Posts tagged with: centesimus annus

Rev. Robert A. Sirico, president and co-founder of the Acton Institute, published a new column today in the Detroit News:

‘Social Justice’ is a complex concept

Rev. Robert Sirico: Faith and Policy

A column by Anthony M. Stevens-Arroyo, a Catholic writer for the Washington Post, makes the claim that “Catholic social justice demands a redistribution of wealth.” He went on to say that “there can be no disagreement” that unions, the government and private charities should all have a role in fighting a trend that has “concentrated” money into the hands of the few. In this conjecture Stevens-Arroyo confused the ends with potential means.

What Stevens-Arroyo is promoting is an attenuated and truncated vision of “social justice” that has fostered a great deal of injustice throughout the world. This path, he should know, has been decisively repudiated by the Church.

He also betrays a strange split in thinking common to those on the religious left, who are quick to denounce the profit motive and commercialism. Yet, they seem to think that the key to happiness is giving people more stuff — by enlisting the coercive power of government. This perverse way of thinking holds that “social justice” demands that we take money from those who have earned it and give it to those who have less of it. That’s not social justice; that’s materialism.

A friend and colleague, Arthur Brooks, a social researcher who is now president of the American Enterprise Institute, has shown that what makes people truly happy is a system that “facilitates earned success among its citizens and does not create disincentives to achieve or squash ambition.” That’s the market economy.

The incredible growth of economies in places like China and India isn’t happening because wealth was being shifted around, but because wealth is being created.

What happens when wealth is “redistributed” is obvious now.

We’re seeing the train wreck of the “social assistance state” in Europe.

In his 1991 social encyclical “Centesimus Annus,” Pope John Paul II warned that a bloated state “leads to a loss of human energies and an inordinate increase in public agencies, which are dominated more by bureaucratic ways of thinking than by concerns for serving their clients, and which are accompanied by an enormous increase in spending.” I call that prophetic.

Let’s also be clear that the Church’s teaching condemns the idolatry of money and material goods.

The Church finds another way, neither condemning market activities nor exalting them beyond their rightful place in the grand scheme of things. It asks us to work for the highest good and to contribute as we can our time, talents and wealth that we have earned for the betterment of the world. The Church also demands that we build just systems of trade that enable the poor to be the agents of their own betterment.

So let’s drop these false notions about what constitutes the Church’s understanding of social justice.

A system that pits the haves against the have-nots, with politicians and bureaucrats acting as referees, should be rejected by anyone sincerely interested in building a just social order.

I’ve issued a call for publication for a special issue of the Journal of Markets & Morality to appear in the Fall of 2011 (14.2). The details are below, and you can download and circulate a PDF as well.

Call for Publication: Modern Christian Social Thought

In recognition of a number of significant anniversaries occurring this year, the Journal of Markets & Morality invites submissions for a special theme issue, “Modern Christian Social Thought” (vol. 14, no. 2). The year 2011 marks the 120th anniversary of Rerum Novarum, the encyclical from Leo XIII in 1891 that inaugurated the subsequent social encyclical tradition. 2011 also marks the 20th anniversary of John Paul II’s encyclical Centesimus Annus, which was promulgated at the centenary of Rerum Novarum.

This year is also the 120th anniversary of the First Social Congress in Amsterdam, which has become well-known as a representative of the trend of European social congresses in the last half of the nineteenth and early decades of the twentieth centuries. Abraham Kuyper, the noted Dutch theologian and statesmen, gave the opening address at this First Social Congress, a speech that set the tone for addressing the “social question” in light of Christian ethical reflection.

In recognition of these important events and their bearing for the course of Christian social thought over the last century and beyond, the journal welcomes submissions focusing on aspects of social thought in the various traditions, both within the Reformed or Roman Catholic tradition as well as in comparative and constructive dialogue between the two. This issue will include a new translation of a selection by Abraham Kuyper. The journal also welcomes proposals for translation other important sources related to the issue’s theme that have not been widely available previously in English. We also welcome submissions focusing on social thought in other Christian traditions, particularly Lutheran and Eastern Orthodox, in the modern era (from roughly 1850 to today).

The special theme issue, “Modern Christian Social Thought,” will appear in the Fall of 2011, and article submissions must be received by August 1, 2011, in order to proceed through the review process in a timely manner.

