Category: Vatican

The official release of Pope Benedict’s social encyclical Caritas in Veritate took place this morning at the Holy See Press Office in Rome.

There were four speakers at the presentation: Cardinal Renato Raffaele Martino, President of the Pontifical Council for Justice and Peace (PCJP), Cardinal Paul Josef Cordes, President of the Pontifical Council Cor Unum, Archbishop Giampaolo Crepaldi, the newly-appointed bishop of Trieste and former Secretary of PCJP, and Professor Stefano Zamagni, Professor of Economics at the University of Bologna and a consultor for PCJP.

All of the formal presentations in Italian can be found here.

It’s well-known but not often publicly revealed that the presenters of an encyclical were usually close collaborators with the pope on the encyclical, so it’s often worth listening to their explanations and more importantly their answers to the journalists’ questions.

I won’t provide a blow-by-blow account, but here is my summary of more interesting issues raised at the press conference:

– Both Cardinal Martino and Archbishop Crepaldi spoke of the ideology or problem of technique as one of the new, main themes of the encyclical.

– Cardinal Cordes denied that the encyclical or the Church proposes a “third way” between capitalism or socialism, as the Church has no technical model to offer. (This leads one to wonder if a moral critique can be made without an adequate technical understanding, as the former Cardinal Ratzinger once wrote.)

– Professor Zamagni noted the distinction between a market economy and capitalism (which was also made in Pope John Paul II’s Centesimus Annus, n. 42), adding that the Franciscans had a form of market economy in Italy long before the term “capitalism”, with its Marxist ideological connotations, ever existed.

– There were several questions about this very important distinction, with one French journalist noting an “anti-liberal, anti-capitalist” slant to the encyclical and another asking about the role of profit in a pre-capitalist, market economy. It was encouraging to hear Professor Zamagni deny the first and Cardinal Martino speak positively about the second.

– Professor Zamagni also addressed the nature of the ethical basis of the encyclical, stating that not all ethical systems are the same. The encyclical is based on “a virtue ethics that comes from Aristotle and Aquinas”.

– The most difficult questions concerned the nature of a “world political authority” mentioned in n. 67 of the encyclical, which refers to Pope John XXIII’s Pacem in Terris. Is this authority the same as the United Nations? Why would the Holy See, which has fought tooth-and-nail to protect the sanctity of life, marriage and the family at the UN, think such an authority would be a good thing? Would giving “real teeth” to the UN be a good idea? And why would Prof. Zamagni call for a Security Council for social and economic affairs, when the actual Security Council is widely regarded to be an ineffective way of dealing with international peace and security?

The answers to these questions usually referred to previous papal encyclicals, the difference between government (or a supra-state) and governance, which would presumably respect subsidiarity better than other supra-national entities such as the European Union. Others answered that the UN is the only game in town and the Holy See has to work with it.

I know, I know. These aren’t very satisfying answers to me either, and I used to work for the Holy See at the UN! Well, maybe Pope Benedict’s next social encyclical can take up issues of sovereignty and international relations. For now, we should carefully read and digest Caritas in Veritate.

Relativists beware. Whether you like it or not, truth matters – even in the economy. That’s the core message of Pope Benedict XVI’s new social encyclical Caritas in Veritate.

For 2000 years, the Catholic Church has hammered home a trio of presently-unpopular ideas into the humus of human civilization: that there is truth; that it is not simply of the scientific variety; that it is knowable through faith and reason; and that it is not whatever you want or “feel” it to be. Throughout his entire life, Benedict XVI has underscored these themes, precisely because much of the world, including many Christians, has lost sight of their importance.

Perhaps Caritas in Veritate’s most important truth-claim about economic life is that the market economy cannot be based on just any value-system. Against all relativists on the left and the right, Benedict maintains that market economies must be underpinned by commitments to particular basic moral goods and a certain vision of the human person if it is to serve rather than undermine humanity’s common good: “The economy needs ethics in order to function correctly — not any ethics whatsoever, but an ethics which is people-centred” (CV no.45)

“Without internal forms of solidarity and mutual trust,” the Pope writes, “the market cannot completely fulfill its proper economic function” (CV no. 35). This surely has been amply confirmed by the recent financial crisis. America’s subprime-mortgage market collapse was at least partly attributable to the fact that literally thousands of people lied on their mortgage application forms. Should we be surprised that mass violation of the moral prohibition against lying has devastating economic consequences? “The economic sphere”, the pope reminds us, “is neither ethically neutral, nor inherently inhuman and opposed to society. It is part and parcel of human activity and precisely because it is human, it must be structured and governed in an ethical manner” (CV no.36).

