by CAPP-USA<\/span><\/h5>\n <\/p>\n
What is capitalism? Is it good? Is it bad?<\/strong><\/span><\/p>\nWhat does the Church say about this economic system?<\/span><\/p>\nDefine Capitalism<\/span><\/strong><\/span><\/span><\/h2>\n
Capitalism is an economic system in which private<\/strong>\u00a0actors own and control\u00a0property<\/strong> and the means of production while demand and supply freely set prices for goods and services.<\/span><\/span><\/p>\nCapitalism\u2019s intellectual basis was developed by Scottish economist and moral philosopher Adam Smith in his 1776 book \u201cAn Inquiry into the Nature and Causes of the Wealth of Nations\u201d.<\/span><\/p>\n\n![\"What](\"https:\/\/capp-usa.org\/wp-content\/uploads\/2021\/03\/stocks-trading-wall-street-investment-shares-economy-money-chart-technology.jpeg\")
<\/p>\n
What is capitalism?<\/p>\n<\/div>\n
Is Capitalism Bad?<\/span><\/strong><\/span><\/span><\/h2>\n
Capitalism,<\/strong> by its nature, is not evil<\/strong> and the Church endorses capitalism within clear limits.<\/span><\/span><\/p>\nHowever, “if by \u2018capitalism\u2019 is meant a system in which freedom in the economic sector is not circumscribed within a strong juridical framework<\/strong> 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.” (Pope St. John Paul II, 42)<\/a><\/span><\/p>\nPope Francis echoed this when he said that \u201ccreation of wealth must always be at the service\u00a0of the common good, and not only for the benefit of a few.\u201d\u00a0(Pope Francis, 3)<\/a> <\/span><\/p>\n\u201c[M]<\/strong>oney must serve, not rule\u201d.<\/strong>\u00a0(Pope Francis, 58)<\/a><\/span><\/p>\nCatholic Social Teaching points out an unreasonable \u201cconviction that the economy must be autonomous, that it must be shielded from \u2018influences\u2019 of a moral character, has led man to\u00a0abuse the economic process\u00a0in a thoroughly destructive way.\u201d\u00a0(Pope Benedict XVI, 34)<\/a><\/span><\/p>\nPope Francis forcefully denounced this abusive and selfish manifestation, calling it “intolerable”. It “has imposed the mentality of profit at any price<\/strong>, with no concern for social exclusion\u2026An unfettered pursuit of money rules. This is<\/strong> the \u2018dung of the devil\u2019<\/strong>.” (Address at the Second World Meeting of Popular Movements, 1)<\/a><\/span><\/p>\nCapitalism vs Socialism<\/span><\/strong><\/span><\/span><\/h2>\n
In some ways capitalism and socialism are both rejected by the Church \u2013 for the same reason!<\/span><\/span><\/p>\nIn unbridled form capitalism<\/strong> “denies an autonomous existence and value to morality, law, culture and religion,” and “agrees with Marxism<\/strong>\u2026it\u00a0totally reduces man to the sphere of economics and the satisfaction of material needs.\u201d (Pope St. John Paul II, 19)<\/a><\/span><\/p>\nWhat is socialism?<\/a><\/span><\/p>\n\n\u201c[I]n a seemingly paradoxical way, free and disinterested solidarity is the key to the smooth functioning of the global economy.\u201d (Pope Francis)<\/a>\u00a0<\/em><\/span><\/p>\n<\/blockquote>\nIs Capitalism Good?<\/span><\/strong><\/span><\/span><\/h2>\n
The Church understands that the right to private property is \u201cfundamental\u201d<\/strong> and a requirement \u201cfor the autonomy and development of the person.\u201d\u00a0(Pope St. John Paul II, 30)<\/a>\u00a0<\/span><\/span><\/p>\n\u201c[I]t is evident that this system [free markets] is not to be condemned in itself. And surely it is not of its own nature vicious.\u201d (Pope Pius XI, 101)<\/a><\/span><\/p>\nHowever, this ensues only if, \u201cby \u2018capitalism\u2019 is meant\u00a0an 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\u00a0free human creativity in the economic sector\u201d.\u00a0(Pope St. John Paul II, 42)<\/a>\u00a0<\/span><\/p>\nThe free economy has to be free \u2014 within limits<\/strong> and \u201crequires respect for the \u200buniversal destination of goods<\/strong>\u200b\u201d\u00a0(Catechism of the Catholic Church, 2401)<\/a> <\/span><\/p>\n\u201cOnce capital becomes an idol\u2026once greed for money presides over the entire socioeconomic system, it ruins society, it condemns and enslaves men and women, it destroys human fraternity, it sets people against one another\u201d. (Pope Francis, 1)<\/a> <\/span><\/p>\nGreed and Profit: A Dilemma?<\/span><\/strong><\/span><\/span><\/h2>\n