Queries are welcomed, as are submissions by international scholars and graduate students.

Please direct all correspondence and submissions to:

Jordan J. Ballor
Executive Editor
Journal of Markets & Morality

About the journal:

The Journal of Markets & Morality is a peer-reviewed academic journal published twice a year–in the Spring and Fall. The journal promotes intellectual exploration of the relationship between economics and morality from both social science and theological perspectives. It seeks to bring together theologians, philosophers, economists, and other scholars for dialogue concerning the morality of the marketplace.

Submission guidelines, subscription information, and digital archives are available at:

I’m currently in Lisbon ahead of Acton’s fourth conference in the seven-part series Poverty, Entrepreneurship, and Integral Development. Entitled “Catholic Social Teaching, Free Enterprise, and Poverty”, it will take place on Tuesday, November 9 at the Catholic University of Portugal. Click here for more information or if you happen to be in the Lisbon area and want to join us.

Tuesday’s conference was designed to focus on the Portuguese-speaking world, primarily because of its inter-continental scope and close connection to the Catholic faith, and to discuss the challenges posed by extreme poverty in developing countries and what can be done to address them. As often happens with our conferences, the reality of current events has a way of stressing the importance of principles that support a free and virtuous society.

I was still reeling from the news that the U.S. Federal Reserve will print $600 billion of new money upon my arrival yesterday when I read that the Portuguese prime minister criticized “speculative movements” for the country’s high bond yields.

Later in the day, I learned of the recent election of the left-wing Dilma Rousseff in Brazil, and her desires to continue her predecessor Lula’s economic reforms towards an environment of inflation targeting and broad fiscal responsibility. Rather surprising coming from a former guerilla fighter whose tendencies should be to distrust markets and increase the size and scope of the state.

And finally, the United Nations published its 2010 Human Development Report, which shows that developing countries have become much wealthier and healthier in the last 40 years, which not coincidentally is more or less when many of these countries have opened themselves up to the benefits of free markets, both domestically and internationally. The UNDP report’s central thesis that “people are the real wealth of a nation” echoes, of course, Pope John Paul II’s 1991 social encyclical Centesimus Annus and its proclamation that “man’s greatest resource is man himself” (n. 32).

What current events such as these are telling me is that while poorer countries have adopted free markets in order to improve the living conditions of their people, it is the developed world that has forgotten the lessons of wealth creation and free enterprise. The former colonials now have much to teach their former masters! Quite a remarkable shift that, in my mind, looks poised to stand for some time to come.

These and other delicious ironies of the day will certainly make for a stimulating event on Tuesday.

A new Detroit News column by Acton Institute President and co-founder Rev. Robert A. Sirico:

Tea party must define ideas

By Father Robert Sirico

If the recent analysis by the New York Times on the success of the tea party movement is correct, the influence of this movement favoring limited government and low levels of taxation may have a decided impact in the upcoming elections, particularly in holding the Republican leadership’s feet to the fire on a variety of related issues.

The influence and more especially the authenticity of the tea party movement also is being debated in religious circles where some writers have expressed a skepticism as to how the evident religious sentiments expressed by many (but not all) tea party activists can be compatible with the undeniable Christian obligation to tend to the needs of “the least of these my brethren.”

Stephen Schneck, director of the Institute for Policy Research and Catholic Studies at The Catholic University of America, said in critique of the tea party approach, “Much as we might like otherwise, the Catholic argument is that government and citizen are equally expected to be our brother’s keeper.”

One of the leaders of the evangelical left, Jim Wallis, renders what I think is a wholly inaccurate image of tea party folks when he says, “When government regulation is the enemy, the market is set free to pursue its own self-interest without regard for public safety, the common good, and the protection of the environment — which Christians regard as God’s creation. Libertarians seem to believe in the myth of the sinless market and that the self-interest of business owners or corporations will serve the interests of society; and if they don’t, it’s not government’s role to correct it.”

From my conversations with numerous supporters of the tea party movement from around the country, these comments fail to grasp the essential point of what this movement is about, and why religious people are attracted to it.

