Posts tagged with: Vatican

Back in 1983, economist Thomas Sowell wrote The Economics and Politics of Race, an in-depth look at how different ethnic and immigrant groups fared in different countries throughout human history. He noted that some groups, like the overseas Chinese, Japanese, and Jews, tended to thrive economically no matter where they went, bringing new skills to the countries that they arrived in and often achieving social acceptance even after facing considerable hatred and violence. Other groups, like the Irish and the Africans, tended to lag economically and found it difficult to become prosperous.

Sowell explained many of these differences by looking at the cultures both of the immigrant groups and of the dominant powers in the countries that they moved to. The Chinese, Japanese, and Jews, for example, valued work. They often arrived in countries with little more than the clothes on their backs, but they worked long and hard hours in menial labor and saved money scrupulously to make life better for their children. Even if they lacked social acceptance, they were allowed the freedom to develop their talents and contribute to the economic life of their new homes.

Irish and African cultures were never offered these opportunities. Ireland’s feuding lords had prevented hard work from being rewarded in Ireland, a situation that only got worse with British occupation. Sowell shows how Africans were similarly discouraged from working hard because slavery and the Jim Crow Era made it impossible for skills and effort to pay off in better standards of living. So long as hard work never paid off, there was no incentive for Irish or African cultures to emphasize entrepreneurship, and the members of these ethnic groups suffered from poverty rates much higher than those of other populations in the places they lived.

Fast forward to 2009. With many of the institutional barriers to the advancement of ethnic minorities gone from most countries, historically disadvantaged groups are catching up with the general population in economic terms. Pope Benedict revisited the theme of economics and culture in his encyclical Caritas in Veritate, coming to similar conclusions as Sowell does about the role that culture plays in the development of the human person. (more…)

Blog author: jcouretas
posted by on Thursday, July 9, 2009

A round up of commentary on the new encyclical was published yesterday on the Web site of Catholic World Report. CWR asked “a group of leading Catholic intellectuals to reflect on the encyclical, its place in the larger body of Catholic social teaching, and Pope Benedict’s vision of a well-ordered and just society.” Those who contributed included J. Brian Benestad, Francis J. Beckwith, Father Joseph Fessio, S.J., Richard Garnett, Thomas S. Hibbs, Paul Kengor, George Neumayr, Tracey Rowland, Father James V. Schall, and Rev. Robert A. Sirico. Here’s what Rev. Sirico had to say:

In the first social encyclical of his pontificate, Caritas in Veritate (“Charity in Truth”), Pope Benedict XVI insists on a close relationship between morality and the economy in order to promote a “holistic understanding and a new humanistic synthesis.” This new document is focused not on specific systems of economics but rather on areas of morality and the theological underpinnings of culture.

The background for this new encyclical is the global economic crisis that has taken place within a moral vacuum bare of truth and rampant with materialism. While the Pope does not offer any detailed analysis of the cause or solution to the crisis, he nonetheless urges that the crisis become “an opportunity for discernment, in which to shape a new vision for the future” (no. 21).

Never employing either the word “greed” or “capitalism” in the over 30,000 word document (despite some media hype), the crisis itself he attributes to “badly managed and largely speculative financial dealing” without naming the specific institutions that made this possible. The market, Benedict says, “is shaped by the cultural configurations which define it and give it direction. Economy and finance, as instruments, can be used badly when those at the helm are motivated by purely selfish ends.”

Those who prophesied that this would be Benedict’s opportunity to “overthrow” capitalism, or that conservatives would be “shocked and disappointed,” must themselves be rather sad today. While it is explicitly not the purpose of the document to offer strict structural models that nations should adopt (no. 9), the principle of subsidiarity—which prefers proximate and private action of the state—a preference for trade over government-to-government aid for developing countries, and a rightly understood globalization are all affirmed.

This is a complex and rich document that will require much study and thought in the years ahead. What is clear and non-negotiable from Benedict’s perspective is that to understand the challenges facing the world economy it is first necessary to understand the august nature of the human person who must always be at the center of economic decisions. Caritas in Veritate enables us to see, at a new depth, the way in which the whole of the human reality must be taken into consideration in order to construct social institutions worthy of man.

