In a new book, The Good Rich and What They Cost Us, Robert Dalzell Jr. aims to address “a great paradox at the core of the American Dream: a passionate belief in the principles of democracy combined with an equally passionate celebration of wealth.”

In a review for the Wall Street Journal, Amity Shlaes notes that although the book provides an in-depth look at the history of American philanthropy, the author’s own personal prescriptions lend too high a trust to government redistribution:

“The Good Rich” starts out like a tour through a portrait gallery, describing rather than judging. For much of his narrative, Mr. Dalzell refrains from giving his own opinion explicitly and reports merely that the rich have often blamed themselves for their lapses or oversize good fortune, or that their peers did.

Toward the book’s end, though, Mr. Dalzell drops his own screen, putting forward a familiar argument: that democracy suffers unless wealth and philanthropy are redistributed to reduce economic inequality. Even the “good rich” cost us: They don’t give wisely, Mr. Dalzell contends, spending too much on “elite institutions like Harvard, Yale, MIT and Princeton, which seems unlikely to reduce the income gap by much.” …For the sake of the public good, then, the rich must fashion better charity projects while handing over more of their money to the government.

Such philanthropic efforts deserve to be thoroughly examined. Likewise, from the poorest of us to the wealthiest, we should be energetic in examining our own activities, using discernment and wisdom in how we use our resources. But as Shlaes indicates, if it’s difficult for we individuals to wrestle with these deep questions about stewardship — particularly when we’re calling on the Divine for wisdom, as many philanthropists under Dalzell’s microscope claim to have done — how much more difficult will it be for a bloated government machine to utilize proper discernment? Read more on Amity Shlaes on ‘The Good Rich’ and the Folly of Philanthropy…

Over at Thought Life, Owen Strachan uses David Platt’s book, Radical Together, as a launching pad for asking, “Are you and I making and using money as if there is no such thing as the work of the gospel?”

Read more on David Platt, Wealth, and the Work of the Gospel…

King Solomon, the original “1%”

Last Thursday, NPR ran an interesting piece by Alan Greenblat that featured the perspective of several of the nation’s rich (read: annual household income over $250,000) in relation to President Obama’s determination that the Bush era tax increases end for the nation’s rich as part of any deal related to the looming “fiscal cliff.” The article features a variety of perspectives, but I would like to reflect upon one particular section of that article here. Greenblat writes,

[Mark] Anderson recognizes that the kind of tax increases Obama proposes aren’t going to impinge on his life materially, and he supports them philosophically. But he adds that he thinks Obama and other Democrats make being rich “sound like a bad thing,” which he says is a mistake.

The top 2 percent of earners already pay 35 percent of all federal taxes, according to the Tax Policy Center. In terms of personal income taxes, the top 1 percent alone pay 37.4 percent of total receipts, according to the Tax Foundation — double the share they paid back in 1979. [Edward] Kfoury, who is president of a land trust in Maine, points out that there are years when his personal tax bill has run into seven figures.

“What would make me feel a lot better is if I heard the president say, ‘I want to thank the rich people who, because of our progressive tax system, pay the most — but we don’t have enough money, so we’re asking the wealthy people to help the country out by paying more than their fair share,’ ” says Martin Krall, a 71-year-old “semi-retired” attorney and media executive who lives in Palm Beach Gardens, Fla.

“Instead, you’re made to feel like you’re a bad guy,” Krall says. “People resent the notion that somehow they’ve done something wrong by becoming successful.”

Joe Carter recently examined why soaking the rich won’t fix the deficit, so I will not explore that question here. Instead, I would like to focus on the issue of human dignity, political rhetoric, and an ancient Christian perspective on wealth. Read more on Wealth and Political Rhetoric in Ancient Christian Perspective…

Bill Gates, easily one of the richest men in the world, recently talked about his wealth and his children’s inheritance, philanthropy and taxes in an article in the the UK’s The Telegraph.

Read more on Bill Gates: ‘Capitalism has worked phenomenally’…

Forbes recently ran a profile of Christian billionaire and Hobby Lobby CEO David Green. According to Forbes, Green is “the largest evangelical benefactor in the world,” giving “at upwards of $500 million” over the course of his life, primarily to Christian ministries.

