Biblical Economics
Christian economics is in accordance with biblical principles that are called God's economy. It is stipulated, for instance, that it is more blessed to give than to receive (like Jesus said) and that God is interested in the success of His servants (not necessarily financial success), i.e., that God blesses the task or endeavor of the believer, and uses him for His glory as a vessel of honor ("... And in whatever he does, he prospers," says Psalm 1:3, NASB). Jesus said in Matt. 10:8 (NASB) "... Freely you received, freely give." It is also written, "Give, and it will be given to you. They will pour into your lap a good measure--pressed down, shaken together, and running over. For by your standard of measure it will be measured to you in return" (Luke 6:38, NASB). We cannot out-give our generous God!
Jesus said, "To whom much is given, much is required." Thus, we all have different levels of talent, resources, time, money, and opportunity to let our lives bring glory to God. Mother Teresa of Calcutta summed it up by saying that God doesn't call us to success, but to faithfulness. God isn't interested in our achievements, but in our obedience. To put it in perspective, Einstein also said that we should not strive to be persons of success as much as persons of value--inherent worth in Christ.
The Bible doesn't endorse any form of economic system outright, but the spirit of it seems to view human rights and an open and free economic market. Biblical economics relies on the profit motive, competition (the government should level the playing field and ensure fairness), stewardship of God's resources (we are accountable to God at the Judgment Seat of Christ), equal opportunity (not equal outcome) in an open market, as little government intervention as possible (even Adam Smith, in The Wealth of Nations, advocated this), i.e., laissez-faire policy, property rights (even the government cannot seize without due process), the Protestant work ethic (ensuring dignity in all labor), and the legitimate money system (stable, free from inflation, and not just fiat currency).
The barter system and mercantile (exchanging gold for products, etc.) systems were used before money in the form of coins or currency were in circulation. Now we have fiat (it's money by decree, not inherent worth) or printed money from the government, which is only legal because the government says so and has the monopoly to do it, and it's not even backed by its value in precious metals anymore since 1963. America went off the gold standard soon afterwards.
The basic types of economic systems in existence, though none exist in their purest form, are capitalism (favoring free enterprise without governmental intervention, fraud, theft, or force wand open markets that are unregulated), and socialism or communism that take away biblical rights and use a centralized governmental control one's freedom and the other entails totalitarianism or no personal liberty. Note that economics is called a dismal science because it's not really science, but more like philosophy. The Christian's main focus necessitates central planners that regulate the means of production and the economy at large. We are not here to achieve the American dream or to amass wealth as the summum bonum, "for where his treasure is, there his heart will be also." We are neither to be materialists seeking to become successful monetarily, not to be so spiritual that we are no earthly good. However, we are called to be productive and bear fruit and return on the investment that God made in us to the best of our ability, opportunity, resources, time, and talents.
With a Christian's ethical view, making the maximum profit is not the ultimate bottom line. Profit must be legit and not by the exploitation of workers or the consumer. Christ judges a company by its moral value and contribution to the well-being of society, not by how much it makes. Serve God in the one that you can most glorify Him in and dedicate your service to. We are made in the image of God and show forth that image best when we work or are in engaged in our calling--what we are meant and suited to do.
There was a film years ago "Wall Street" about a broker that said, "Greed is good." Capitalism is driven by greed, envy, and covetousness. We want to keep up with the Jones's! Businessmen today interpret ethics as the art of not getting caught, not doing the most good to the most people, at the most times, in the most manners, as long as you can. It has been said that capitalism is a system suited for sinners, while socialism is for saints (but we have both!).
Communist theory or mentality is basically that each one will automatically produce what he is capable of and society "owes" him a living to meet all his needs, if he cannot. This is the source of the "entitlement mentality" that prevails today--people ruin their lives or are victims and blame the government for their own problems. But note that society has granted certain people as being entitled. No one gets something for nothing or undeserved, but only out of compassion and rule of law. If they get laid off, the government is to blame and must support them. Prosperity is not about God blessing us and seeing how much we can produce and contribute to our fellow man, but how much we can get from the government by milking the system for all it's worth.
