Pope Speaks About Economics Again, "It's the Natural Law, Stupid"

Monday, May 3, AD 2010

After calling for Catholics to be liberated from their pet ideologies, Pope Benedict is helping flesh out a moral economic vision that puts the standard Left- socialism/Right- Free Markets debate into the dust bin for faithful Catholics.  The bottom-line seems obvious to me- you can’t demonize government and you can’t demonize business- both bring difficulties into play- over-regulation can harm economic development, but lack of regulation can lead to corporate dominance which is a problem when one considers that corporations typically are upfront about being in existence to pad their investor’s bank accounts, not being much concerned with the universal common good. Our Pope clarifies the inherent morality(read Natural Law) in the economy in this article from one of my favorite web sites Zenit.org:

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8 Responses to Pope Speaks About Economics Again, "It's the Natural Law, Stupid"

  • I love the Holy Father.

  • The Austrian and Chicago school economists heads will explode.

  • I’m glad you posted this, Eric! Er… Tim. 🙂

    Sorry, this morning I saw Eric’s comment, and mistakenly typed his name, Tim. 🙂

  • I don’t think so, Jim. Both Austrian and Chicago school economists understand the limits of markets self-regulating. In particular they admit that the capacity for perfect self-regulation is inevitably inhibited by (i) imperfect information and (ii) imperfect rational behavior. As such the risk of errors and even so-called “bubbles” caused by deceit and simple mistakes is very real and in requires some government regulation. How much is a prudential question given that government regulation is also inherently very imperfect and one must recognize the reality that such regulation often makes things worse either by exacerbating a problem or creating new ones.
    The heads that would explode would be the Ayn Randians who view market theory as a dogma for how to live one’s life rather than simply a useful explanation of how resources are efficiently allocated. To be sure Randians are often greatly influenced by classical economic theories, but overall they represent a small subset of economists and thinkers who generally regard themselves as so-called Chicagoans or Austrians.

  • Here is Shaw’s ‘theology’ of the money: “You can’t take it with you. It will burn.”

    As St. Augistine wrote in The City of God: ” . . . the possession of those temporal goods which virtuous and blameless men may lawfully enjoy; still, there is more self-seeking here than becomes men who are mere sojourners in this world and who profess hope of a home in heaven.”

  • Tim posted this Chris. I’d be wrong to take credit.

  • I’m not sure why someone edited the title from It’s the Natural Law, – Stupid- to -Gomer- I was playing off the famous expression It’s the Economy, Stupid- I wasn’t calling folks out as being stupid if they didn’t agree with the Pope’s commentary- anyone know about this editing?

  • Should there be negative consequences for stupid decisions? Or should the market be regulated to make sure no one can make a stupid decision?

    I can’t tell from this teaching. What is the governments legitimate power, specifically? Isn’t that detail kind of important?