Contrary to the pre-encyclical hype of certain American commentators and the ever-unreliable British press, predictions of papal anathemas against “global capitalism” have – as usual – been found wanting. In economic terms, the pope describes as “erroneous” the tired notion that the developed countries’ wealth is predicated on poor nations’ poverty (CV no.35) that one hears customarily from the likes of Hugo Chavez and whatever’s left of the dwindling band of aging liberation theologians. That’s a pontifical body-blow to a central working assumption of many professional social justice “activists”.

Nor will they be happy with the pope’s concerns about the ways in which foreign aid can produce situations of dependency (CV no.58), not to mention Benedict’s strictures against protectionism (CV no.42) as well as his stress that no amount of structural change can possibly compensate for people freely choosing the good: “Integral human development presupposes the responsible freedom of the individual and of peoples: no structure can guarantee this development over and above human responsibility” (CV no.17).

Nor does Benedict regard the market as morally problematic in itself. “In and of itself,” the Pope states, “the market is not . . . the place where the strong subdue the weak. 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” (CV no.36). What matters, Benedict claims, is the moral culture in which markets exists.

At the heart of the economy are human persons. People whose minds are dominated by crassly hedonistic cultures will make crassly hedonistic economic choices. “Therefore”, Benedict comments, “it is not the instrument that must be called to account, but individuals” (CV no.36).

The implications of truth for economic life do not, however, stop here. For Benedict, it is a lens through which to assess ideas such as “business ethics”, “ethical investing” and “corporate social responsibility.” The notion that investment and business choices have a moral dimension is hardly new. What matters for Benedict is the understanding of morality underlying these schemes. Merely labeling an investment scheme as “ethical”, Benedict notes, hardly tells us whether it is moral (CV no.45).

A second major truth underscored by Benedict is the indispensability of a strong civil society for both undergirding and limiting the market and the state. By this, he does not mean a plethora of government-funded NGOs, many of whom Benedict identifies as intent upon imposing some of the very worst aspects of Western lifestyle-libertarianism upon developing nations (CV no.28). Certainly, Benedict believes, there is a need to re-evaluate (CV no.24) how the state regulates different parts of the economy. Ultimately, however, Benedict stresses that the virtue of solidarity, he argues, is about people concretely loving their neighbour; it “cannot therefore be merely delegated to the State” (CV no.38). This is reminiscent of Alexis de Tocqueville’s attention to the manner in which the habit of free association both limits the size of government while also discouraging people from retreating into their own little bubbles.

The economist John Maynard Keynes is famous for many things, including the saying that “in the long run, we’re all dead.” The horizon of Benedict XVI’s perspective on economic life is rather different. The pope asks people to live their economic lives in the short, medium, and long-term as if living in the truth is eternally important, not to mention eternally relevant to their soul’s salvation.

That’s change we can all believe in.

My commentary on the forthcoming social encyclical was published on National Review Online. Here’s the complete text:

On Tuesday, Pope Benedict XVI will release his first social encyclical, Caritas in Veritate. The pre-release buzz from the Catholic Left on each of his two previous encyclicals has so far proven wrong each time, so the rule should be to wait and see what the pope will actually say.

Each time, with previous encyclicals, we have been told that the pope is preparing to lambaste capitalism and call for state measures to heavily regulate it with an eye to redistributing wealth, cleaning up the environment, controlling consumption, etc. Each time, the final text has demonstrated that the pope’s conversion to progressivist causes has been greatly exaggerated. Invariably, his arguments have been highly sophisticated and have defied easy political categorization.

In advance of Caritas in Veritate, Catholic “progressives” are working themselves into a frenzy of predictions, recommendations, and anathemas — and not one of them, to my knowledge, has seen even an early draft of the encyclical which has been two years in the making.

Will the document draw attention to the weaknesses of Western-style capitalist systems? One hopes so. We might expect the pope to call on market forces to be regulated by moral concerns, within a strong juridical framework, and an exogenous apparatus of standards to curb excesses.

But here is the operative question: In what sense would such a call be a blow against the idea of free economic institutions? The short answer is that it will not be.

There are few advocates of market economics who advocate a complete lack of regulation rightly understood. Every transaction in the marketplace is in fact regulated by contract law, reputation, industry standards, competition, certification and monitoring, and profit and loss systems that reward prudence and punish excess over the long term.