\u201cNaturally, profit is legitimate<\/strong> and, in just measure, necessary for economic development.\u201d\u00a0(Pope Benedict XVI)<\/a> <\/span><\/span><\/p>\n\u201cThe Church acknowledges\u00a0the legitimate role of profit as an indication that a business is functioning well…Profit is a regulator of the life of a business\u201d. (Pope St. John Paul II, 35)<\/a><\/span><\/p>\nHowever, \u201cthe purpose\u00a0of a business firm\u00a0<\/strong>is not simply to make a profit<\/b>\u201d; (Pope St. John Paul II, 35)<\/a> \u201cprofit<\/span>\u00a0cannot be the\u00a0sole criterion to be taken into account\u201d.\u00a0(Pope Francis, 187)<\/a>\u00a0<\/span><\/p>\n\u201cWe see how the world of\u00a0finance can dominate mankind. Possession and appearance dominate and enslave the world. \u2026 Finance is no longer a tool to promote well being and to support the life of man, but a force that oppresses him, one which almost has to be worshipped\u201d. (Pope Benedict XVI)<\/a> <\/span><\/p>\nAn Economy Guided by Catholic Social Teaching<\/span><\/strong><\/span><\/span><\/h2>\n
\u201cThe economic sphere is part and parcel of human activity and precisely because it is human it must be\u00a0structured and governed in an ethical manner.\u201d\u00a0(Pope Benedict XVI, 36)<\/a><\/span><\/span><\/p>\n\u201cIt is imperative to have a proactive economic policy directed at \u2018promoting an economy that favors productive diversity and business creativity’\u201d. (Pope Francis, 129 and 168)<\/a><\/span><\/p>\n\u201c[I]n a seemingly paradoxical way, free and disinterested solidarity is the key to the smooth functioning of the global economy.\u201d (Pope St. John Paul II, 11)<\/a><\/span><\/p>\nBusiness Professionals Guided by Catholic Social Teaching<\/span><\/strong><\/span><\/span><\/h2>\n
\u201cToday\u2019s international economic scene, marked by grave deviations and failures, requires a\u00a0profoundly new way of understanding business enterprise<\/strong>.\u201d\u00a0(Pope Benedict XVI, 40)<\/a><\/span><\/span><\/p>\n\u201cConcretely, in economic activity\u201d this means business professionals must \u201cengage in economic activity\u00a0for the sake of the common good\u201c.\u00a0(Pope Benedict XVI, 5)<\/a> <\/span><\/p>\nBusiness professionals must \u201cexperience this commitment as something transcending their self-interest<\/strong>, for the benefit of present and future generations.\u201d (Pope Benedict XVI, 5)<\/a><\/span><\/p>\n\u201cIn the wider life of\u00a0society<\/span>\u00a0we come to see that\u00a0\u2018gratuitousness\u2019 is not something extra<\/strong>, but rather a necessary condition of justice\u2026Who we are, and what we have, has been given to us so that we can place it at the service of others.\u201d\u00a0(Pope Francis)<\/a><\/span><\/p>\nThe Cause of the Problem<\/span><\/strong><\/span><\/span><\/h2>\n
\u201c[T]he logic of profit and that of the equal distribution of goods\u2026do not contradict each other if their relationship is well ordered.\u201d (Pope Benedict XVI)<\/a> <\/span><\/span><\/p>\nOur problems originate \u201cin a profound human crisis: the denial of the primacy of the human person!\u201d (Pope Francis, 55)<\/a> \u201cWe have created a \u2018throw away\u2019 culture which is now spreading.\u201d (Pope Francis, 53)<\/a><\/span><\/p>\n[\/et_pb_text][\/et_pb_column][\/et_pb_row][et_pb_row column_structure=”1_2,1_2″ _builder_version=”4.16″ background_color=”#f2f2f2″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” custom_padding=”||50px||false|false” background_color_phone=”#FFFFFF” background_last_edited=”on|desktop” background_enable_color_phone=”on” locked=”off” global_colors_info=”{}”][et_pb_column type=”1_2″ _builder_version=”4.16″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_text module_class=”bullets-module” _builder_version=”4.27.5″ text_font_size=”16px” quote_text_color=”#eb7425″ quote_font_size=”17pt” background_size=”initial” background_position=”top_left” background_repeat=”repeat” text_orientation=”justified” max_width=”75%” max_width_tablet=”” max_width_phone=”100%” max_width_last_edited=”on|desktop” module_alignment=”center” custom_padding=”20px|||0px|false|false” custom_padding_tablet=”” custom_padding_phone=”0px||||false|false” custom_padding_last_edited=”on|phone” global_colors_info=”{}”]<\/p>\n
A New Methodology for a New Economy<\/a><\/p>\nCatholic Social Teaching, Democracy, and Free Markets<\/a><\/p>\nCapitalism vs. Socialism<\/a><\/p>\nWas Jesus a Capitalist?<\/a><\/p>\nWhat is a \u201cJust\u201d Distribution of Wealth?<\/a><\/p>\nGratuitousness: Catholic Social Teaching\u2019s Solution for Capitalism<\/a><\/p>\nThe Role of Profit in Business<\/a><\/p>\nGood, Socially Responsible Business<\/a><\/p>\n[\/et_pb_text][\/et_pb_column][et_pb_column type=”1_2″ _builder_version=”4.16″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_text module_class=”bullets-module” _builder_version=”4.27.5″ text_font_size=”16px” quote_text_color=”#eb7425″ quote_font_size=”17pt” background_size=”initial” background_position=”top_left” background_repeat=”repeat” text_orientation=”justified” max_width=”75%” max_width_tablet=”” max_width_phone=”100%” max_width_last_edited=”on|desktop” module_alignment=”center” custom_padding=”20px|||0px|false|false” custom_padding_tablet=”” custom_padding_phone=”0px||||false|false” custom_padding_last_edited=”on|phone” global_colors_info=”{}”]<\/p>\n
