitalism aligns closely with the economic principles laid out in the bible, and because of that it is a morally superior system.
John Stapleford’s book, Bulls, Bears, and Golden Calves, provides a thorough overview with a Christian perspective of economic and ethical analysis. He reviews the moral challenges of macro, micro, and international economic issues. Stapleford covers a variety of important public policy issues such as self-interest, economic efficiency, and private property rights. He begins the book by laying a foundation of ethical thought and an analytical framework. Stapleford provides a Biblical perspective on the practical issues facing our current society. For example, there are three billion people in the world who live on less than $2 a day (Stapleford, 2009). The wealthy Americans continue to get richer. The greed and lawlessness of America’s corporate boardrooms is increasing. Legalized gambling continues to increase every year. The expansion of pornography and its accessibility to America’s younger generations has become a rapidly growing epidemic (Stapleford, 2009). This text is grounded solidly in biblical principles. A number of the problems he discusses are not specifically addressed in the Bible, but one of the author's strengths is to develop a Christian rationale for contemporary issues, based on biblical principles. An example of this skill is found in his forceful chapter on "False Hope . . . The Boom in Legalized Gambling" (Stapleford, 2009).
Ideologies unite groups of people and promote the collection of ideas necessary for operation of a properly varnished society. E.K. Hunt and Jared Diamond are two well known authors who discuss the scrupulous importance of ideologies within society. Their books, Property and Prophets and Guns, Germs, and Steel, discuss the success of certain ideologies throughout history, while also integrating the commendable relevance of economics. In determining the correlation of the two novels, one must assess the social, political, and economic factors associated with their viewpoints. Through interpretation of their understandings we can determine the rationale of medieval ideologies as well as, the breakdown of the Christian Paternalistic Ethic as
Biernacki, Richard, and Ellen Meiksins Wood. “The Origin of Capitalism.” Contemporary Sociology 2000 : 638. Print.
Richard’s purpose is to remind Christians about the importance of loving neighbor and to teach how Christians can help the poor with their hearts and minds. He relates an important commandment in the Bible, “Love your neighbor,” with the economics by using the concept of “consequence of action.” He promotes the Christians to live a life which God is expecting for them to live by learning about the economics. He wants the Christians to stop justifying ourselves that we love each other when we are not, and he wants us to truly understand God’s intention of putting “love your neighbor” as one of the important commandments. As we study economics, it is important to understand that we should not focus on worldly issues and that we should not forget about God’s commandments. Moreover, this article teaches the Christians that we don’t need to be afraid to study economics because we can use the economics to obey God’s
Henry Hazlitt states, “The art of economics consists in looking not merely at the immediate but at the longer effects of any act or policy; it consists in tracing the consequences of that policy not merely for one group but for all groups” (Hazlitt, 1979, p. 17). Leviticus 19:35-37 compels, “You shall do no wrong in judgment, in measurement of weight, or capacity. You shall have just balances, just weights, a just ephah, and a just hin: I am the Lord your God, who brought you out from the land of Egypt. You shall thus observe all My statutes, and all My ordinances, and do them: I am the Lord.” According to Proverbs 22:7, people will always be slaves to the lender as demonstrated by the Federal Reserve System violating Biblical values in economic
Bradley, Anne. 2013. Biblical Foundations of Economic Principles: Four Essential Elements of Economic Progress. The Institute for Faith, Work, and Economics. http://blog.tifwe.org/four-essential-elements-of-economic-progress/ accessed April 3, 2014.