One of Pope Benedict XVI’s great emphases in his new social encyclical, Caritas in Veritate, is the idea of gift. A gift is something that we have received without earning. As the Pope wisely notes, “The human being is made for gift,” even though man is often “wrongly convinced that he is the sole author of himself, his life and society.”

The truth is that we are not the authors of our own lives. We did not earn or create the conditions that make our lives what they are. We did not merit our genetic code, and we are not worthy of the parents that we had growing up. Neither do we have ourselves to thank for our societies and the opportunities that they hold. To some degree, hard work, creativity, and self-cultivation can enable us to better ourselves and our lives. That this is even the case is not because of our own efforts, though. We are not the reason that merit can lead to success.

We live lives gifted to us in a world gifted to us by God. God is not random, and He has reasons for giving each of us the gifts that He has. We do not by any means know what those reasons are much of the time, but we can use our reason to search for them. Reason shows us that we as humans are social beings, meant to live in coexistence with one another and to seek the common good and the wellbeing of everyone. The gift of our lives and our own particular gifts are meant to benefit the whole of humanity and not just ourselves. As Caritas in Veritate puts it, gift “takes first place in our souls as a sign of God’s presence in us, a sign of what he expects from us.” Gift, then, is the basis for duty. We have not earned what we have and are or the world in which we live; therefore, we do not have license or entitlement over our gifts. We have duties to use them for the common good.

What, then, is the best way to organize society such that the gifts given to each are used for the benefit of all? One possibility is to empower a central authority to identify the gifts of each person, then to have that authority determine how we are to use our gifts. This is the totalitarian tendency, the desire for an authority to have total control over the resources gifted to persons and to all people. (more…)

Blog author: mcavedon
posted by on Wednesday, July 8, 2009

A number of journalists and some pundits on the religious left are aiming to own Caritas in Veritate, the new papal encyclical on economics. To them, the encyclical is a polemic against globalization and even the free market itself.

Jacqueline Salmon over at the Washington Post’s “On Faith” page, quotes Vincent Miller, a professor who characterizes the encyclical as a “trenchant critique of capitalism,” before she claims that Caritas in Veritate “places the usually conservative pontiff on the left as to economic issues.” Certainly, the Pope decried immoral profits and a lack of transparency in the business world. In making her point, though, Salmon conveniently ignored the sections of the encyclical that praised trade’s role in lifting “billions of people out of misery,” called globalization a “possibility of large-scale redistribution of wealth on a world-wide scale,” and warned about the dangers of the “all-encompassing welfare state.”

Matthew Boudway at “dotCommonweal,” the blog of Commonweal, similarly concludes that the Pope wants a more leftist approach to economics: “Justice through redistribution is a properly political concern… The market ‘needs to be directed.’” Boudway is not incorrect to say that the Pope expects the state to have the authority to redistribute wealth and to govern the economy. He fails to examine the principle of subsidiarity, though, which Caritas in Veritate reaffirms as essential to the political order. Decisions ought to be delegated to the smallest competent authority. One has to wonder if Boudway’s conception of justice is nearer to the Pope’s idea of governance seeking the common good in the economy, or to what the Pope warningly refers to as the “all-encompassing welfare state” that makes people dependent and unable to live up to their responsibilities. Making social security and public welfare efficient and personal, as well as protective, are balances that need to be struck, but that does not lead us to conclude that Caritas in Veritate justifies point-blank expansions of the current state assistance system.

Writing at “Opinion L.A.,” L.A. Times editor Michael McGough suggests that capitalist Catholics are little more than cafeteria Catholics because of their “discomfort” at the Church’s social doctrine. Not everyone over at Acton is Catholic, but we certainly don’t feel that our free market tendencies are out of touch with our faith lives. Indeed, we are eager to see how the Pope’s calls for transparency, accessibility, and opportunity in markets through reducing trade barriers, expanding micro-credit, and strengthening civil society will help the poor by advancing liberty. We are also hopeful that reminding the world again of the need for subsidiarity and investment rather than bureaucracy and government-to-government aid will help reduce the obstacles that the state can place in front of the poor.