Catholic Social Teaching and Economics by Domingo Bickel<\/a><\/p>\nThe Gig Economy and Rerum Novarum<\/a><\/p>\nTariffs and the Common Good<\/a><\/p>\nThe Problems of Globalization<\/a><\/p>\nInflation and Catholic Social Teaching<\/a><\/p>\nPope Francis \u2013 An Economic Reformer and Provocateur<\/a><\/p>\nMark Carney, Pope Francis, and the Global Economy<\/a><\/p>\nThe \u2018Health of Nations\u2019 in Light of CST and Pope Francis<\/a><\/p>\n[\/et_pb_text][\/et_pb_column][\/et_pb_row][et_pb_row _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_button button_url=”\/economics\/” button_text=”More About Economics” button_alignment=”center” module_class=”hover-btn-border” _builder_version=”4.27.5″ custom_button=”on” button_text_size=”30px” button_text_color=”#054368″ button_border_width=”0px” button_border_radius=”0px” button_font=”|600||on|||||” button_icon=”5||divi||400″ button_on_hover=”off” hover_enabled=”0″ locked=”off” global_colors_info=”{}” button_text_color__hover_enabled=”on” button_text_color__hover=”#054368″ sticky_enabled=”0″][\/et_pb_button][\/et_pb_column][\/et_pb_row][et_pb_row _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_button button_url=”\/dignity-of-work\/” button_text=”The Dignity of Work” button_alignment=”center” module_class=”hover-btn-border” _builder_version=”4.24.3″ custom_button=”on” button_text_size=”30px” button_text_color=”#054368″ button_border_width=”0px” button_border_radius=”0px” button_font=”|600||on|||||” button_icon=”5||divi||400″ button_on_hover=”off” locked=”off” global_colors_info=”{}” button_text_color__hover_enabled=”on” button_text_color__hover=”#054368″][\/et_pb_button][\/et_pb_column][\/et_pb_row][et_pb_row _builder_version=”4.24.3″ 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da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row column_structure=”1_5,3_5,1_5″ use_custom_gutter=”on” module_class=” et_pb_row_fullwidth” _builder_version=”4.13.0″ width=”100%” width_tablet=”100%” width_phone=”” width_last_edited=”on|desktop” max_width=”100%” max_width_tablet=”100%” max_width_phone=”” max_width_last_edited=”on|desktop” custom_margin=”0px|0px|0px|0px” custom_padding=”0px|0px|0px|0px” custom_css_main_element=”width: 100% !important;” make_fullwidth=”on” global_module=”31023″ saved_tabs=”all” collapsed=”off” global_colors_info=”{}”][et_pb_column type=”1_5″ _builder_version=”4.16″ custom_padding=”0px|0px|0px|0px” global_colors_info=”{}” custom_padding__hover=”|||”][\/et_pb_column][et_pb_column type=”3_5″ _builder_version=”4.16″ custom_padding=”0px|0px|0px|0px” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_slider show_image_video_mobile=”on” module_class=”three-principles” _builder_version=”4.19.5″ header_font=”Open Sans|700|||||||” header_text_color=”#084369″ header_font_size=”24px” header_line_height=”1.5em” body_text_color=”#084369″ width=”100%” width_last_edited=”off|desktop” module_alignment=”center” custom_margin=”|||” custom_margin_tablet=”” custom_margin_phone=”||||false|false” custom_margin_last_edited=”on|phone” custom_padding=”||||false|false” global_colors_info=”{}” custom_css_slide_image_last_edited=”on|phone” custom_css_slide_image_phone=”width: auto;||margin: 0 auto !important;”][et_pb_slide heading=”Three Key Principles” button_link=”https:\/\/capp-usa.org\/catholic-social-teaching-principles\/” image=”https:\/\/capp-usa.org\/wp-content\/uploads\/2021\/02\/Three-Principles.png” use_bg_overlay=”off” use_text_overlay=”off” image_alt=”Three circles containing symbols of the three principles of catholic social teaching: human dignity, subsidiarity, and solidarity.” image_tablet=”” image_phone=”https:\/\/capp-usa.org\/wp-content\/uploads\/2019\/06\/3-Key-principle-icons-resized.png” image_last_edited=”on|phone” _builder_version=”4.19.5″ header_font=”||||||||” background_color=”#ffffff” button_on_hover=”on” z_index=”0″ overflow-x=”hidden” overflow-y=”hidden” link_option_url=”https:\/\/capp-usa.org\/catholic-social-teaching-principles\/” custom_css_slide_image=”width: 300px !important;||margin: 0 auto !important;” global_colors_info=”{}” sticky_transition=”on”]<\/p>\n
Catholic social teaching is built on three foundational principles –\u00a0<\/strong>Human Dignity<\/strong>,\u00a0Solidarity\u00a0<\/strong>and\u00a0Subsidiarity.\u00a0<\/strong>Human Dignity, embodied in a correct understanding of the human person, is the greatest. The others flow from it. Good governments and good economic systems find ways of fostering the three principles.<\/p>\n[\/et_pb_slide][et_pb_slide heading=”Human Dignity” button_link=”\/human-dignity\/” image=”https:\/\/capp-usa.org\/wp-content\/uploads\/2021\/02\/Human-Dignity.png” use_bg_overlay=”off” use_text_overlay=”off” _builder_version=”4.19.0″ header_font=”||||||||” background_color=”#ffffff” button_on_hover=”on” link_option_url=”\/human-dignity\/” custom_css_slide_image=”width: 200px !important;||margin: 0 auto !important;” global_colors_info=”{}” sticky_transition=”on”]<\/p>\n
