Posts tagged with: poverty

In this week’s Acton Commentary, I discuss whether the Environmental Protection Agency’s planned regulation of carbon emissions can be justified from a Christian perspective.  The EPA has found that carbon emissions endanger “public health and welfare,” and it is on track to begin regulating vehicle and power plant emissions.

Environmentalists claim that policies targeting carbon emissions, such as EPA regulation or a cap-and-trade program, will stimulate the economy by creating green jobs.  Unfortunately, this is not the case – the government does not have the ability to create jobs.

Rather than stimulating the American economy, full regulation of carbon emissions will damage it severely.  Essentially, a cap or a regulatory burden on carbon emissions would create energy scarcity, making it just as expensive to purchase energy from fossil fuels as it is to purchase energy from “renewable” sources.  The supply of efficient energy would drop in order to encourage production and consumption of inefficient energy, and prices would skyrocket as a result.

Barack Obama himself admitted, as a presidential candidate, that rising energy prices form a crucial component of emissions regulation.

It’s not just energy prices that will rise.  Prices for virtually all other goods and services will rise as well, because it takes energy to produce them.  It takes energy to get a vegetable from a farmer’s field to your kitchen table.  It takes energy to plant the vegetable, cultivate it, harvest it, transport it, keep it fresh, sell it in a lighted grocery store, drive it from the grocery store to the house, and cook it.

If energy expenses increase at every stage of the vegetable’s journey, what will happen to the price of the vegetable?  It will rise.  And rising prices will have the worst impact on the poor.  Before Christians jump on the bandwagon of carbon politics, they would do well to think through not just the good intentions of climate policy, but the real-world consequences.

Read “In the ‘Green’ Economy, the Poor Pay More” on the Acton website.

On the new Reclaiming the Culture radio show, host Dolores Meehan recently interviewed Acton President Rev. Robert A. Sirico on the subject of “The Principle of Subsidiarity and the Service to the Poor.” Here’s how Meehan describes the show’s mission:

Bay Area Catholics are some of the strongest Catholics in the country. Reclaiming the Culture grew out of the desire to show that the Catholic Church in the Bay Area has the resources to confront the prevailing secular culture. Our purpose is to introduce great thinkers to listeners who may not have the opportunity to pursue an authentic, classical, Catholic education at, say, the Dominican School of Philosophy and Theology in Berkeley. We see this as a chance to share the wisdom of the Catholic Church, which is far greater than many people realize, and is easily up to the task of engaging the prevailing secular culture. We want to move beyond catechesis and apologetics, important as they are, and enter into the arena where faith meets reason.

Click on the audio player below and listen to the interview.

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In this week’s Acton Commentary, “Lutheran World Federation Misses the Mark on Work and Wealth,” I reflect on the recently concluded general assembly of the Lutheran World Federation, held in Stuttgart. The theme of the meeting was “Give us today our daily bread,” but as I note, the assembly’s discussion of hunger, poverty, and economics lacked the proper integration of the value, dignity, and importance of work.

As I contend, work is the regular means God has provided for the maintenance of our physical needs. And work that is connected to the larger human community becomes increasingly oriented toward the service of others and productive of civilization. Lester DeKoster defines civilization in just this way, as

goods and services to hand when we need them. There are countless workers, just like ourselves—including ourselves—whose work creates the harvest that provides each of us with far more than we could ever provide for ourselves.

These words come from DeKoster’s little classic, Work: The Meaning of Your Life—A Christian Perspective, newly available in an updated second edition.

The omission of considering work in relationship to the development of wealth, globalization, and civilization is endemic to the larger mainline ecumenical movement, which I examine in greater length in my book, Ecumenical Babel: Confusing Economic Ideology and the Church’s Social Witness. In that book I look especially at the outcome of the previous LWF gathering in 2004.