The Bible warns against governments that weaken or defile the money supply with dross and this is comparable to inflation, or what is in reality a hidden tax on the one's who are most vulnerable. Inflation is not just an increase in taxes, but an increase in the money supply, which drives up everything in turn and no one comes out ahead. The only way to eliminate this juggernaut is to balance the budget, but today's economists basically follow the Keynesian model that makes deficit spending respectable and the government just prints money and increases its supply as a hidden tax, which the politicians have gotten away with because of the ignorance of the common people. Even defender of free enterprise, Milton Friedman, calls for limited and controlled inflation as being in the best interest of the general public, and so it is commonplace to subscribe to.
The Christian worldview doesn't call for a redistribution of wealth or the scarce natural resources of robbing the rich and giving the poor, but of creating equal opportunity under the law, because we believe that "all men are created equal," not equal outcome under the law--the goal is to equitably distribute natural resources. Also, the Pledge of Allegiance calls for "liberty and justice for all." The Bible nowhere teaches that we are to be one economic class or classless, as communism teaches, but we are still "one in Christ." Before the law, we are all equal and no one is to be denied liberty and justice, which are never to be perverted--we must not resort to the law of the jungle.
Mandatory welfare was known in antiquity and Israel was obliged to practice it with their tithes, alms, and farming practices, such as being allowed to glean in the fields. There was to be no poor in the land (cf. Deut. 15:4). But a welfare state whereby the state takes care of you from cradle to grave, called a "nanny state," was unknown in biblical times--people took responsibility for their own lives and fates. The more rights we receive, the more obligations others have. Today only a small portion of all entitlement (20 percent) goes to the poor (actually less than 2 percent of the total budget) and most of it goes to Republican party members who own farms and other businesses that get a take. Partisans are talking about cutting entitlement, they are focused on food stamps or some other aid to the poor, not the upper classes. Scripture condemns labor exploitation in Malachi 3:5 and warns against not giving him his due. The worker deserves his wages and the farmer ought to be the first to benefit form the fruit of his labor. The Greeks looked upon labor as a curse that was only fitting for slaves, but Martin Luther gave it dignity because all manner of labor, secular and sacred, can be done to the glory of God (cf. Col. 3:23). America has championed the Protestant work ethic since the days of Jamestown and Captain John Smith, who declared that if a man is unwilling to work he shouldn't eat, just like Paul told the Thessalonians in 2 Thess. 3:10. There is to be no "idle rich" or leisure class living in luxury that is unproductive or retired from engaging in the Lord's work, in which we never give up doing--doing the Lord's work with slackness is cursed (cf. Jer. 48:10).
The government has the divine right and obligation to assure equal treatment in the marketplace and that there is a fair and equitable exchange of goods and services, whereby no one takes advantage of or defrauds the consumer. It respects the right of private property and its chief purpose is to maintain peace and safety and protection of personal property in the society. There must be law and order in a land run by the rule of law for there to be opportunity to make the investment because of the ability to make a profit is not infringed on by an over-regulated economy. We need as little government as possible, known as being against Big Government, and need to stop thinking that government is the solution to all our problems. The more government, the less freedom and rights and more obligation to others. There has to be a balanced trade-off because of the law of diminishing returns on interventionism by the bureaucracy, lest one system run amok.
However, the Christian is concerned for social justice and whether there is equity and opportunity for the poor. "He judged the cause of the poor and needy; then it was well. Is not this to know me? declares the LORD?" (Jer. 22:16, ESV). The prophet Amos decried the social injustice of his day and how "... They sell the innocent for silver, and the needy for a pair of sandals" (Amos 2:11, NIV). John Wesley had the right attitude and motto: "Make all you can, save all you can, give away all you can--this is good stewardship of God-given resources. Never lose track of the fact that we own nothing, but are just stewards of God's gifts. In sum, there is no "social gospel" that we are called to convert the world to, other than the Great Commission and making disciples of all nations, teaching them to observe all that Christ taught (including labor/management rights and responsibilities).