Do these need strengthening? Certainly, and it should be noted that a main force for weakening them is not the market as such, but partisan interventions in the market. (more…)

Pope Benedict XVI’s much anticipated economics encyclical, Caritas in Veritate, is scheduled to be released early next week, according reports. For a good sense of this pope’s thinking on economics, we offer an article the then-Joseph Cardinal Ratzinger presented in 1985 at a symposium in Rome.  The Acton Institute published it under the title “Market Economy and Ethics.”  As indicated by the following quote, the pope believed in integrating morals into economics in order to have sound and successful economic policy:

This determinism, in which man is completely controlled by the binding laws of the market while believing he acts in freedom from them, includes yet another and perhaps even more astounding presupposition, namely, that the natural laws of the market are in essence good (if I may be permitted so to speak) and necessarily work for the good, whatever may be true of the morality of individuals. These two presuppositions are not entirely false, as the successes of the market economy illustrate. But neither are they universally applicable and correct, as is evident in the problems of today’s world economy.

Without developing the problem in its details here — which is not my task — let me merely underscore a sentence of Peter Koslowski’s that illustrates the point in question: “The economy is governed not only by economic laws, but is also determined by men…” Even if the market economy does rest on the ordering of the individual within a determinate network of rules, it cannot make man superfluous or exclude his moral freedom from the world of economics. It is becoming ever so clear that the development of the world economy has also to do with the development of the world community and with the universal family of man, and that the development of the spiritual powers of mankind is essential in the development of the world community. These spiritual powers are themselves a factor in the economy: the market rules function only when a moral consensus exists and sustains them.

According to the Catholic News Agency, an Italian newspaper claims to have acquired some parts of the upcoming Caritas in Veritate encyclical of Pope Benedict XVI.  Some of the quotes published by Corriere della Sera are claimed to be from the encyclical and align with the predictions that the Pope will be advocating for morality to be the basis of solving our economic crisis. Here is a quote:

Without truth, without trust and love for what is truthful, there is no conscience or social responsibility, and the social action falls under the control of private interests or logics of power, with the destructive effect on society, even more on a society on the way to globalization, in difficult moments like the current ones.

Corriere della Sera also says that the encyclical will address a number of global issues, including world hunger.  The Italian paper pulls a few other claimed quotes from the Pope’s encyclical: Charity in truth requires an urgent reform to confront courageously and without hesitation the great problems of injustice in the development of the nations; Food and water are universal rights; [and] the development of all nations depends above all in recognizing that we are one single family.

Despite all of the rumors, predictions, and claims to know what the Pope’s encyclical actually says, we are going to have to wait until to release to finally hear the Pope’s words.  The PowerBlog will continue to cover the encyclical prior to and after its release.

There has been much discussion, commentary, and debate on Pope Benedict’s much anticipated encyclical on the economy Caritas in Veritate (remarkable for a statement that has not yet been released).  At the PowerBlog, we will keep you informed on what is being said about the encyclical and, when it is released, we look forward to providing great coverage.

Two of the most recent commentaries came from John Allen Jr. in the National Catholic Reporter and Michael Novak in First Things.  In Allen’s preview of the new encyclical he states:

In effect, what Benedict laid out last night likely amounts to the theological and spiritual substructure of the encyclical, minus the specific economic prescriptions.

The core of what Benedict said, during an ecumenical vespers service at the grand basilica of St. Paul Outside the Walls, is that building a better world requires forming better people.  Structural reform thus presuppose personal moral and spiritual renewal, including a life devoted to prayer and the sacraments.

Allen further hints at the theme of the encyclical with his statement:

The idea that a better world must be built on better people is likely to be a core theme in Caritas in Veritale, and the pope dealt with it at length yesterday.

“Paul tells us [that] the world cannot be renewed without new human beings,” Benedict said. “Only if there are new human beings will there be a new world, a renewed and better world.”

There is much speculation that the new encyclical will be in favor of free markets and Novak responds to the criticism from those on the left:

For moralists, it is essential to see how often (not always) government itself sins grievously against the common good, out of a lust for power and domination over others.  Furthermore, government often (not always) generates foolish and destructive regulations, and often dispenses justice that winks rather than justice that is blind.  Government is more frequently the agent of injuring the common good than the ordinary lawful actions of free citizens.  During the twentieth century, governments too often destroyed the common good of their citizens for years to come.