This means a correct understanding of the human person and of each person\u2019s unique value. All Catholic social teaching flows from this: the inherent dignity of every person that comes from being made in God\u2019s image.\u00a0<\/p>\n
[\/et_pb_slide][et_pb_slide heading=”Solidarity” button_link=”\/solidarity\/” image=”https:\/\/capp-usa.org\/wp-content\/uploads\/2021\/02\/Solidarity.png” use_bg_overlay=”off” use_text_overlay=”off” _builder_version=”4.19.0″ header_font=”||||||||” background_color=”#ffffff” button_on_hover=”on” link_option_url=”\/solidarity\/” custom_css_slide_image=”width: 200px !important;||margin: 0 auto !important;” global_colors_info=”{}” sticky_transition=”on”]<\/p>\n
Solidarity is not \u201ca feeling of vague compassion or shallow distress at the misfortunes of others. It is a firm and persevering determination to commit oneself to the common good\u201d. (Pope St. John Paul II, 38)<\/a> Love of God and love of neighbor are, in fact, linked and form one, single commandment.<\/p>\n[\/et_pb_slide][et_pb_slide heading=”Subsidiarity” button_link=”\/subsidiarity\/” image=”https:\/\/capp-usa.org\/wp-content\/uploads\/2021\/02\/Subsidiarity.png” use_bg_overlay=”off” use_text_overlay=”off” _builder_version=”4.19.0″ header_font=”||||||||” background_color=”#ffffff” button_on_hover=”on” link_option_url=”\/subsidiarity\/” custom_css_slide_image=”width: 200px !important;||margin: 0 auto !important;” global_colors_info=”{}” sticky_transition=”on”]<\/p>\n
Subsidiarity \u201cis a fundamental principle of social philosophy, fixed and unchangeable, that one should not withdraw from individuals and commit to the community what they can accomplish by their own enterprise and industry. So, too, it is an injustice and at the same time a grave evil and a disturbance of right order to transfer to the larger and higher collectivity functions which can be performed and provided for by the lesser and subordinate bodies\u201d. (Pope Pius XI)<\/a><\/p>\n[\/et_pb_slide][\/et_pb_slider][\/et_pb_column][et_pb_column type=”1_5″ _builder_version=”4.16″ custom_padding=”0px|0px|0px|0px” global_colors_info=”{}” custom_padding__hover=”|||”][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ custom_padding_last_edited=”on|phone” admin_label=”Image & Text” module_id=”newsletter” module_class=”mosaic_width” _builder_version=”4.27.4″ background_color=”#eb7525″ z_index=”950″ display_conditions=”W3siaWQiOiI2MmUwMjk2ZS1lYmY5LTQwYWYtYmM0Mi0zZmEzYzUyNGNlYTEiLCJjb25kaXRpb24iOiJwYWdlIiwiY29uZGl0aW9uU2V0dGluZ3MiOnsiZGlzcGxheVJ1bGUiOiJpc05vdCIsImR5bmFtaWNQb3N0cyI6W3sibGFiZWwiOiJDYXJpdGFzIGluIFZlcml0YXRlIiwidmFsdWUiOiI0NzIxNCJ9XSwicG9zdFR5cGVMYWJlbCI6IlBhZ2VzIiwiYWRtaW5MYWJlbCI6IlBhZ2VzIiwiZW5hYmxlQ29uZGl0aW9uIjoib24ifSwib3BlcmF0b3IiOiJPUiJ9XQ==” custom_margin=”||” custom_padding=”0px||0px||false|false” custom_padding_tablet=”0px||0px||false|false” custom_padding_phone=”0px||0px||false|false” animation_direction=”left” da_disable_devices=”off|off|off” global_module=”45073″ saved_tabs=”all” locked=”off” collapsed=”off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row column_structure=”1_2,1_2″ make_equal=”on” module_class=”mosaic_width” _builder_version=”4.21.0″ custom_margin=”||” custom_padding=”0px||0px||true|false” animation_style=”fade” animation_delay=”200ms” global_colors_info=”{}”][et_pb_column type=”1_2″ module_class=”ds-vertical-align” _builder_version=”4.16″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_text _builder_version=”4.16″ text_font=”Playfair Display||||||||” text_text_color=”#ffffff” header_font=”||||||||” header_text_align=”center” header_text_color=”#eb7525″ header_2_text_color=”#ffffff” header_3_text_color=”#ffffff” header_3_font_size=”30px” header_4_font=”Playfair Display|700|||||||” header_4_text_color=”#ffffff” header_4_font_size=”32px” text_orientation=”center” custom_margin=”||” custom_padding=”||” global_colors_info=”{}”]<\/p>\n