I have no doubt there are people on the fringes of the tea party movement who hate government. Most of these, however, I would suggest hate government the way most of us “hate” the dentist — that is, we are not in favor of abolishing dentistry; we just want to make sure it hurts as little as possible and does not do permanent damage.

It is not that tea party folk believe in “the myth of the sinless market.”

It is that they, and most believers, indeed most Americans, believe that politicians and bureaucrats are not immaculately conceived and require limits to their interventions.

And so we come to what may be the real deficiency of this popular movement — it has yet to define a set of clear principles that permit it to consistently outline its view of society and the proper role of the state.

Such a set of principles exists within both the Roman Catholic and Reformed Protestant traditions and are known respectively as subsidiarity and sphere sovereignty. Each term in different yet complementary ways states that needs are best met at the most local level of their existence and that higher orders of social organization (that is, mediating institutions and the public sector) may only temporarily intervene into lower spheres of social organization in moments of great crisis. This intervention by higher authorities should happen to assist, not replace, local relationships.

In his monumental encyclical “The Hundredth Year” Pope John Paul II outlined the principle of subsidiarity and demonstrated an understanding of the reaction that can occur in the social sphere when the limits of the state are not clearly maintained. Although written almost a decade ago, his cautions and observations could have been penned today:

By intervening directly and depriving society of its responsibility, the Social Assistance State leads to a loss of human energies and an inordinate increase of public agencies, which are dominated more by bureaucratic ways of thinking than by concern for serving their clients, and which are accompanied by an enormous increase in spending. In fact, it would appear that needs are best understood and satisfied by people who are closest to them and who act as neighbors to those in need. It should be added that certain kinds of demands often call for a response which is not simply material but which is capable of perceiving the deeper human need. One thinks of the condition of refugees, immigrants, the elderly, the sick, and all those in circumstances which call for assistance, such as drug abusers: all these people can be helped effectively only by those who offer them genuine fraternal support, in addition to the necessary care.

When in Krakow, Poland, for Acton’s recent conference, I was interviewed by journalist Dominik Jaskulski for the news organization Fronda. Dominik has kindly allowed us to publish excerpts from his translation of the interview.

Father Sirico, tell us why your conference, organized with the Foundation PAFERE, is important for Poland.

Today, many people in the world are in a situation of transition. If you do not respond well in such conditions, you may see a repeat episode where – as you had here in Poland — people turned to socialist and communist ideas. I think it’s very important that people understand what culture is and how dynamic it is. With the foundation of a moral framework, it is much easier to choose the proper path of development. In that framework, we want above all to respect the dignity of the human person.

In Poland, we often see a discrepancy between the views of younger people and their elders about the nature of the transformation that occurred. Older people often talk about the loss of state benefits.

It’s quite funny, because less than 20 years ago, when I first came here, I gave an interview in which I was asked about how I thought things would go in the next few years. I said something like this: When the Israelites were leaving Egypt, it took them 40 years to arrive at the Promised Land. That’s mainly because Egypt was still in their hearts. In the Bible, the Israelites constantly asked, “Where is the land of milk and honey? When we were in Egypt, at least we had the dates and other food.” It took a whole generation to accept the changes that occurred.

What about unemployment? Under communism, we all had jobs. Currently, unemployment exceeds 10 percent. A few years ago it was even 20 percent.

Well, I think what the case was in the past in Poland is that everyone seemed to have a job. Authentic work, in which everyone is responsible for that work and understands its purpose, is productive. Many people were employed in Poland, which was not free, but many of these workers had no purpose and were unproductive. And, at the end, it led to massive poverty. Poverty, not wealth, was socialized. If we could measure the level of satisfaction and happiness then and now in Poland, I would be surprised if it isn’t now much higher. Yet it is true that some people find themselves in a difficult situation during the transition. We will discuss this during the conference.

Economics, as we know, has its cultural consequences, just as culture has economic implications. How you assess economic and cultural changes in Poland?

I must say that from all countries historically affected by communism, Poland and the Czech Republic were the most successful in their transformation. In Poland, largely thanks to the Church, the local culture remained intact. Of course, questions about the transformation continue to occur. This indeed was a dramatic shift because this country escaped one of the most horrific, depraved systems in human history. There is a cost, which we had to go through. We just have to understand that this transformation brings together a number of costs. (more…) recently asked me to comment on statements made by Ettore Gotti Tedeschi, president of the Vatican bank, about the economic effects of demographic decline in Western industrialized countries. Tedeschi told the Zenit news service that the “true cause” of the financial crisis is the low birth rate in these countries.