The trend observable in LWF recent history looks to continue unabated. The newly appointed LWF general secretary, Rev. Martin Junge of Chile, has the pursuit of “economic justice,” conceived largely of opposition to globalization, as a high priority. (Full story after the break).
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Blog author: jballor
Monday, July 26, 2010
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Bill Easterly has a brief reflection on the role of religion in global societies, a role that must be taken into account by development ‘experts.’ Speaking of his experience at an Anglican worship service in Ghana:

I think it’s something about how to understand people’s behavior, you need to understand how they see themselves. A good guess is that the people in the congregation this morning, in one of the poorest regions of Ghana, do NOT see themselves primarily as “poor” or “developing”, they see themselves as Christians. Another guess is that similar feelings about religious faith would apply to other Ghanaians in other religious services, like Muslims, Catholics, traditional religions, etc.)

Development efforts must take into account broader cultural, non-material concerns, and religion plays an enormous constitutive role in the formation of cultural worldviews. More important than how those in developed nations see those in the developing world is how those in the developing world see themselves. And as Easterly notes, most often they see themselves primarily as “Christian” or “Muslim” rather than “rich” or “poor.”

This week’s Acton Commentary. Benjamin B. Phillips is Assistant Professor of Systematic Theology at Southwestern Baptist Theological Seminary, Houston Campus. This commentary was based on an article in the Journal of Markets & Morality (Vol. 12, No. 2).

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Evangelicals and Global Warming

By Benjamin Phillips

Since 2005, evangelicals have divided into two roughly opposing camps over the question of anthropogenic global warming. Official statements of the Southern Baptist Convention through its resolution process, its Ethics and Religious Liberty Commission, and the Cornwall Alliance have typically rejected the theory of anthropogenic global warming and catastrophic climate change predictions. They assert that it is more likely that global warming will be moderate and have moderate or even helpful effects on the environment over all. They also argue that the reduction of carbon dioxide emissions is unlikely to have significant impact on global warming. These groups have focused primarily on the impact of climate-change policy on developing economies and the poor. On the other side, the Evangelical Environmental Network, through its Evangelical Climate Initiative and (as it seems) the SBECI have affirmed the existence and danger of anthropogenic global warming and have called for action to prevent it.

Despite conflict among evangelicals over the existence of anthropogenic global warming, there has been a great deal of consensus on the theological basis for addressing environmental degradation. Most evangelical statements appeal to the fact that God is the creator of the world as a basis for understanding the value of nonhuman creation, and many note that God is its owner. Virtually every evangelical statement on the environment and climate change acknowledges that God has commissioned humanity with the responsibility of stewardship/dominion over the earth and that the execution of this responsibility has been perverted by sin, with negative impact on the environment. Evangelicals have also, almost without exception, affirmed the responsibility of Christians to care for the poor as an important factor in considering environmental policy.

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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…)

This week’s commentary is from Victor V. Claar, an economist at Henderson State University and the author of a new Acton Institute monograph, Fair Trade? Its Prospects as a Poverty Solution. Follow his economics blog here.

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Poverty, Capital and Economic Freedom

By Victor V. Claar

When poor countries grow rich, it rarely has anything at all to do with how many mouths they have to feed or the abundance of natural resources. Instead, across the globe, poor countries of all sizes, climates, and endowments begin to grow rich as two key factors increase.

First, countries grow rich as their human capital improves. Human capital is the term economists use to describe the value that a country’s people possess through their accumulated experience and education. For example, there is little doubt that India’s recent growth explosion is due in large part to the education—including the knowledge of the English language—of its people.

Second, countries grow rich as they invest in and accumulate physical capital: the machines, tools, infrastructure, and other equipment that make the product of each hour of physical labor more valuable. That which both human capital and physical capital share is that they both transform the result of an hour of a person’s hard work into something of even greater value. As the value of an hour of labor rises, employers gladly pay higher hourly rates, knowing that their bottom lines will be the better for it.

