Posts tagged with: business

If you visited a florist would you immediately walk out if you found out it wasn’t licensed by the state? Would a florist shop still know how to perform their job without a state certificate? In most instances occupational licensing laws serve to protect commercial interests and not the consumer. Far too often these laws work directly against the entrepreneur. Melony Armstrong, who owns “Naturally Speaking,” fought back against the cumbersome and archaic cosmetology licensing laws that tried to prevent her from opening up a braiding and weaving business in Tupelo, Miss. She was barred from opening up her business because she didn’t spend multiple years training in cosmetology schools that would have cost her $10,000.

Small businesses are the backbone of America’s economy and unnecessary licensing laws severely limit the opportunity to start a business or simply find work. It is irrational to require licensing for some professions, and it puts an unfair burden on the poor. It blocks their access to markets, squashes human flourishing, and limits their ability to provide for their family. The fact that some states require professional licenses for certain professions and other states don’t require a license for that same profession, highlight that it has little to do with public safety. Honest Enterprises has produced an excellent video chronicling Melony’s story to fight against damaging and needless regulation and the impact it has had in her community.

Blog author: jcarter
Tuesday, April 15, 2014
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7figures[Note: ‘7 Figures’ is a new, occasional series highlighting data and information from a variety of surveys and reports.]

1. The average federal tax rate for all households (tax liabilities divided by income, including government transfer payments) before taxes is 18.1 percent.

2. Households in the top quintile (including the top percentile) paid 68.8 percent of all federal taxes, households in the middle quintile paid 9.1 percent, and those in the bottom quintile paid 0.4 percent of federal taxes. (Quintiles — fifths — contain equal numbers of people.)

3. Social insurance taxes (e.g., Social Security, Medicare) account for the largest share of taxes paid by households in all but the top quintile.

4. The U.S. tax code is approximately 2,600 pages long (about 1.5 times longer than Tolstoy’s War and Peace and 2.5 times longer than Ayn Rand’s Atlas Shrugged).
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Radio Free ActonWhat is the end – the goal – of business anyway? Is it to merely maximize a profit or to do good, or some balance between the two? And what exactly does it mean for a business to “do good”? And if I happen to be a person of deep religious faith, do I have to check my faith at the boardroom door? What influence should my faith have on the exchanges I engage in day to day, and what are the practical implications of ethics on how I conduct myself in business relationships? Andrew Abela is the 2009 recipient of Acton’s Novak Award. He has just co-authored a very important book on the subject of the intersection of ethics and morality with business: A Catechism for Business: Tough Ethical Questions & Insights From Catholic Teaching (The Catholic University of America Press). He speaks with Acton’s Paul Edwards on this edition of Radio Free Acton.

wallet-lockWhen bank robber Willie Sutton was asked why he robbed banks, he is (mis)quoted as having said, “Because that’s where the money is.” Turns out that is also why there is more street crime in poorer neighborhoods: because that’s where the cash is. Or at least it’s where the case was.

It has been long recognized that cash plays a critical role in fueling street crime due to its liquidity and transactional anonymity. In poor neighborhoods — where street offenses are concentrated — a significant source of circulating cash stemmed from public assistance or welfare payments. But starting in the 1990s that changed, as the Federal government gradually phased out paper welfare checks in favor of electronic debit cards (the Electronic Benefit Transfer [EBT] program).

A team of researchers studied the effects of this change in Missouri and found that it was directly responsible for a hefty 10 percent drop in the overall crime rate:
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Leghorn Chicken, a “socially conscious chicken shop” in Chicago, makes it quite clear that they intend to be, as one might put it, a culture-making enterprise.

Behold, their statement of faith (HT).

Such an attitude, worldview, and moral orientation isn’t all that appealing to someone such as myself, particularly when paired with the lovely parental advisory sign located at the counter. Yet I feel no inclination to enlist the muscle of the magistrates to manipulate them toward watering things down. I can consume their chicken blindly (not advisable), take my business elsewhere, or start a delicious chicken shop of my own.

Respond to the market signal with your own market signal. Heed your conscience. Shape and create the culture. Bear witness to the Truth. Etc.

Yet for those like Kirsten Powers, these folks should simply subdue their strident beliefs and get back to plain-old materialistic business. “Most people just want to eat a chicken sandwich,” she might say. “It’s not clear why some chicken shops are so confused about their role here.” Or, as Andy Stanley might put it, “leave gay rights out of it.”

I bring this up simply to re-affirm a point I’ve already made: businesses are culture-making enterprises, whether they or we like it or not. When we detest or disagree with particular cultural outputs of particular cultural enterprises, we should respond with healthy Christianly output, not systemic strong-arming and stifling.

This means maximizing the freedom to shape culture and maximizing it for all. That includes religious freedom for the baker, the florist, and the photographer, just as it includes the ramblings of the supposedly a-religious chicken shop.

Business for the Glory of God: The Bible's Teaching on the Moral Goodness of Business

Business for the Glory of God: The Bible's Teaching on the Moral Goodness of Business

Wayne Grudem believes that by engaging in work and business we glorify God because we are emulating God's creative work.

IKEA-Refugee-Shelter3When looking for solutions to humanity’s problems, conservatives and libertarians tend to prefer turning first to free markets rather than government. The reason for such a preference is often misunderstood, and can be difficult to explain since it appears paradoxical: free markets are often better at serving human needs than governments because free markets make it easier to fail.

As Arnold Kling explains, the best way to deal with failure depends on the institution. An individual needs to fail with a fallback position, a small startup firm needs to fail quickly, and a large, established firm needs to fail gracefully. But government, says Kling, cannot do any of these things well.