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What does the Church say about this economic system?<\/span><\/p>\n Capitalism\u2019s intellectual basis was developed by Scottish economist and moral philosopher Adam Smith in his 1776 book \u201cAn Inquiry into the Nature and Causes of the Wealth of Nations\u201d.<\/span><\/p>\n What is capitalism?<\/p>\n<\/div>\n However, “if by \u2018capitalism\u2019 is meant a system in which freedom in the economic sector is not circumscribed within a strong juridical framework<\/strong> 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.” (Pope St. John Paul II, 42)<\/a><\/span><\/p>\n Pope Francis echoed this when he said that \u201ccreation of wealth must always be at the service\u00a0of the common good, and not only for the benefit of a few.\u201d\u00a0(Pope Francis, 3)<\/a> <\/span><\/p>\n \u201c[M]<\/strong>oney must serve, not rule\u201d.<\/strong>\u00a0(Pope Francis, 58)<\/a><\/span><\/p>\n Catholic Social Teaching points out an unreasonable \u201cconviction that the economy must be autonomous, that it must be shielded from \u2018influences\u2019 of a moral character, has led man to\u00a0abuse the economic process\u00a0in a thoroughly destructive way.\u201d\u00a0(Pope Benedict XVI, 34)<\/a><\/span><\/p>\n Pope Francis forcefully denounced this abusive and selfish manifestation, calling it “intolerable”. It “has imposed the mentality of profit at any price<\/strong>, with no concern for social exclusion\u2026An unfettered pursuit of money rules. This is<\/strong> the \u2018dung of the devil\u2019<\/strong>.” (Address at the Second World Meeting of Popular Movements, 1)<\/a><\/span><\/p>\n In unbridled form capitalism<\/strong> “denies an autonomous existence and value to morality, law, culture and religion,” and “agrees with Marxism<\/strong>\u2026it\u00a0totally reduces man to the sphere of economics and the satisfaction of material needs.\u201d (Pope St. John Paul II, 19)<\/a><\/span><\/p>\n What is socialism?<\/a><\/span><\/p>\n \u201c[I]n a seemingly paradoxical way, free and disinterested solidarity is the key to the smooth functioning of the global economy.\u201d (Pope Francis)<\/a>\u00a0<\/em><\/span><\/p>\n<\/blockquote>\n \u201c[I]t is evident that this system [free markets] is not to be condemned in itself. And surely it is not of its own nature vicious.\u201d (Pope Pius XI, 101)<\/a><\/span><\/p>\n However, this ensues only if, \u201cby \u2018capitalism\u2019 is meant\u00a0an 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\u00a0free human creativity in the economic sector\u201d.\u00a0(Pope St. John Paul II, 42)<\/a>\u00a0<\/span><\/p>\n The free economy has to be free \u2014 within limits<\/strong> and \u201crequires respect for the \u200buniversal destination of goods<\/strong>\u200b\u201d\u00a0(Catechism of the Catholic Church, 2401)<\/a> <\/span><\/p>\n \u201cOnce capital becomes an idol\u2026once greed for money presides over the entire socioeconomic system, it ruins society, it condemns and enslaves men and women, it destroys human fraternity, it sets people against one another\u201d. (Pope Francis, 1)<\/a> <\/span><\/p>\n \u201cThe Church acknowledges\u00a0the legitimate role of profit as an indication that a business is functioning well…Profit is a regulator of the life of a business\u201d. (Pope St. John Paul II, 35)<\/a><\/span><\/p>\n However, \u201cthe purpose\u00a0of a business firm\u00a0<\/strong>is not simply to make a profit<\/b>\u201d; (Pope St. John Paul II, 35)<\/a> \u201cprofit<\/span>\u00a0cannot be the\u00a0sole criterion to be taken into account\u201d.\u00a0(Pope Francis, 187)<\/a>\u00a0<\/span><\/p>\n \u201cWe see how the world of\u00a0finance can dominate mankind. Possession and appearance dominate and enslave the world. \u2026 Finance is no longer a tool to promote well being and to support the life of man, but a force that oppresses him, one which almost has to be worshipped\u201d. (Pope Benedict XVI)<\/a> <\/span><\/p>\n \u201cIt is imperative to have a proactive economic policy directed at \u2018promoting an economy that favors productive diversity and business creativity’\u201d. (Pope Francis, 129 and 168)<\/a><\/span><\/p>\n \u201c[I]n a seemingly paradoxical way, free and disinterested solidarity is the key to the smooth functioning of the global economy.\u201d (Pope St. John Paul II, 11)<\/a><\/span><\/p>\n \u201cConcretely, in economic activity\u201d this means business professionals must \u201cengage in economic activity\u00a0for the sake of the common good\u201c.\u00a0(Pope Benedict XVI, 5)<\/a> <\/span><\/p>\n Business professionals must \u201cexperience this commitment as something transcending their self-interest<\/strong>, for the benefit of present and future generations.\u201d (Pope Benedict XVI, 5)<\/a><\/span><\/p>\n \u201cIn the wider life of\u00a0society<\/span>\u00a0we come to see that\u00a0\u2018gratuitousness\u2019 is not something extra<\/strong>, but rather a necessary condition of justice\u2026Who we are, and what we have, has been given to us so that we can place it at the service of others.\u201d\u00a0(Pope Francis)<\/a><\/span><\/p>\n Our problems originate \u201cin a profound human crisis: the denial of the primacy of the human person!