Caritas in Veritate is about how to have a responsible globalization and development that serves moral ends and empowers everyone. It is also about putting morality at the forefront of every sphere of life, from bioethics to economics, and remembering that, when it comes to the world of finance, “it is not the instrument that must be called to account, but individuals, their moral conscience and their personal and social responsibility.”

Catholics who believe in economic freedom should see the new encyclical as an opportunity to highlight our ability to make markets work and to remember that freedom must always be undergirded by a morality aiming at the common good. We cannot allow the Left to reduce this document to just another political manifesto. It is far above that, as a statement of integral humanism, pervasive morality, and the need to ensure that the rules of society are just. It is a teaching document, not a partisan bludgeon.

Blog author: mcavedon
posted by on Wednesday, July 8, 2009

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.

Blog author: jcouretas
posted by on Friday, October 31, 2008

According to a report from the Zenit News Service, Cardinal Renato Martino, president of the Pontifical Council of Justice and Peace, recently insisted that the “logic” of the market be changed. He said that the logic “was till (sic) now that of maximum gain, and therefore the most investments possible directed toward obtaining maximum benefit. And this, according to the social doctrine of the Church, is immoral.” This is because, according to the Cardinal, the market “should be able to benefit not just those who invest capital, but those who participate in the step of making it grow, that is, those who work.”

Aside from the fact that some of the terms he used are too vague to make any judgment about, like “maximum benefit,” the economics in his statement would be more appropriate of a kid, rather than a Cardinal. So, let’s learn some economics.

Firstly, money has alternative uses. If I have some excess wealth, I am going to invest it in the things which give me the highest return. Why would I do this? Because, those projects which promise the highest return, taking risk into account, will produce the things that people want most, and hence will give me more “bang for the buck.” For example, would you invest your money in a carpentry business run by me? I wouldn’t—because I can’t hammer a nail. No wants a carpenter who does not know what he is doing. But would you invest in McDonald’s? Sure. Most everyone eats at McDonald’s, and kids especially love the place. And what do the people who patronize McDonald’s get out of it? They get a food for which they willingly and freely exchange money, and feel the better off for doing so, or they would not do it. And who supplies the food? The workers, in exchange for their discounted marginal revenue product. In other words, they exchange their time for the money equivalent of what they produce. Why are people paid different wages? They get different wages because their output is different. The work of the person who sweeps up, while necessary or he would not have been hired, is worth less than the work of the person who puts the burgers together. The burger guy’s work is not worth as much as the trained manager who is responsible for coordinating the whole operation. None of this would be possible without the people who ponied up the money in the first place expecting a high return for the money the usage of which they were willing to forgo. If this is immoral and against the social doctrine of the Church, then I am Santa Claus. If fact, to have an economy worthy of the name at all without this investment process would be worthy only of a figure like Santa Claus.

I have long argued in my writings that churchmen who have no real economic training or understanding prescind from making remarks like this which mislead the faithful, and portray the sui generis (self-generating) free market economy as an operation run from the top by a few greedy people constantly plotting to withhold wealth from the ordinary folks.

Lastly, the Cardinal remarks, “All of us should collaborate in the good of all.” This is exactly what the market does, except for those who are not able or refuse to participate in it, much of which is caused by political interference with the process, such as governments who punish provinces in Africa which are in rebellion and refuse to allow food supplies to reach the people in those provinces, or Western politicians who, in exchange for votes, have created generations of people addicted to government checks, rather than productive work and advancement.

I wonder what His Eminence thinks of government-imposed protective tariffs the purpose of which is to keep the goods of foreign workers from competing with domestic goods, in return for support from corporations and unions in the domestic industry. This prevents globalization—it prevents the wealth of the United States and other well-off countries from going to them for the products they work to produce.

Gee, Cardinal Martino, get a clue.

Read more from Dr. Luckey at “Catholic Truths on Economics.”

Blog author: michael.severance
posted by on Thursday, August 7, 2008

Pope John XXIII was once asked how many people worked for the Vatican. “About half” he humorously replied, alluding to a workforce not known for its speed and efficiency. Under the pontificates of John Paul II and especially Benedict XVI, however, the Vatican seems to have made some efforts to improve the delivery of various services.