Of the many things that governments do poorly, failing is probably the worst. That is why governments rarely produces significant innovations. To produce innovative ideas, products, processes, or services requires testing what works and adjusting what doesn’t until you find the right formula. In a free market, the actions of consumers provide a signal to individuals and firms that they are doing well – or that they are failing.

If a company is failing, they have an incentive to adjust — and are pressured by competitors to adjust quickly — in order to give the customer what they need. They are often faced with a brutal, binary choice: innovate or fail. Government agencies, in contrast, tend to lack such feedback mechanisms and the ability to adjust quickly precisely because they have a low fear of failure. Even if they are unable to innovate and serve the needs of their “customers” they will likely stay in business due to bureaucratic inertia.
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Coolidge In November of 1925, President Calvin Coolidge delivered an address on the topic of the proper relationship between government and business. His audience was the New York State Chamber Commerce. One of Coolidge’s main aims of the speech was to elevate the spiritual value of business.

As president, Coolidge oversaw unprecedented economic expansion and growth, but he also lived through the rise of America’s progressive era and Russia’s Bolshevik Revolution. New ideas about government and society had already long been popularized in large segments of America by 1925. Coolidge, who saw himself as a civic educator, articulated a much more traditional and conservative view of American ideals. A common recurrence of his public addresses was to praise the truths and virtues of America’s founding principles. At the very end of this address, Coolidge closed with the line, “The truth and faith and justice of the ancient days have not departed from us.” Below is a poignant excerpt from his 1925 address:

While there has been in the past and will be in the future a considerable effort in this country of different business interests to attempt to run the Government in such a way as to set up a system of privilege, and while there have been and will be those who are constantly seeking to commit the Government to a policy of infringing upon the domain of private business, both of these efforts have been very largely discredited, and with reasonable vigilance on the part of the people to preserve their freedom do not now appear to be dangerous.

When I have been referring to business, I have used the word in its all-inclusive sense to denote alike the employer and employee, the production of agriculture, and industry, the distribution of transportation and commerce, and the service of finance and banking. It is the work of the world. In modern life, with all its intricacies, business has come to hold a very dominant position in the thoughts of all enlightened peoples. Rightly understood, this is not a criticism, but a compliment. In its great economic organization it does not represent, as some have hastily concluded, a mere desire to minister to selfishness. The New York Chamber of Commerce is not made up of men merely animated with a purpose to get the better of each other. It is something far more important than a sordid desire for gain. It could not successively succeed on that basis. It is dominated by a more worthy impulse; it rests on a higher law. True business represents the mutual organized effort of society to minister to the economic requirements of civilization. It is an effort by which men provide for the material needs of each other. While it is not an end in itself, it is the important means for the attainment of a supreme end. It rests squarely on the law of service. It has for its main reliance truth and faith and justice. In its larger sense it is one of the greatest contributing forces to the moral and spiritual advancement of the race.

Blog author: dpahman
Friday, December 13, 2013
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Today at Ethika Politika, I look at the busyness of the Advent season through the lens of Orthodox Christian asceticism in my essay, “Busyness and Askesis: An Advent Reflection.”

The Advent season in the United States is typically ransacked by shopping, parties, visits with family, and the like. Perhaps worst of all, it can seem impossible to avoid the bombardment of holiday and Christmas-themed advertisement. People work overtime in order to earn a little extra to buy gifts for friends and family (and themselves). The ethos of the season can seem to be emite et labora, buy and work. Nevertheless, I would hesitate to affirm the understandably natural, knee-jerk condemnation of busyness as such.

Drawing upon the story of “difficult Father Nathaniel” from the recent Russian bestseller, Everyday Saints and Other Stories by Archimandrite Tikhon, I describe how, though busyness can be a spiritual distraction, “sometimes busyness itself can be askesis.”

I write,

Busyness can be the adversary of Advent, but it need not be. Instead, the Advent season can be a time for us to examine and practice how our busyness itself can be transfigured by the life of the Church, how our worldly work also may be liturgical labor, how when transfigured by the kingdom of God our busyness can also serve the common good.

The story of difficult Father Nathaniel, however, is worth visiting in further detail here as well. Hand in hand with complaints about the busyness of the season come complaints about the business of the season. (more…)

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Several months ago, in the wake of Detroit’s bankruptcy and the flurry of discussions surrounding it, Chris Horst and I co-wrote a post on how Christians mustn’t forget or neglect the role of business in our attempts to rebuild, restore, and reinvigorate failing cities.

In the latest issue of The City, we return to the topic, expanding a bit more on what exactly businesses contribute — materially, socially, and spiritually — and how Christians might adjust their imaginations in response. If a city’s economic future is driven in large part by entrepreneurialism, high levels of human capital, clustering of skilled workers and industries, or in the case of North Dakota’s Bakken region, bountiful natural resources, what role should the People of God play therein?

Of  course, churches musn’t pretend to be economic chess players — surveying cities and placing pawns accordingly — but certain economic drivers and actions are bound to influence the way our witness ultimately takes shape. What do we miss if we ignore such factors? (more…)

Mary Ann Glendon makes an excellent point about the outcry for more corporate responsibility while government is simultaneously stripping away the rights of religious conscience of businesses. In The Boston Globe, Glendon notes,

The simple truth is that if we want businesses, incorporated or not, to be responsible for their actions, they must be treated as having some moral agency. And with moral agency and accountability must go the freedom to act in accordance with conscience.

The push to ghettoize freedom of religion solely into the houses of worship is of course a disturbing trend. When the religious rights of civil society are pushed aside and made subservient to the state, we get not the church serving as conscience, but the state ruling tyrannically over man. “Once religion is reduced to nothing more than privatized conscience, the public square has only two actors in it—the state and the individual,” says Richard John Neuhaus.

Read the entire article.