\u201d (Pope Francis, 55)<\/a> \u201cWe have created a \u2018throw away\u2019 culture which is now spreading.\u201d (Pope Francis, 53)<\/a><\/span><\/p>\n [\/et_pb_text][\/et_pb_column][\/et_pb_row][et_pb_row column_structure=”1_2,1_2″ _builder_version=”4.16″ background_color=”#f2f2f2″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” custom_padding=”||50px||false|false” background_color_phone=”#FFFFFF” background_last_edited=”on|desktop” background_enable_color_phone=”on” locked=”off” global_colors_info=”{}”][et_pb_column type=”1_2″ _builder_version=”4.16″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_text module_class=”bullets-module” _builder_version=”4.27.5″ text_font_size=”16px” quote_text_color=”#eb7425″ quote_font_size=”17pt” background_size=”initial” background_position=”top_left” background_repeat=”repeat” text_orientation=”justified” max_width=”75%” max_width_tablet=”” max_width_phone=”100%” max_width_last_edited=”on|desktop” module_alignment=”center” custom_padding=”20px|||0px|false|false” custom_padding_tablet=”” custom_padding_phone=”0px||||false|false” custom_padding_last_edited=”on|phone” global_colors_info=”{}”]<\/p>\n A New Methodology for a New Economy<\/a><\/p>\n Catholic Social Teaching, Democracy, and Free Markets<\/a><\/p>\n Capitalism vs. Socialism<\/a><\/p>\n Was Jesus a Capitalist?<\/a><\/p>\n What is a \u201cJust\u201d Distribution of Wealth?<\/a><\/p>\n Gratuitousness: Catholic Social Teaching\u2019s Solution for Capitalism<\/a><\/p>\n The Role of Profit in Business<\/a><\/p>\n Good, Socially Responsible Business<\/a><\/p>\n [\/et_pb_text][\/et_pb_column][et_pb_column type=”1_2″ _builder_version=”4.16″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_text module_class=”bullets-module” _builder_version=”4.27.5″ text_font_size=”16px” quote_text_color=”#eb7425″ quote_font_size=”17pt” background_size=”initial” background_position=”top_left” background_repeat=”repeat” text_orientation=”justified” max_width=”75%” max_width_tablet=”” max_width_phone=”100%” max_width_last_edited=”on|desktop” module_alignment=”center” custom_padding=”20px|||0px|false|false” custom_padding_tablet=”” custom_padding_phone=”0px||||false|false” custom_padding_last_edited=”on|phone” global_colors_info=”{}”]<\/p>\n Catholic Social Teaching and Economics by Domingo Bickel<\/a><\/p>\n The Gig Economy and Rerum Novarum<\/a><\/p>\n Tariffs and the Common Good<\/a><\/p>\n The Problems of Globalization<\/a><\/p>\n Inflation and Catholic Social Teaching<\/a><\/p>\n Pope Francis \u2013 An Economic Reformer and Provocateur<\/a><\/p>\n Mark Carney, Pope Francis, and the Global Economy<\/a><\/p>\n The \u2018Health of Nations\u2019 in Light of CST and Pope Francis<\/a><\/p>\n [\/et_pb_text][\/et_pb_column][\/et_pb_row][et_pb_row _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_button button_url=”\/economics\/” button_text=”More About Economics” button_alignment=”center” module_class=”hover-btn-border” _builder_version=”4.27.5″ custom_button=”on” button_text_size=”30px” button_text_color=”#054368″ button_border_width=”0px” button_border_radius=”0px” button_font=”|600||on|||||” button_icon=”5||divi||400″ button_on_hover=”off” hover_enabled=”0″ locked=”off” global_colors_info=”{}” button_text_color__hover_enabled=”on” button_text_color__hover=”#054368″ sticky_enabled=”0″][\/et_pb_button][\/et_pb_column][\/et_pb_row][et_pb_row _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_button button_url=”\/dignity-of-work\/” button_text=”The Dignity of Work” button_alignment=”center” module_class=”hover-btn-border” _builder_version=”4.24.3″ custom_button=”on” button_text_size=”30px” button_text_color=”#054368″ button_border_width=”0px” button_border_radius=”0px” button_font=”|600||on|||||” button_icon=”5||divi||400″ button_on_hover=”off” locked=”off” global_colors_info=”{}” button_text_color__hover_enabled=”on” button_text_color__hover=”#054368″][\/et_pb_button][\/et_pb_column][\/et_pb_row][et_pb_row _builder_version=”4.24.3″ _module_preset=”default” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ _module_preset=”default” global_colors_info=”{}”][et_pb_button button_url=”\/articles\/” button_text=”Back to Articles” button_alignment=”center” module_class=”hover-btn-border” _builder_version=”4.19.0″ custom_button=”on” button_text_size=”30px” button_text_color=”#054368″ button_border_width=”0px” button_border_radius=”0px” button_font=”|600||on|||||” button_icon=”5||divi||400″ button_on_hover=”off” locked=”off” global_colors_info=”{}” button_text_color__hover_enabled=”on” button_text_color__hover=”#054368″][\/et_pb_button][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ admin_label=”Widget of Issues ” _builder_version=”4.16″ custom_margin=”0px|0px|0px|0px||” custom_padding=”0px|0px|0px|0px” da_disable_devices=”off|off|off” saved_tabs=”all” locked=”off” collapsed=”off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row