Category: Economics

From The Independent:

He leads a company that some would consider the epitome of ruthless global capitalism. But Apple chief executive Tim Cook has shocked some in the US with an impassioned attack on the single-minded pursuit of profit – and a direct appeal to climate-change deniers not to buy shares in his firm.

Eyewitnesses said Cook, who succeeded Steve Jobs as boss of the technology giant in 2011, was visibly angry as he took on a group of right-wing investors during a question-and-answer session at a shareholders’ meeting.

And what were these (presumably) egregious and inappropriate questions levied by the “right-wing investors”?

Responding to calls from the National Centre for Public Policy Research (NCPPR), a conservative think tank and investor, for Apple to refrain from putting money in green energy projects that were not profitable, he shot back that Apple did “a lot of things for reasons besides profit motive”.  The chief executive added: “We want to leave the world better than we found it.”

Addressing he NCPPR representative directly, he said: “If you want me to do things only for ROI [return on investment] reasons, you should get out of this stock.”

So some Apple investors were concerned that the company might be throwing good money after bad (but socially chic) investments into green energy, and that is what set off the CEO of one of the world’s largest companies? Really? (more…)

After a week filled with heated media discussions on religious liberty, Mollie Hemingway provides a devastating critique of how, legislation aside, our media and culture appear bent on diluting and distorting a freedom foundational to all else.

The piece is striking and sweeping, deeply disturbing and yet, for those of us in the trenches, somewhat cathartic in its clarity. Whether politics is downstream or upstream from culture, it appears rather clear that this battle is not a figment of our imaginations. Back and forth and back again.

I encourage you to read the whole piece, but her concluding paragraphs helpfully crystalize why, regardless of your political perspective, your religious beliefs, or your personal position within the social and economic order, diminishing religious liberty will result in road-blocks aplenty on the path to human flourishing:

Religious liberty is a deeply radical concept. It was at this country’s founding and it hasn’t become less so. Preserving it has always been a full-time battle. But it’s important, because religion is at the core of people’s identity. A government that tramples religious liberty is not a government that protects economic freedom. It’s certainly not a government that protects conscience rights. A government that tramples religious liberty does not have expansive press freedoms. Can you think of one country with a narrow view of religious liberty but an expansive view of economic freedom, freedom of association, press freedoms or free speech rights? One? (more…)

On Monday, I linked a podcast that Ancient Faith Radio host Kevin Allen did with Metropolitan Antony, primate of the Ukrainian Orthodox Church in the United States, about the ongoing crisis in the Ukraine. Allen has followed up with another interview, this one with Ukraine expert James Jatras, a former U.S. diplomat, U.S. Senate staffer and a member of the American Institute of Ukraine. Jatras talks about a number of issues, including the legal basis — or lack thereof — of the current government in power, deep seated government corruption on all sides, the prospect for elections, Church-State relations, and insights into Ukraine’s trade relations with both the West and Russia. The current situation, he warns, is fraught with risks on all sides.

“Will they be able to hold elections?” he asks. “Will violence break out in other parts of the country? Let’s hope not. I think ultimately a lot of this may be decided by the economy … Whom do you even send the aid to in Ukraine? I don’t think there will be much aid coming to Ukriane from the West. At some point they’re going to turn back toward Russia.”

Jatras continued: “I think somehow, the Europeans especially, and the Russians need to work out some understanding between themselves and … see if they can help promote reconciliation among Ukrainians. And that’s going to be a very tall order.”

Listen to “Ukraine – Another Perspective” on Ancient Faith Radio.

Blog author: jcarter
posted by on Thursday, February 27, 2014

Fracking_Graphic_t670Fracking is a slang term for hydraulic fracturing, a procedure of creating fractures in rocks and rock formations by injecting fluid into cracks to force them further open. The larger fissures allow more oil and gas to flow out of the formation and into the wellbore, from where it can be extracted. Fracking has resulted in many oil and gas wells attaining a state of economic viability, due to the level of extraction that can be reached.

Fracking has been around since the end of World War II, but it was only in the last decade or so that the economic incentives helped to make it more common practice. The result has been an increase in oil production — and an increase in controversy.