Take for example this interview with the city-state’s head physician, Dr. Giovanni Rocchi, who boasts of minimal waiting periods for patients at Vatican-run health clinics and laboratories. Such medical services are provided to Vatican employees and residents, including the Swiss Guard, local security officials, and the thousands of daily visitors to the Vatican.

Emergency treatment, Dr. Rocchi says, is immediate and often relies on its own ambulance service to transport the injured and sick. Clinical test results are typically received within 2-3 days. Major medical interventions such as heart or back surgery are usually arranged within a maximum of 2-3 weeks upon diagnosis, which is nothing compared to the purgatory Italian citizens must endure in the country’s public health care system for similar and even very minor treatments.

The Vatican’s health care system is small-scale, offering limited medical services such as emergency first aid, clinical analyses, immunization, physical check-ups, with much of the routine care provided by general practitioners. Major medical surgery must be arranged through outsourced medical facilities found in Rome’s private religious hospitals, like the Fatebenefratelli hospital located on the Tiber Island or the Gemelli hospital, which cared for Pope John Paul II on several occasions. (more…)

Blog author: kjayabalan
posted by on Friday, July 25, 2008

In his weekly column, the National Catholic Reporter‘s John Allen notes Pope Benedict XVI’s references to the environment during the recent World Youth Day events in Australia.

Allen writes:

Although the point didn’t get much traction amid the pageantry of World Youth Day, it’s a striking fact that the most frequent social or cultural concern cited by Pope Benedict XVI in Australia was the environment. The pope talked about ecological themes seven times.

[snip]

If there was a distinctive twist to what the pope said in Australia, it was the need for reconfiguration of lifestyles, beyond and beneath policy questions. Repeatedly, Benedict warned against what he called the “folly of the consumerist mindset.”

One sign that somebody was paying attention: the Acton Institute, a Grand Rapids-based think tank with a pro-free market message, put out a press release rejecting impressions that the pope has “gone green” in the secular sense. Benedict wasn’t warning against a climate crisis, the Acton release stated, but a moral crisis.

Allen, the most reliable English-speaking journalist covering the Vatican during my time there, appears to have gotten this one wrong by misunderstanding the point of the Acton press release, which did in fact mention the Pope’s criticism of consumerism, but as a moral problem rather than an environmental one.

More seriously, Allen seems to misunderstand the Pope’s use of environmental issues. The Pope is not interested in the particular issues in themselves; rather he is more concerned with what our use or abuse of the rest of creation says about our relationship with God.

Whatever Benedict’s concerns for the environment may be, it is absolutely clear that he follows traditional Catholic doctrine by placing man at the center of all creation. Here is the key passage that follows the quotation cited by Allen from the World Youth Day welcoming address:

And there is more. What of man, the apex of God’s creation? Every day we encounter the genius of human achievement. From advances in medical sciences and the wise application of technology, to the creativity reflected in the arts, the quality and enjoyment of people’s lives in many ways are steadily rising. Among yourselves there is a readiness to take up the plentiful opportunities offered to you. Some of you excel in studies, sport, music, or dance and drama, others of you have a keen sense of social justice and ethics, and many of you take up service and voluntary work. All of us, young and old, have those moments when the innate goodness of the human person – perhaps glimpsed in the gesture of a little child or an adult’s readiness to forgive – fills us with profound joy and gratitude.

(more…)

In the July 14-15 Italian edition article of the Vatican newspaper L’Osservatore Romano, Luca M. Possati examines the crisis of the Italian university system. Where most secular intellectuals blame the Church for its suppression of “academic freedom,” it turns out the real culprit is the vast education and research bureaucracy propagated by the national government.

Possati notes how the different governments have tried to reform public administration in different sectors, but have failed miserably, only creating more public debt, inefficiency, and confusion. The recent university reform, known as the “Moratti reform,” began in the year 2000 and set out to improve Italy’s academic system with the two-cycle degree system of three years each also known as “3+2″. Alas, it only resulted in more obstacles for students and professors, especially those involved in post-graduate and scientific research.