In the midst of the release of his expected encyclical, Pope Benedict is calling for a new world economic order; a model that is “more attentive to the demands of solidarity and more respectful of human dignity.” Professor Philip Booth, editorial and program director of the Institute for Economic Affairs, and speaker at Acton University, was interviewed by The Catholic Herald, a UK paper, about the Pope’s upcoming encyclical:

…it would be dangerous to follow a path of greater socialization and greater regulation of the economy and financial sector.  This is a model that has been tried and which is failing.

But what is essential is ethical renewal in all aspects of life-including in the financial sector.  Trying to deal with problems such as the lack of ethics in economic life with more regulation is like trying to deal with promiscuity through sex education lessons – it is the wrong instrument.

Kishore Jayabalan, director of Istituto Acton in Rome and an AU lecturer, was also interviewed by The Herald.

The Pope’s challenge to all of us is that we make the best possible use of our freedom and gifts, which will require a bit more intellectual and spiritual fortitude than we’ve seen from most of our political and business leaders recently.

To read the article and more comments by Professor Booth and Jayabalan please click here.

Pope Benedict’s encyclical is expected to be released on June 29.  The Acton Institute will be commenting on the encyclical once it is released and we encourage everybody to return to the PowerBlog and our website for more commentary.

Father John Zuhlsdorf, who runs the popular Catholic blog “What Does the Prayer Really Say?” has opened a new discussion thread on the work of the Acton Institute. He explains:

In light of what is going on in the world’s economies, and in light of what will be increasing tension between secular governments and the Church, which has her body of teaching on social issues, it is a good idea to have a strong discussion about Acton and the Church’s social teachings.

Fr. Z, who joined us at Acton University as a blogger last year, started the Acton discussion to address comments that were being raised on another entry regarding Fr. Robert Sirico’s letter to Notre Dame President Rev. John Jenkins. Here’s Fr. Z’s summary:

Under that other entry, commenter Sarsfield opines:

Sirico is a dissenter from the social magisterium of the Church in favor of the decidedly un-Catholic philosophy of economic liberalism. The very purpose of his organization is to “correct” the “mistakes” of all the Popes who have spoken on the social question since Leo XIII. His choice of the organization’s name is telling if anyone bothers to read a little history. It was Acton, after all, who not only opposed Vatican I’s proposed definition of papal infallibility but tried to use his considerable influence with the British government to induce the anti-Catholic European powers to intervene militarily to prevent the Council from meeting.

Some responses were given to this:

* You may or may not agree with Fr. Sirico’s affinity for economic liberalism, but it is a gross overstatement to accuse him of dissenting from the Magisterium of the Church.
* You are incorrect to categorize Fr. Sirico as a dissenter from the Magisterium for his economics. Though, without more information, I’m not sure if it’s because you are wrong about the Acton Institute, or if it’s because you misunderstand Leo XIII.
* I think a better description of Fr. Sirico’s politics/economic theories rather than “economic liberalism,’ which is the term you use, would be “economic libertarianism.” Or “free market capitalism.” Excuse me for coining the first phrase, but certainly, as I read through the Acton maxim’s on their web site, they have much more to do philosophically with the right wing, or modern conservativism’s “less is more” view of the government’s involvement with all things that affect capitalistic economies. So it just as well could read, “economic conservatism,” for those listening with ears primed with the current left vs. right paradigm labeling conventions. So, while you may mean to convey exactly the same idea, the labeling must certainly give the opposite appearance to eyes and ears more conventionally tuned.

Join the discussion on WDTPRS. Come back here to link your remarks.

The pope has certainly earned his salary this week. In his attempt to heal a schism, he inadvertently set off a fire storm.

As most everyone knows by now, the pontiff lifted the excommunication of four bishops illicitly ordained by the late Archbishop Marcel Lefevbre in 1988, whose dissent from the Second Vatican Council drew a small but fervent following. One of these bishops, Richard Williamson, is a holocaust denier.

To understand the saga, it is necessary to peel back its various layers.

Many who followed Lefevbre did so because of a devotion to the traditional form of what is known as the Latin (Tridentine) Mass. A smaller number rejected the whole of the efforts of Vatican II to take account of the modern world by engaging in ecumenical relations, and a deepened appreciation for religious tolerance and human liberty. Part of their complaint, rightly in my estimation, was that an excessively optimistic outlook whereby everything that was simply new was seen as automatically good was simply wrong and weakened Catholic identity. This would result in a spiritual malaise and moral mediocrity that would ultimately become unattractive and deadening. History bears out their insight, but as Chesterton once observed, “Heresy is truth gone mad.”

