Recently the Acton Institute dedicated a resource page on its website to Pope Benedict XVI’s new social encyclical, Caritas in Veritate. The resource page contains blog posts and articles about Caritas in Veritate from policy experts and staff members from the Acton Institute. Furthermore the resource page will be updated with new content and provide an in-depth analysis on Caritas in Veritate.
Click here for the text of Pope Benedict’s new social encyclical, Caritas in Veritate, and keep checking back here at the Acton PowerBlog for more commentary.
Katherine Jean Lopez of National Review Online interviewed me about the new papal encyclical, Caritas in Veritate, shortly after its release this morning here in Rome:
LOPEZ: Obviously the topic of ethics and the economy resonates with people today. What can a Catholic take away from the new encyclical when it comes to his lost job, the stimulus, or government takeovers?
JAYABALAN: It’s hard to summarize such a long and complex document into a lesson or two, but I’ll try. First is the absolute importance of Truth to our understanding of charity, efficiency, and economics. For Catholics, this means the Church’s fundamental theological and moral teachings, which should be received as gifts rather than burdens, as difficult as they may seem to us. The Church’s theological understanding of charity and justice should make all Catholics feel responsible for each other and think and act accordingly. This is the real meaning of solidarity.
During the interview I was also asked about the importance of the encyclical to non-Catholics and what they can take away from it:
LOPEZ: What can the non-Catholic learn from the encyclical?
JAYABALAN: He doesn’t distinguish between Catholics and non-Catholics in the encyclical but calls all of us to broaden our use of reason beyond the merely technical or scientific. Benedict also recalls the limited nature of the state and its inability to provide the most important thing — love.
As Benedict argues in his previous encyclicals, as well as the current one, the state is no replacement for the family or the church: The state cannot love us — and it would be a scary thing even if it could.
Even where the state does have some responsibilities, it may obey the principle of subsidiarity — that is, let individuals, families, churches, businesses, and local communities handle their own problems first. This is the setting for the pope’s call for fraternity and a vibrant, diverse civil society.
The entire interview can be read at The Corner.
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…)
Only if there are new human beings will there be a new world, a renewed and better world.
When the Pope said these words at Vespers on Sunday, perhaps he had Bernie Madoff in mind.
Today, Madoff was sentenced to 150 years in prison for defrauding his investors of nearly $65 billion over the course of 20 years. His corruption and crimes ruined the livelihoods of thousands of businesspeople, charity workers, and families that trusted his sterling reputation to protect everything that they had worked to earn.
Unfortunately, Madoff is not the only man to have betrayed his financial responsibilities to others. The last few years saw financial scandals at Enron and WorldCom shake the public’s trust in corporations. Just two weeks ago, Texas billionaire R. Allen Stanford was arrested by the FBI on charges that he used a bank in Antigua to mask his $8 billion fraud, stealing from his investors.
When Pope Leo XIII published his encyclical Rerum Novarum in 1891, he wrote that “A small number of very rich men have been able to lay upon the teeming masses of the laboring poor a yoke little better than slavery itself.” The global economy has come a long way since then, with the rise of laws designed to fight white-collar crime, the expansion of opportunities for Third World entrepreneurship with the removal of tariffs, and the creation of enough wealth to eliminate most of the horrific working conditions of the Victorian Era. (more…)
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.
Pope Benedict’s visit to secular France and its reformist President Sarkozy has proved to be successful above all expectations, as reported by Vatican newspaper L’Osseservatore Romano. During his Paris homily, at the Esplanade des Invalides, the Holy Father encouraged the 250,000 faithful in attendance to turn to God and to reject false idols, such as money, thirst for material possessions and power.
In his homily the Pope referred to the teachings of Saint Paul to the early Christian communities in which the Apostle warned the ancients of idolatry and greed. The Pope explained how modern society has created its own idols just as the pagans had done in antiquity.
The Pope emphasized that these idols represent a “delusion” that distracts man from reality, that is, from his “true destiny” and “places him in a kingdom of mere appearances” as quoted in Zenit’s article. Benedict underlined that the Church’s condemnation of such idolatry is not, however, a condemnation of the individuals per se, but more so of the evil temptations themselves.
“In our judgments, we must never confuse the sin, which is unacceptable, with the sinner, the state of whose conscience we cannot judge and who, in any case, is always capable of conversion and forgiveness,” he said.
The Pope recognized that the path to God is not always easy, but through the Eucharist, he said, man understands that God “teaches us to shun idols, the illusions of our minds” and that “Christ is the sole and the true Saviour, the only one who points out to man the path to God.”
This does not mean that the Benedict condemns business, trade, all the positive economic phenomenon that allow for wealth and prosperity. But concerned for France’s extreme tendencies toward materialistic relativism, the Pope rightly pointed out how France cannot marginalize itself from religion.
Benedict’s sermon strongly underlined how every believer in the light of God should pursue his own vocation, which may include business or particular talent God has instilled in him.
Had it not been so, I doubt that secular and business orientated President Sarkozy would have ignored State protocol and met the religious leader on his arrival at the airport. The French President was eager to promote “a new dialogue” with the Church and to talk about the need of a “positive laicity” in Europe and its expanding economic unity.
In the July 24 edition of the Vatican newspaper L’Osservatore Romano , a couple of articles related how Italians are reading less than their European counterparts, with 62 percent of the population failing to read even a single book during the year. “Above all, reading increases innovative capabilities, the ability to understand phenomena and in the ultimate analysis, worker productivity,” said Federico Motta, president of the Italian association of publishers.
According to Motta’s article, only 31 percent of Italian 20-29 year-olds have a university degree, compared to 34 percent in Spain and 56 percent in the United Kingdom. This pattern mirrors the levels of unemployment among the young: 20.3 percent in Italy, 18 percent in Spain and 14 percent in the UK. By affecting educational levels and worker productivity, this lack of reading also results in less social mobility and opportunities for growth.
In human capital terms alone, the cost is evident, but there are even greater cultural ones. With the growth of television, cell phones, video games, the Internet, and iPods, it is no surprise that young Italians are not developing a taste for books, i.e., the ability to read, understand, and learn from greats such as Dante, Leopardi, and Manzoni.
And we can’t forget about the Book of Books. Can there be any hope for regaining the Christian roots of Europe without understanding the Bible? Here, at least, there is some reason for hope. The Italian Bishops Conference and in particular its National Catechism Office have promoted various initiatives that have successfully brought the Word of God to young people. Many Bible-study groups are also promoted by lay movements and parishes. This coming October, Pope Benedict XVI will launch a six-day reading of the entire Bible on Italian television, as the Vatican journalist John Allen has reported.
It will be interesting to see how the country reacts to such a public reminder of this lost treasure. Taking books seriously again will benefit Italy not only in terms of its economic productivity, but may also help rekindle its faith.