Soli Deo Gloria!
Jesus said, "To whom much is given, much is required." Thus, we all have different levels of talent, resources, time, money, and opportunity to let our lives bring glory to God. Mother Teresa of Calcutta summed it up by saying that God doesn't call us to success, but to faithfulness. God isn't interested in our achievements, but in our obedience. To put it in perspective, Einstein also said that we should not strive to be persons of success as much as persons of value--inherent worth in Christ.
The Bible doesn't endorse any form of economic system outright, but the spirit of it seems to view human rights and an open and free economic market. Biblical economics relies on the profit motive, competition (the government should level the playing field and ensure fairness), stewardship of God's resources (we are accountable to God at the Judgment Seat of Christ), equal opportunity (not equal outcome) in an open market, as little government intervention as possible (even Adam Smith, in The Wealth of Nations, advocated this), i.e., laissez-faire policy, property rights (even the government cannot seize without due process), the Protestant work ethic (ensuring dignity in all labor), and the legitimate money system (stable, free from inflation, and not just fiat currency).
The barter system and mercantile (exchanging gold for products, etc.) systems were used before money in the form of coins or currency were in circulation. Now we have fiat (it's money by decree, not inherent worth) or printed money from the government, which is only legal because the government says so and has the monopoly to do it, and it's not even backed by its value in precious metals anymore since 1963. America went off the gold standard soon afterwards.
The basic types of economic systems in existence, though none exist in their purest form, are capitalism (favoring free enterprise without governmental intervention, fraud, theft, or force wand open markets that are unregulated), and socialism or communism that take away biblical rights and use a centralized governmental control one's freedom and the other entails totalitarianism or no personal liberty. Note that economics is called a dismal science because it's not really science, but more like philosophy. The Christian's main focus necessitates central planners that regulate the means of production and the economy at large. We are not here to achieve the American dream or to amass wealth as the summum bonum, "for where his treasure is, there his heart will be also." We are neither to be materialists seeking to become successful monetarily, not to be so spiritual that we are no earthly good. However, we are called to be productive and bear fruit and return on the investment that God made in us to the best of our ability, opportunity, resources, time, and talents.
With a Christian's ethical view, making the maximum profit is not the ultimate bottom line. Profit must be legit and not by the exploitation of workers or the consumer. Christ judges a company by its moral value and contribution to the well-being of society, not by how much it makes. Serve God in the one that you can most glorify Him in and dedicate your service to. We are made in the image of God and show forth that image best when we work or are in engaged in our calling--what we are meant and suited to do.
There was a film years ago "Wall Street" about a broker that said, "Greed is good." Capitalism is driven by greed, envy, and covetousness. We want to keep up with the Jones's! Businessmen today interpret ethics as the art of not getting caught, not doing the most good to the most people, at the most times, in the most manners, as long as you can. It has been said that capitalism is a system suited for sinners, while socialism is for saints (but we have both!).
Communist theory or mentality is basically that each one will automatically produce what he is capable of and society "owes" him a living to meet all his needs, if he cannot. This is the source of the "entitlement mentality" that prevails today--people ruin their lives or are victims and blame the government for their own problems. But note that society has granted certain people as being entitled. No one gets something for nothing or undeserved, but only out of compassion and rule of law. If they get laid off, the government is to blame and must support them. Prosperity is not about God blessing us and seeing how much we can produce and contribute to our fellow man, but how much we can get from the government by milking the system for all it's worth.