column_structure=”1_5,3_5,1_5″ use_custom_gutter=”on” module_class=” et_pb_row_fullwidth” _builder_version=”4.13.0″ width=”100%” width_tablet=”100%” width_phone=”” width_last_edited=”on|desktop” max_width=”100%” max_width_tablet=”100%” max_width_phone=”” max_width_last_edited=”on|desktop” custom_margin=”0px|0px|0px|0px” custom_padding=”0px|0px|0px|0px” custom_css_main_element=”width: 100% !important;” make_fullwidth=”on” global_module=”31023″ saved_tabs=”all” collapsed=”off” global_colors_info=”{}”][et_pb_column type=”1_5″ _builder_version=”4.16″ custom_padding=”0px|0px|0px|0px” global_colors_info=”{}” custom_padding__hover=”|||”][\/et_pb_column][et_pb_column type=”3_5″ _builder_version=”4.16″ custom_padding=”0px|0px|0px|0px” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_slider show_image_video_mobile=”on” module_class=”three-principles” _builder_version=”4.19.5″ header_font=”Open Sans|700|||||||” header_text_color=”#084369″ header_font_size=”24px” header_line_height=”1.5em” body_text_color=”#084369″ width=”100%” width_last_edited=”off|desktop” module_alignment=”center” custom_margin=”|||” custom_margin_tablet=”” custom_margin_phone=”||||false|false” custom_margin_last_edited=”on|phone” custom_padding=”||||false|false” global_colors_info=”{}” custom_css_slide_image_last_edited=”on|phone” custom_css_slide_image_phone=”width: auto;||margin: 0 auto !important;”][et_pb_slide heading=”Three Key Principles” button_link=”https:\/\/capp-usa.org\/catholic-social-teaching-principles\/” image=”https:\/\/capp-usa.org\/wp-content\/uploads\/2021\/02\/Three-Principles.png” use_bg_overlay=”off” use_text_overlay=”off” image_alt=”Three circles containing symbols of the three principles of catholic social teaching: human dignity, subsidiarity, and solidarity.” image_tablet=”” image_phone=”https:\/\/capp-usa.org\/wp-content\/uploads\/2019\/06\/3-Key-principle-icons-resized.png” image_last_edited=”on|phone” _builder_version=”4.19.5″ header_font=”||||||||” background_color=”#ffffff” button_on_hover=”on” z_index=”0″ overflow-x=”hidden” overflow-y=”hidden” link_option_url=”https:\/\/capp-usa.org\/catholic-social-teaching-principles\/” custom_css_slide_image=”width: 300px !important;||margin: 0 auto !important;” global_colors_info=”{}” sticky_transition=”on”]<\/p>\n Catholic social teaching is built on three foundational principles –\u00a0<\/strong>Human Dignity<\/strong>,\u00a0Solidarity\u00a0<\/strong>and\u00a0Subsidiarity.\u00a0<\/strong>Human Dignity, embodied in a correct understanding of the human person, is the greatest. The others flow from it. Good governments and good economic systems find ways of fostering the three principles.<\/p>\n [\/et_pb_slide][et_pb_slide heading=”Human Dignity” button_link=”\/human-dignity\/” image=”https:\/\/capp-usa.org\/wp-content\/uploads\/2021\/02\/Human-Dignity.png” use_bg_overlay=”off” use_text_overlay=”off” _builder_version=”4.19.0″ header_font=”||||||||” background_color=”#ffffff” button_on_hover=”on” link_option_url=”\/human-dignity\/” custom_css_slide_image=”width: 200px !important;||margin: 0 auto !important;” global_colors_info=”{}” sticky_transition=”on”]<\/p>\n This means a correct understanding of the human person and of each person\u2019s unique value. All Catholic social teaching flows from this: the inherent dignity of every person that comes from being made in God\u2019s image.\u00a0<\/p>\n [\/et_pb_slide][et_pb_slide heading=”Solidarity” button_link=”\/solidarity\/” image=”https:\/\/capp-usa.org\/wp-content\/uploads\/2021\/02\/Solidarity.png” use_bg_overlay=”off” use_text_overlay=”off” _builder_version=”4.19.0″ header_font=”||||||||” background_color=”#ffffff” button_on_hover=”on” link_option_url=”\/solidarity\/” custom_css_slide_image=”width: 200px !important;||margin: 0 auto !important;” global_colors_info=”{}” sticky_transition=”on”]<\/p>\n Solidarity is not \u201ca feeling of vague compassion or shallow distress at the misfortunes of others. It is a firm and persevering determination to commit oneself to the common good\u201d. (Pope St. John Paul II, 38)<\/a> Love of God and love of neighbor are, in fact, linked and form one, single commandment.