While the article addresses the cause of the problem, it does not seem to offer any practical solutions, besides ending with a meek call for a more flexible labor market in the university. This is a shame, because Possati could have sought guidance from Catholic social teaching, especially the principle of subsidiarity, which would allow for greater decentralization, if not privatization, of the education system. Simply making it easier for the bureaucracy to grow will not solve anything; cutting the bureaucracy and reducing its incentives to grow get closer to the core issue.

To recognize just how big a mess the system is in, take as an example the University La Sapienza in Rome. With 147,000 students, the university is the largest in Europe and one of the oldest, founded by Pope Boniface VIII in 1303 (it’s no longer run by the Church but by the State, as readers will recall). It is also known for its high drop-out rates and endless wait lists and lines. A student can spend months trying to collect all the forms necessary to enroll. Others have to get up at 6am to get a seat for a 10am lesson. Some medical students even get their degrees without sitting through one anatomy lessons because they prefer to study at home.

As a result, the percentage of the Italian population with a university degree is quite low, just 11% of 25-44 year-olds have one. This kind of inefficiency also affects those with higher degrees, frustrating young researchers and forcing them to go abroad to continue their projects. This exodus obviously depresses Italian productivity and results in “brain drain” among the most talented and educated.

It should be no surprise that Catholic and private universities such as LUMSA and LUISS are better off because they govern themselves as small firms with a concern for the quality of their services. These universities have much lower drop-out rates and much more satisfied, education students as a result.

Greater decentralization and privatization of the Italian education system would disproportionately affect the very administrators who have created all the problems in the first place. It may not be a panacea, but it will be a first step in allowing teachers to teach, researchers to research, and students to learn without the ridiculous interference of power-hungry government officials.

Blog author: paola.fantini
posted by on Friday, June 20, 2008

On Tuesday the 17th Mons. Rino Fisichella was called by Pope Benedict XVI to succeed Mons. Elio Sgreccia as the head of the Pontifical Academy of Science, Social Sciences, Life. His Excellency was also raised to the title of archbishop while maintaining his role as Rector of the Pontifical Lateran University of Rome.

The Pontifical Academy for Science, Social Sciences, Life has as its scope: “to pay honor to pure science, wherever it is found, and to assure its freedom and to promote its research, which constitute the indispensable basis for progress in science.” It assures dialogue on bioethical issues while defending those primary moral values of the Church and its position on non-negotiable issues such as, research on stem cells, human embryos, cloning, euthanasia and other bioethical and scientific issues.

The position of the Church on bioethical issues is often incorrectly interpreted by secular academic circles as an obstacle to scientific research and progress. This is a common mistake that representatives of the scientific world easily run into and is usually dictated by ignorance of the purpose of the Church’s mission, which is to act for the preservation of human dignity and for the salvation of souls.

In Veritatis Splendor, one of many of Pope John Paul II ‘s encyclicals, there is a passage that clearly mentions how human knowledge cannot be sufficient to grant true freedom and truth to mankind:

the development of science and technology, this splendid testimony of human capacity for the understanding and for perseverance, does not free humanity from the obligation to ask ultimate religious questions. Rather, it spurs us to face the most painful and decisive struggles, those of the heart and of the moral conscience.

The Pope also underlines the role of Church in safeguarding man from relativism and from the false conviction that God’s law is a burden, a restriction to his freedom. It is quite the opposite, man is as much free as he can understand God’s teachings and accept his commands. Therefore, the Church, being the body of Christ, has the “duty in every age of examining the signs of the times and interpreting them in the light of Gospel, so that she can offer in a manner appropriate to each generation replies to the continual human questionings on the meaning of this life to come and how they are related.”

Archbishop Fisichella will certainly be able to face such a task, thanks to his excellent academic background and his personal concern for the promotion of human dignity. He is long time Acton friend and was an important speaker at two of the Centesimus Annus Conferences on May 4 2006 and on May 2 2007. During his participation at the Centesimus Annus Conferences, archbishop Fisichella recalled how the social teaching of the Church “consists in favoring, promoting and defending the central role of the dignity of the human person, of every person, of the entire person, of every individual without any exception.”

There is no choice to make because there is no opposition, there simply cannot be knowledge without truth, or scientific research without the raising of further questions or of new challenges that will require answers. These answers can be found in Christ, who is always present in the Church.