To begin, capitalism is the economic ideology that everything is primarily focused towards making profit through the production and distribution of a product. In the article “Capitalism: Where Do We Come From?” By Robert Heilbroner and Lester Thurow, they provide insight on how capitalism has changed over the years and the impact it now has in today’s society. “There were no factors of production before capitalism. Of course, human labour, nature’s gift of land and natural resources, and the artifacts of society have always existed. But labour, land, and capital were not commodities for sale” (Para,17). Capitalism has an impact in my life because in the 21st century children are taught in school skills that will benefit businesses, so that they can continue to make a profit through the production and distribution
The stronger will do anything in their power to make a profit, leaving the weak with nothing. Kuyper says, “…the more powerful exploited the weaker by means of a weapon against which there was no defense” (Kuyper, Abraham, and James W. Skillen 26). Additionally, he states that “…the idolization of money killed the nobility in the human heart” (Kuyper, Abraham, and James W. Skillen 31). Kuyper talks about how Jesus felt bad for the rich and sided with the poor (Kuyper, Abraham, and James W. Skillen 32). Matthew 6:19-21 says, “Do not lay up for yourselves treasures on earth, where moths and rust destroy and where thieves break in and steal, but lay up for yourselves treasures in heaven. For where your treasure is, there your heart will be also.” Earthly materials mean nothing because the real treasure awaits in
Divisions within the social stratum is a characteristic of societies in various cultures and has been present throughout history. During the middle ages, the medieval feudal system prevailed, characterized by kings and queens reigning over the peasantry. Similarly, in today’s society, corporate feudalism, otherwise known as Capitalism, consists of wealthy elites dominating over the working poor. Class divisions became most evident during America’s Gilded Age and Progressive era, a period in time in which the rich became richer via exploitation of the fruits of labor that the poor persistently toiled to earn. As a result, many Americans grew compelled to ask the question on everyone’s mind: what do the rich owe the poor? According to wealthy
Ken S. Ewert's "Moral Criticisms of the Market", analysis’ how leftist Christians are not supporters of the economic system of a “free market economy.” A free market economy is where citizens, partnerships or enterprises have the ability to freely trade with others based on supply and demand of products. This allows for free competition and choice within an economic system. One of the main themes that Ewert tries to state is that Christians should not oppose the free market system in its entirety. Ewert has many valid points that I would agree with. He believes that although the free market economy does oppose some Christian’s beliefs, it should not deter Christians from participating within this system.
Due to the rapid process of globalization, the issue of whether socio-economic institutions and policies are converging or diverging across different nations has become controversial. Various literatures on comparative institutional studies has been developed, in which the Varieties of Capitalism approach by Hall and Soskice (2001) is one of the most significant concepts that is being widely discussed. According to Hall and Thelen (2005), the ‘varieties of capitalism’ is a firm-centered approach where firm is placed as a key actor and is being considered relational. It emphasizes the concept of institutional complementarities, which ‘…one set of institutions is complementary to another when its presence raises the returns available from the other’ (Hall and Gingerich, 2004, p.6). Also, the development of relationships between firms and other five domains – industrial relations, vocational training and education, corporate governance, inter-firm relations as well as employees, is essential to ensure coordination to maintain competencies (Hall and Soskice, 2001). According to Knell and Srholec (2005), the varieties of capitalism literature has mainly distinguished and identified two types of coordination - Liberal Market Economies (LMEs) and Coordinated Market Economies (CMEs), in which competitive markets are dominant in LMES while CMEs are mainly based on strategic interaction.
Anonymous author (Mar. 1 2007). ‘American Capitalism, A Necessary Evil?’. Retrieved on Mar 23 from:
Capitalism dominates the world today. Known as a system to create wealth, capitalism’s main purpose is to increase profits through land, labor and free market. It is a replacement of feudalism and slavery. It promises to provide equality and increases living standards through equal exchanges, technological innovations and mass productions. However, taking a look at the global economy today, one can clearly see the disparity between developed and developing countries, and the persistence of poverty throughout the world despite the existence of abundant wealth. This modern issue was predicted and explained a hundred and fifty years ago in Karl Marx’s Capital.
If one looks at liberty and individual freedom, it is evident that command economies tend to oppress their citizens. Therefore, socialism, which allows for basic needs to be met and personal freedoms to be upheld, is the best economic system for all of a country’s citizens. Market economies, as a whole, inherently and inevitably lead to poverty and a large class disparity. In a capitalist society, the ones who supply labor, the ones who work the hardest, are the ones who are paid the least. The owners, who are already rich, receive most of the profit and accumulate large masses of wealth.
Capitalism is an economic system in which the production and distribution are privately owned, the government involvement is minimal,and there is free enterprise. In Capitalism, the means of production are privately owned and operated for profit in a competitive market. Also the economic investment, ownership and profits are all owned by individuals. Under capitalism the state is separated from the economy, which means that the government has no role in business. In other words, everyone works for themselves. The market forces in a capitalist country runs by supply and demand which it determines the price and later on it turns into profits. Supply is the quantity of goods and services a business is willing to sell, while Demand is the quantity of goods and services consumers are willing to buy. Therefore, Capitalism is the best economic system because it rewards the ones that work hard and since the government does not control trade, there is a large variety of goods and creates options for consumers to fit their personal needs.