Gasland, a 2010 documentary, and Promised Land, a 2012 feature film starring Matt Damon, helped to turn public opinion against the process. The information in those films has been effectively rebutted, but the damage has already been done. According to a 2013 University of Texas poll, 41 percent of Americans oppose fracking.
(more…)

Blog author: jsunde
posted by on Tuesday, February 25, 2014

facebook_ad_large_1On-demand ride-sharing services such as Uber and Lyft are on the rise, allowing smartphone users to request cab drivers with the touch of a button. But though the services are popular with consumers and drivers alike, they’re finding less favor among their taxi-company competitors and the unions and government bureaucrats who protect them.

Calling for increased regulation, entrance fees, and insurance requirements, competitors are grappling to retain their privileged, insulated status. In Miami-Dade County, an area with particularly onerous restrictions and regulations, Diego Feliciano, president of the South Florida Taxicab Association, argues that the change is bound to “ruin the very thing it’s trying to improve,” all because it threatens the fat cats who pay his salary, and who can afford to jump through the regulatory hoops. “When looking at new technologies,” he writes, “we must also be sure people’s basic civil rights and the safety of the riding public are protected.”

Bringing these petty municipal battles into the limelight, actor Ashton Kutcher, an early investor in Uber, recently appeared on Jimmy Kimmel Live, decrying “antiquated legislation,” “old-school monopolies,” and “old-school governments” who continue to stand in the way of innovation and consumer demand. In areas like Miami, Kutcher says, there is a “Mafioso mentality” against letting the “new guys” in.

Indeed, as Miami’s Feliciano aptly demonstrates, the protectionist mindset only sees what is, viewing economic activity in static and self-centered terms, and failing to recognize or value the type of opportunity and possibility that comes with increased freedom and ownership. Feliciano claims that he’s interested in “safety” and “basic civil rights,” but the only folks being protected are those with power and pocketbooks. (more…)

Blog author: dpahman
posted by on Monday, February 24, 2014

Today at Red River Orthodox, I offer a brief introduction to the liberal tradition for Orthodox Christians living in the West:

Liberalism, historically, is a broad intellectual tradition including a large and disparate group of thinkers. The epistemological differences between John Locke, David Hume, and Immanuel Kant do not stop them all from being liberals. In economics the range extends from Friedrich Hayek to John Maynard Keynes. In political philosophy, from John Rawls to Robert Nozick. For that matter, both the American and French Revolutions have liberal foundations, though often (and rightly) contrasted.

I conclude by encouraging a more nuanced engagement with the West than is sometimes the case in the East:

[F]or a responsible, “liberal engagement” with the West from an Orthodox Christian perspective, it will not do to dismiss anything we don’t like as Western and liberal and, therefore, wrong. As Solzhenitsyn put [it], “the line dividing good and evil cuts through the heart of every human being.” And if that is true, then both East and West, including Western liberalism, have plenty of good and evil to go around.

How might Orthodox Christians better evaluate one of the many liberalisms that make up the water in which we swim in the West today?

To give an example, I would positively recommend to my fellow Orthodox Christians the German ordoliberal school of economic thought for the following reasons: (more…)

Ukrainian priest/monks from Kiev stand between protesters and soldiers during recent protests, acting as peacemakers.

Ukrainian priest/monks from Kiev stand between protesters and soldiers during recent demonstrations, acting as peacemakers.

This weekend on Ancient Faith Radio, host Kevin Allen interviewed Metropolitan Antony, primate of the Ukrainian Orthodox Church in the United States about the ongoing crisis in the Ukraine. The bishop offered very good insights into the religious, cultural and political factors at play now in the Ukraine, carefully pointing out that the situation is very fluid and subject to change almost by the hour.

Allen asked the bishop what role the Orthodox and Greek-Catholic churches should play in this crisis going forward.

The Churches have an “enormous” role and indeed a “primary” role, Metropolitan Antony said. He continued:

We have all along, and so have all the churches in Ukraine have called upon those involved to remember the dignity of the human being, to remember the sanctity of life throughout this whole conflict. The Church and the clergy will be required to refrain from participation in any kind of political maneuvering or machinations, and to simply preach the word of God, and preach the love of our Lord and Savior, Jesus Christ, to overcome the difficulties first and then to begin the process of forgiveness, because this is a process that I believe will go on for some time to come. (more…)

thinkingWe read the same Bible and follow the same Jesus. We go to the same churches and even agree on the same social issues. So why then do liberal and conservative evangelicals tend to disagree so often about economic issues?