Yet, for Green, his strong Christian beliefs don’t just apply to how he spends his wealth; they’re integral to how it’s createdin the first place:

Hobby Lobby remains a Christian company in every sense. It runs ads on Christmas and Easter in the local paper of each town where there’s a store, often asserting the religious foundation of America. Stores are closed on Sundays, forgoing revenue to give employees time to worship. The company keeps four chaplains on the payroll and offers a free health clinic for staff at the headquarters–although not for everything; it’s suing the federal government to stop the mandate to cover emergency contraception through health insurance. Green has raised the minimum wage for full-time employees a dollar each year since 2009–bringing it up to $13 an hour–and doesn’t expect to slow down. From his perspective, it’s only natural: “God tells us to go forth into the world and teach the Gospel to every creature. He doesn’t say skim from your employees to do that.”

Economists have increasingly recognized the ways in which healthy stewardship and property rights are linked—how increased ownership leads individuals to weigh costs and benefits more thoughtfully and effectively. Green’s comments add a slight twist to this approach, calling Christians in particular to reconsider who the “owner” actually is and how we might weigh particular costs/benefits and subsequent action accordingly:
Read more on Hobby Lobby’s Billionaire CEO Says ‘God Owns It’…

For Christians giving is not about equations and intensives, says Peter Heslam, it’s about a spontaneous response to the grace of a lavishly generous God:
Read more on Loving God Should Liberate Generosity…

Peter Cook (center) with fellowship recipients Bo Helmlich (right) and Adam Co at Acton’s 1999 Annual Dinner.

In the main hallway of the Acton Institute hangs a large plaque. The plaque carries the names of the most exceptional students to grace Acton’s Toward a Free and Virtuous Society conferences from 1994 forward. These students, named as Cook Fellows for their outstanding promise and engaged participation, share a connection to the great businessman and philanthropist, Peter Cook. Over the 20 years of the Acton Institute, Mr. Cook sponsored more than 200 students to attend Acton programs, equipping them to articulate and defend the value of a free and virtuous society.

Read more on Peter Cook: A Champion of the Free and Virtuous Society…

Acton Institute Honors Richard M. DeVos with Faith and Freedom Award

GRAND RAPIDS, Mich. (Sept. 2, 2010) – Richard M. DeVos will receive Acton Institute’s Faith and Freedom Award in October for his remarkable accomplishments in business, American cultural life and philanthropy.

Read more on News: DeVos to Receive Faith and Freedom Award…

This week’s Acton commentary looks at the trend by many in the charitable sector to become increasingly reliant on government support. Sign up for the free, weekly Acton News & Commentary newsletter in the form here (right hand sidebar).
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The independence of American charities has steadily eroded in recent years as more philanthropic institutions have come to see their mission as one of partnership or collaboration with the government. That’s a nice way of saying, “seeking government dough.” Now, in the throes of a severe economic crisis and budget cutbacks at state and local levels, many charities are in a panic about reduced levels of funding. Anyone with eyes to see could have seen this coming.

A recent report in The Chronicle of Philanthropy spoke of a California budget crisis where “charities there are braced for steep cuts to social services and health care.” In Chicago, one manager of a children’s home said, “We’ve never seen the likes of this.”

The growing dependence of many charities on government support has been accelerated by the federal government’s funding, over several recent administrations, of charitable organizations for managing various social service programs. This funding, its supporters argue, gives private initiative the resources it needs to accomplish good works — with a little extra help from the government. But at what cost? Read more on Philanthropy Cannot Serve Two Masters…

In a Wall Street Journal article titled “The Great Philanthropy Takeover” Arkansas based writer David Sanders reports on a recent conference of the nationwide Council of Foundations in his home state. Sanders’ article aligns with Michael Miller’s blog of July 30 “Healthcare – Don’t Forget The Morality Of It” and deserves your attention because of the author’s conclusion that the Obama administration “is beginning to nationalize another sector of the American economy.”

Read more on Greeks Bearing Gifts…