<\/p>\n [\/et_pb_slide][et_pb_slide heading=”Subsidiarity” button_link=”\/subsidiarity\/” image=”https:\/\/capp-usa.org\/wp-content\/uploads\/2021\/02\/Subsidiarity.png” use_bg_overlay=”off” use_text_overlay=”off” _builder_version=”4.19.0″ header_font=”||||||||” background_color=”#ffffff” button_on_hover=”on” link_option_url=”\/subsidiarity\/” custom_css_slide_image=”width: 200px !important;||margin: 0 auto !important;” global_colors_info=”{}” sticky_transition=”on”]<\/p>\n Subsidiarity \u201cis a fundamental principle of social philosophy, fixed and unchangeable, that one should not withdraw from individuals and commit to the community what they can accomplish by their own enterprise and industry. So, too, it is an injustice and at the same time a grave evil and a disturbance of right order to transfer to the larger and higher collectivity functions which can be performed and provided for by the lesser and subordinate bodies\u201d. (Pope Pius XI)<\/a><\/p>\n [\/et_pb_slide][\/et_pb_slider][\/et_pb_column][et_pb_column type=”1_5″ _builder_version=”4.16″ custom_padding=”0px|0px|0px|0px” global_colors_info=”{}” custom_padding__hover=”|||”][\/et_pb_column][\/et_pb_row][\/et_pb_section][et_pb_section fb_built=”1″ custom_padding_last_edited=”on|phone” admin_label=”Image & Text” module_id=”newsletter” module_class=”mosaic_width” _builder_version=”4.27.4″ background_color=”#eb7525″ z_index=”950″ display_conditions=”W3siaWQiOiI2MmUwMjk2ZS1lYmY5LTQwYWYtYmM0Mi0zZmEzYzUyNGNlYTEiLCJjb25kaXRpb24iOiJwYWdlIiwiY29uZGl0aW9uU2V0dGluZ3MiOnsiZGlzcGxheVJ1bGUiOiJpc05vdCIsImR5bmFtaWNQb3N0cyI6W3sibGFiZWwiOiJDYXJpdGFzIGluIFZlcml0YXRlIiwidmFsdWUiOiI0NzIxNCJ9XSwicG9zdFR5cGVMYWJlbCI6IlBhZ2VzIiwiYWRtaW5MYWJlbCI6IlBhZ2VzIiwiZW5hYmxlQ29uZGl0aW9uIjoib24ifSwib3BlcmF0b3IiOiJPUiJ9XQ==” custom_margin=”||” custom_padding=”0px||0px||false|false” custom_padding_tablet=”0px||0px||false|false” custom_padding_phone=”0px||0px||false|false” animation_direction=”left” da_disable_devices=”off|off|off” global_module=”45073″ saved_tabs=”all” locked=”off” collapsed=”off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on”][et_pb_row column_structure=”1_2,1_2″ make_equal=”on” module_class=”mosaic_width” _builder_version=”4.21.0″ custom_margin=”||” custom_padding=”0px||0px||true|false” animation_style=”fade” animation_delay=”200ms” global_colors_info=”{}”][et_pb_column type=”1_2″ module_class=”ds-vertical-align” _builder_version=”4.16″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_text _builder_version=”4.16″ text_font=”Playfair Display||||||||” text_text_color=”#ffffff” header_font=”||||||||” header_text_align=”center” header_text_color=”#eb7525″ header_2_text_color=”#ffffff” header_3_text_color=”#ffffff” header_3_font_size=”30px” header_4_font=”Playfair Display|700|||||||” header_4_text_color=”#ffffff” header_4_font_size=”32px” text_orientation=”center” custom_margin=”||” custom_padding=”||” global_colors_info=”{}”]<\/p>\n [\/et_pb_text][\/et_pb_column][et_pb_column type=”1_2″ module_class=”ds-vertical-align” _builder_version=”4.16″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_code _builder_version=”4.21.0″ custom_margin=”||||false|false” custom_padding=”||0px|||” global_colors_info=”{}”]Define Capitalism<\/span><\/strong><\/span><\/span><\/h2>\n
Capitalism is an economic system in which private<\/strong>\u00a0actors own and control\u00a0property<\/strong> and the means of production while demand and supply freely set prices for goods and services.<\/span><\/span><\/p>\n<\/p>\nIs Capitalism Bad?<\/span><\/strong><\/span><\/span><\/h2>\n
Capitalism,<\/strong> by its nature, is not evil<\/strong> and the Church endorses capitalism within clear limits.<\/span><\/span><\/p>\nCapitalism vs Socialism<\/span><\/strong><\/span><\/span><\/h2>\n
In some ways capitalism and socialism are both rejected by the Church \u2013 for the same reason!<\/span><\/span><\/p>\n\n
Is Capitalism Good?<\/span><\/strong><\/span><\/span><\/h2>\n
The Church understands that the right to private property is \u201cfundamental\u201d<\/strong> and a requirement \u201cfor the autonomy and development of the person.\u201d\u00a0(Pope St. John Paul II, 30)<\/a>\u00a0<\/span><\/span><\/p>\nGreed and Profit: A Dilemma?<\/span><\/strong><\/span><\/span><\/h2>\n
\u201cNaturally, profit is legitimate<\/strong> and, in just measure, necessary for economic development.\u201d\u00a0(Pope Benedict XVI)<\/a> <\/span><\/span><\/p>\nAn Economy Guided by Catholic Social Teaching<\/span><\/strong><\/span><\/span><\/h2>\n
\u201cThe economic sphere is part and parcel of human activity and precisely because it is human it must be\u00a0structured and governed in an ethical manner.\u201d\u00a0(Pope Benedict XVI, 36)<\/a><\/span><\/span><\/p>\nBusiness Professionals Guided by Catholic Social Teaching<\/span><\/strong><\/span><\/span><\/h2>\n
\u201cToday\u2019s international economic scene, marked by grave deviations and failures, requires a\u00a0profoundly new way of understanding business enterprise<\/strong>.\u201d\u00a0(Pope Benedict XVI, 40)<\/a><\/span><\/span><\/p>\nThe Cause of the Problem<\/span><\/strong><\/span><\/span><\/h2>\n
\u201c[T]he logic of profit and that of the equal distribution of goods\u2026do not contradict each other if their relationship is well ordered.\u201d (Pope Benedict XVI)<\/a> <\/span><\/span><\/p>\nSign Up For Our Newsletter:<\/h4>\n