If we want to be effective agents in aiding the poor, we should focus our efforts in directions leading to the enhanced value of an hour of labor. That is, we should help poor countries wisely grow their stocks of human and physical capital, all the while bearing in mind that markets and their prices send the best available signals regarding where our efforts can have the greatest impact. The newfound success of innovative micro lending efforts such as Kiva can help show us ways to effectively invest in the accumulation of physical capital by the global poor. Compassion International is a marvelous organization that works to further the education—the human capital—of poor children worldwide, with a financial accountability record above reproach. (more…)

From the Greek daily Kathimerini:

Witnesses said that protestors marching past the building ignored the bank employees’ cries for help and that a handful even shouted anti-capitalist slogans. [ … ] It took a statement from President Karolos Papoulias to best sum up Greece’s dire situation and the frustration that many people are feeling with the political system. “Our country has reached the edge of the abyss,” he said. “It is everybody’s responsibility that we do not take the step toward the drop. Responsibility is proved in action, not in words. History will judge us all.”

From columnist Alexis Papachelas, in the same paper:

Now we have an intelligentsia that is hooked on patron-client exchanges and mediocrity, and a political establishment whose biggest concern is keeping its piece of the pie safe. On the flipside of the same coin we have a culture of protest in which anything goes and which tries to justify every “accident,” like yesterday’s murder of three working people by a hooligan who flipped them the finger when he saw them choking on the smoke of his firebomb. Now that we have succeeded in running the country into the ground, it is time to either rise to the occasion or kneel to the developments. The deal with the IMF and the EU will bring a lot of pain to a lot of people who are not to blame for the situation. We can’t throw money at the problem because we have none.

George Will on the welfare state:

The chief beneficiaries of the welfare state ethos are the organized interests on whose behalf most government interference with the economy is undertaken. These interests receive the lion’s share of the subsidies which, drawn from general tax revenues or imposed by government-enforced restriction of competition, are our major means for redistributing wealth. As a result, the net effect of government manipulation of the economy is negative for the poor. That is, one clear result of the expansive activism of our expanded government is a lower living stand for the poor.

In another Acton Commentary this week, Research Director Samuel Gregg looked at Catholic dissenter Fr. Hans Küng, who recently published an “open letter” broadside directed at the Vatican. Küng’s letter includes the now discredited Malthusian warning about global overpopulation (see video above). The letter, writes Samuel Gregg, “shows just how much he remains an unreconstructed creature of the 1960s.”

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Hans Küng’s Malthusian Moment

By Samuel Gregg

In April, the world received yet another global missive from the 82-year-old Swiss theologian, Fr. Hans Küng. Perhaps the world’s most famous Catholic dissenter from Catholic teaching, Fr. Küng’s “open letter” to the world’s Catholic bishops contained his usual critique of the papacy and his now-tediously familiar prescriptions for changing the Catholic Church.

Almost 31 years ago, Rome and Germany’s Catholic bishops stripped Küng of his license to teach as a Catholic theologian because, by Küng’s own admission, he does not believe in some central tenets of the Catholic faith. Some would say Rome’s action was merely an exercise in ensuring truth in advertizing. This has not stopped Küng, however, from continuing to exhort Catholicism to adopt the path followed by many mainline Protestant confessions in the West since the 1960s.

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James 1:27 states:

Religion that is pure and undefiled before God and the Father is this: to visit orphans and widows in their affliction, and to keep oneself unstained from the world.

Last week I had the chance to meet up again with Tom Davis, CEO of Children’s Hope Chest. Hope Chest works with orphans in various countries around the world including South Africa, Swaziland, and Russia. There mission is

to advocate a “community to community” partnership model. While many great organizations exist to provide individual sponsorship opportunities, we believe that holistic sustainable change in the poorest communities occurs when one community partners with another.

Tom is a great Christian man,father of 7, and a untiring advocate of the orphans around the world. He is also a prolific writer. You can visit his blog and look at his books here.

As a think tank, Acton spends a lot of time thinking about poverty and wealth creation. It was great to spend some time talking with Tom about his experiences in the developing world and his work with orphans and vulnerable women. As Tom says, a lot of evil things happen when there is extreme poverty. His work gives concrete examples of why wealth creation, rule of law, and an entrepreneurial culture that gives people the opportunity to unleash their creativity and make a better world for themselves and their families is so important.