“Instead of stimulating families and society to again believe in the future and have children […] we have stopped having children and have created a situation, a negative economic context decrease,” Gotti Tedeschi observed. “And decrease means greater austerity.”

“With the decline in births,” he explained, “there are fewer young people that productively enter the working world. And there are many more elderly people that leave the system of production and become a cost for the collective.

“In practice the fixed costs of this economic and social structure increase. How dramatically they increase depends on how evidently unbalanced the structure of the population is and how much wealth it has. The fixed costs however increase: The costs of health increase and the social costs increase.”

This is from reporter Peter J. Smith’s article on

Sirico explained that the Vatican economist’s view opposes that of population control groups, who subscribe to a different vision of economic activity: what he called a Marxist or “redistributivist” paradigm: “If there is a pie and there are more people added to the pie then there is more poverty.” But the reality, Sirico says is that “the pie is dynamic.”

“Mr. Tedeschi is saying is that: no, the human person is himself creative. Human beings are not mouths that consume, but minds that produce,” he said. Sirico added that John Paul II hit on this very point in his social encyclical Centesimus Annus, when he wrote that “Man is man’s greatest resource.”

Because human beings are also creative producers, the excess of what they produce becomes the basis for trade in the economy, and the creation of wealth, said Sirico. Contrary to population controllers obsessed with overpopulation, he noted, it is incredibly population dense cities like Tokyo and Hong Kong that are incredibly rich, while sparsely populated areas of the globe such as Angola are comparatively very poor.

Read “President of the Vatican Bank: Zero Population Growth Responsible for World-wide Recession” on

Blog author: jballor
Monday, August 17, 2009

I don’t much like the term Calvinism. I think it is historically unhelpful, and in general prefer to use something like Reformed theology or speak about the Reformed confessions, depending on the particular context.

And I don’t much like the term capitalism, preferring instead to discuss the market economy, or perhaps, in light of the results below, free enterprise.

But while popular and intellectual usage certainly prefers the use of the former term (even if it often is caricatured or has negative connotations), it doesn’t look like the public responds too well to the latter. The U.S. Chamber of Commerce has launched a multi-year publicity campaign, but won’t be using terms like capitalism or protectionism.

BusinessWeek reports (HT: First Thoughts via The Corner) that the Chamber did some study of how particular terms are received by the public, and the results of the focus groups showed that, as Chamber spokeswoman Tita Freeman puts it, “‘Capitalism’ was universally problematic,” and was often associated with greed and oppression.

It’s true of course that particular words and terms shouldn’t simply be ceded because of potentially negative public regard. It may be that capitalism isn’t an irredeemable term (although many would contend it is an irredeemable system!).

One of Sam Gregg‘s favorite paragraphs from the encyclical Centesimus Annus discusses this terminological issue. Paragraph 42 reads, in part,

Returning now to the initial question: can it perhaps be said that, after the failure of Communism, capitalism is the victorious social system, and that capitalism should be the goal of the countries now making efforts to rebuild their economy and society? Is this the model which ought to be proposed to the countries of the Third World which are searching for the path to true economic and civil progress?

The answer is obviously complex. If by “capitalism” is meant an economic system which recognizes the fundamental and positive role of business, the market, private property and the resulting responsibility for the means of production, as well as free human creativity in the economic sector, then the answer is certainly in the affirmative, even though it would perhaps be more appropriate to speak of a “business economy”, “market economy” or simply “free economy”. But if by “capitalism” is meant a system in which freedom in the economic sector is not circumscribed within a strong juridical framework which places it at the service of human freedom in its totality, and which sees it as a particular aspect of that freedom, the core of which is ethical and religious, then the reply is certainly negative.

Public relations campaigns aren’t typically the place where nuanced terminological arguments can be made. And so there’s some strong rhetorical support for the Chamber’s decision to talk about free enterprise rather than capitalism, but this may also reflect some deeper wisdom about the usefulness of particular terms.