There are toxic vapors at the far end of the Lefevbre swamp and Bishop Williamson seemed to have breathed deeply of the fumes. The man, for sometime evidently, has been a marginal character, a fact that the Vatican and the pope admittedly should have known but did not. Some preliminary effort should have gone into uncovering Bishop Williamson’s conspiratorialist propensities. What’s more, an assessment of the communications failure on the part of the Vatican is appropriate.

The bishop now has a choice to make: paddle further out into the swamp (the Lefevbrites having already silenced him), or he can pull back and recant. The Vatican has demanded that he “distance himself in an absolutely unmistakable and public way from his position.” Unless he comes to see the historical absurdity and moral obtuseness of his assertions, he will have no ministry in the Church.

We need to be clear that the lifting of the excommunication of the bishops did not re-establish full communion between these men and the Roman Catholic Church. They remain suspended priests, forbidden by canon law from practicing their ministry. They will remain so until some resolution is achieved as to their full adherence to the authority the pope, which would include the authority of Vatican II. The lifting of the excommunication begins the discussion, it does not settle it.

Among the documents that Vatican II published is Nostra Aetate (The Declaration on the Relation of the Church with Non-Christian Religions) which emphatically decries all forms of anti-Semitism, anywhere and by anyone. Whether or not these bishops follow the teaching of this document will be followed carefully.

It seems at least worth pondering the possibility that when people are offered the opportunity to come in from the cold they sometimes may come to learn the lesson of reciprocal responsibility which is what civilized life is mostly about. But sometimes they don’t.

Some of the reaction to all this is clearly justified. Certainly Joseph Ratzinger knows full well the evil of denying the very evil he witnessed at close range. This was the man who grew up in a family known for its resistance to the fascists, who as a child in his native Germany refused to attend the mandatory Hitler Youth meetings, and who had a cousin with Down’s Syndrome euthanized by the Nazis as part of their war against the disabled. He has spoken out repeatedly and consistently against anti-Semitism, as a priest, bishop, cardinal and now pope.

But some of the reaction smacks distinctly of opportunism by politicians, theologians and even some bishops who have other axes to grind with Pope Benedict. These opportunists have sought to exploit whatever confusion, ignorance and possibility this controversy affords.

For those of us inspired by Pope Benedict’s efforts at the renewal of the Church’s liturgy and life, it is sad that what might have been an occasion for a spiritual deepening — both for Catholics and with those outside the Church — has instead turned into a political imbroglio.

Linked yesterday on the Drudge Report and picked up by news outlets all over the world is a brief Bloomberg report on a statement from the Italian Finance Minister Giulio Tremonti. Tremonti attributed to Pope Benedict XVI a “prophecy” dating from over twenty years ago concerning the current global financial meltdown.

Again, the story is quite brief, and here’s the gist:

“The prediction that an undisciplined economy would collapse by its own rules can be found” in an article written by Cardinal Joseph Ratzinger, who became pope in April 2005, Tremonti said yesterday at Milan’s Cattolica University.

Tremonti’s remarks were made at the inaugural academic year address at the university. It’s unclear to me what the context of Tremonti’s prophetic attribution is, and perhaps some of the colleagues in our Rome office can enlighten us as to Tremonti’s economic and religious perspective.

But if you want the original context of then-Cardinal Ratzinger’s statements, avail yourself of the only readily-accessible English translation of the article cited by Tremonti: “Market economy and ethics,” given by Ratzinger in in 1985 at a symposium in Rome, “Church and Economy in Dialogue.”

Here’s the full quote from Ratzinger’s paper:

It is becoming an increasingly obvious fact of economic history that the development of economic systems which concentrate on the common good depends on a determinate ethical system, which in turn can be born and sustained only by strong religious convictions. Conversely, it has also become obvious that the decline of such discipline can actually cause the laws of the market to collapse. An economic policy that is ordered not only to the good of the group — indeed, not only to the common good of a determinate state — but to the common good of the family of man demands a maximum of ethical discipline and thus a maximum of religious strength.

As you can see from this quote and the context of the larger paper, the import of Ratzinger’s warning is not simply about an “undisciplined economy,” but more specifically about an economy that lacks participants who act from the basis of a serious and committed moral foundation, one that is “sustained only by strong religious convictions.” It’s about a lack of religious discipline as much as economic discipline.

Reading Tremonti’s quote as it appears in the Bloomberg article (which admittedly might be quite different in its own original context) might lead one to think that Ratzinger was simply talking about the lack of material discipline, for which the “new frugality” would be an adequate cure. But as Ratzinger rightly observed then, the causes of poverty and economic distress are not simply material, but also spiritual.