To explore that question I recently wrote a series of posts explaining “What Liberal Evangelicals Should Know About the Economic Views of Conservative Evangelicals.” The posts covered 12 principles that generally drive the thinking of conservative evangelicals when it comes to economics:

1. Good intentions are often trumped by unintended consequences.
2. Our current economic and historical context must be taken into account when applying Biblical principles
3. To exploit the poor, the rich need the help of the government.
4. We love economic growth because we love babies.
5. The economy is not a zero sum game.
6. Inequality and poverty in America is more often a matter of personal choice than structural injustice.
7. The best way to compensate for structural injustice is to increase individual freedom.
8. Saddling future generations with crippling debt is immoral.
9. Social mobility — specifically getting people out of poverty — is infinitely more important than income inequality.
10. Jobs that lead to human flourishing are the most important part of a moral economy.
11. Free markets are information systems designed for virtuous people
12. Free markets are the best way to serve free people.

To make it easier to read, I’ve compiled the entire series into a single essay, which can be downloaded in PDF or text format here.

wedding1In a recent column for USA Today, Kirsten Powers uses some legislation in the Kansas state legislature as a foray for arguing that, for many Christians, the supposed fight for religious liberty is really just a fight for the “legal right to discriminate.” Pointing to recent efforts to protect a florist, a baker, and a photographer from being sued for their beliefs about marriage, Powers argues that these amount to the homosexual equivalent of Jim Crow laws.

Powers, herself a Christian, reminds us that Jesus calls us “to be servants to all,” which is, of course, correct. Yet, as many have already observed, those involved in these lawsuits have no qualms with serving gay customers. Their conflict, rather, is with the particular ends that such services would support. As Andrew Walker explains at First Things: “What’s at stake in this context is when individuals who provide material and artistic craft for weddings are then forced to take their talents and their creative abilities and use them for purposes that go against their consciences.”

Setting aside any differences over sexual ethics or the particular legislation at hand, it’s worth noting how Powers so decidedly divorces work from religion, and in turn, work from ethics. Are we really to believe that the ends of our economic activity are of no consequence?

Powers writes that most of those planning a wedding would be shocked to learn that their vendors and suppliers had some kind of religious principle or transcendent ethic driving their efforts. “Most people think they just hired a vendor to provide a service,” she writes. “It’s not clear why some Christian vendors are so confused about their role here.” Reinforcing this view, megachurch pastor Andy Stanley is quoted, advising Christians to “leave Jesus out of it” when it comes to discerning the shape of their economic output. Later, in a tweet responding to her critics, Powers still fails to see it. “Of all the pushback I’ve gotten on my column,” she writes, “not one person has explained when Jesus taught that baking a cake is an affirmation of anything.” (more…)

Blog author: rjmoeller
posted by on Thursday, February 20, 2014

timeclockFrom Agence France-Presse:

Geneva — No Swiss fighter jets were scrambled Monday when an Ethiopian Airlines co-pilot hijacked his own plane and forced it to land in Geneva, because it happened outside business hours, the Swiss airforce said.

You simply cannot make this stuff up. Granted, Switzerland has sort of made it “their thing” to avoid any territorial issue more dangerous than a Von Trapp family crossing, but this is embarrassing. Yes, the Swiss haven’t had much need for a military, but this is the result of policies and cultural values. And, one might posit, it is the result of generational dependency on the sacrifice of others.

Swiss airforce spokesman Laurent Savary told AFP…Switzerland relies heavily on deals with its neighbors, especially France, to help police its airspace outside regular office hours.

Just because you don’t need a military today does not mean you’ll never need a military in the future. It’s stage-one thinking. It’s erecting for yourself a fantasy land where trouble will only ever come between the hours of 8 AM and 12 PM (or then again between 1:30 PM and 5 PM).

It’s along the same distorted lines of the European Union’s laws requiring employers to pay for their workers’ longer and longer vacations, fining small businesses for staying open later than their competitors, and ensuring talent-less hacks are impossible to fire.

The European Union is an entity well versed in the art of fantasy land creation. They give Tolkien and Lewis a run for their imaginative money when it comes to concocting creative canvases on which they can paint the world the way choose to see it. But unlike the landscape of an Inklings’ novel, the lever-pullers of western bureaucratic states can’t easily erase the impact of a well-intended plot line gone awry.

Are we any better? Perhaps today we are, but how can we avoid the same regrettable (and ultimately dangerous) path?

I know Dr. Gregg has a few thoughts on the matter.