The Bible warns against governments that weaken or defile the money supply with dross and this is comparable to inflation, or what is in reality a hidden tax on the one's who are most vulnerable. Inflation is not just an increase in taxes, but an increase in the money supply, which drives up everything in turn and no one comes out ahead. The only way to eliminate this juggernaut is to balance the budget, but today's economists basically follow the Keynesian model that makes deficit spending respectable and the government just prints money and increases its supply as a hidden tax, which the politicians have gotten away with because of the ignorance of the common people. Even defender of free enterprise, Milton Friedman, calls for limited and controlled inflation as being in the best interest of the general public, and so it is commonplace to subscribe to.
The Christian worldview doesn't call for a redistribution of wealth or the scarce natural resources of robbing the rich and giving the poor, but of creating equal opportunity under the law, because we believe that "all men are created equal," not equal outcome under the law--the goal is to equitably distribute natural resources. Also, the Pledge of Allegiance calls for "liberty and justice for all." The Bible nowhere teaches that we are to be one economic class or classless, as communism teaches, but we are still "one in Christ." Before the law, we are all equal and no one is to be denied liberty and justice, which are never to be perverted--we must not resort to the law of the jungle.
Mandatory welfare was known in antiquity and Israel was obliged to practice it with their tithes, alms, and farming practices, such as being allowed to glean in the fields. There was to be no poor in the land (cf. Deut. 15:4). But a welfare state whereby the state takes care of you from cradle to grave, called a "nanny state," was unknown in biblical times--people took responsibility for their own lives and fates. The more rights we receive, the more obligations others have. Today only a small portion of all entitlement (20 percent) goes to the poor (actually less than 2 percent of the total budget) and most of it goes to Republican party members who own farms and other businesses that get a take. Partisans are talking about cutting entitlement, they are focused on food stamps or some other aid to the poor, not the upper classes. Scripture condemns labor exploitation in Malachi 3:5 and warns against not giving him his due. The worker deserves his wages and the farmer ought to be the first to benefit form the fruit of his labor. The Greeks looked upon labor as a curse that was only fitting for slaves, but Martin Luther gave it dignity because all manner of labor, secular and sacred, can be done to the glory of God (cf. Col. 3:23). America has championed the Protestant work ethic since the days of Jamestown and Captain John Smith, who declared that if a man is unwilling to work he shouldn't eat, just like Paul told the Thessalonians in 2 Thess. 3:10. There is to be no "idle rich" or leisure class living in luxury that is unproductive or retired from engaging in the Lord's work, in which we never give up doing--doing the Lord's work with slackness is cursed (cf. Jer. 48:10).
The government has the divine right and obligation to assure equal treatment in the marketplace and that there is a fair and equitable exchange of goods and services, whereby no one takes advantage of or defrauds the consumer. It respects the right of private property and its chief purpose is to maintain peace and safety and protection of personal property in the society. There must be law and order in a land run by the rule of law for there to be opportunity to make the investment because of the ability to make a profit is not infringed on by an over-regulated economy. We need as little government as possible, known as being against Big Government, and need to stop thinking that government is the solution to all our problems. The more government, the less freedom and rights and more obligation to others. There has to be a balanced trade-off because of the law of diminishing returns on interventionism by the bureaucracy, lest one system run amok.
However, the Christian is concerned for social justice and whether there is equity and opportunity for the poor. "He judged the cause of the poor and needy; then it was well. Is not this to know me? declares the LORD?" (Jer. 22:16, ESV). The prophet Amos decried the social injustice of his day and how "... They sell the innocent for silver, and the needy for a pair of sandals" (Amos 2:11, NIV). John Wesley had the right attitude and motto: "Make all you can, save all you can, give away all you can--this is good stewardship of God-given resources. Never lose track of the fact that we own nothing, but are just stewards of God's gifts. In sum, there is no "social gospel" that we are called to convert the world to, other than the Great Commission and making disciples of all nations, teaching them to observe all that Christ taught (including labor/management rights and responsibilities).
Soli Deo Gloria!
