Money and Catholicism

Dear Catholic Exchange:

Vytautus

Dear Vytautus,

Peace in Christ!

The Catholic Church has been critical of an excessive individualism that is often associated with “undiluted capitalism,” (see Wilhelm Roepke, The Social Crisis of our Time, Transaction Publishers, p. 119), but the Church has equally condemned any and all forms of collectivism. The Church has been in support of things like property rights and free markets as best suited to human dignity, but the Church also recognizes that the market is subject to higher moral norms.

The following are a few key quotes from the Catechism, which summarize well these points:

“The Church has rejected the totalitarian and atheistic ideologies associated in modern times with “communism” or “socialism.” She has likewise refused to accept, in the practice of “capitalism,” individualism and the absolute primacy of the law of the marketplace over human labor. Regulating the economy solely by centralized planning perverts the basis of social bonds; regulating it solely by the law of the marketplace fails social justice….” (footnotes omitted) (no. 2425).

“The political community has a duty to honor the family, to assist it, and to ensure especially: — the right to private property, to free enterprise, to obtain work and housing, and the right to emigrate” (no. 2211).

“The principle of subsidiarity is opposed to all forms of collectivism. It sets limits for state intervention. It aims at harmonizing the relationships between individuals and societies. It tends toward the establishment of a true international order” (no. 1885).

The social teaching of the Catholic Church is based on a true anthropology. The Church recognizes the dignity of each human person. Thus, the person cannot be a mere part of a larger social whole. “These rights [that flow from human dignity] are prior to society and must be recognized by it” (Catechism, no. 1930). The human person is also communitarian by nature, i.e., each person exists with other persons in the world. Thus, it does not respect the dignity proper to persons when the individual is exalted over the common good:

“In keeping with the social nature of man, the good of each individual is necessarily related to the common good, which in turn can be defined only in reference to the human person” (Catechism, no. 1905; see also 1906-1912).

In the vision of the Church, society, including economic society, is not merely a loose conglomeration of isolated individuals who are related only by “the invisible hand of the market.” Neither is the human person reducible to a part of society nor is each person’s dignity defined by his relationship to the state. Thus, the social teaching of the Catholic Church is not limited to making some choice between “capitalism” or “socialism.” The Church is unequivocally opposed to collectivism and has upheld, not only as preferable, but necessary to respect human dignity, the operation of free markets and the right to ownership of property and the means of production.

Scripture warns about the pursuit and desire of money (cf. 1 Tim. 6:10), and Jesus Himself warned that “it is easier for a camel to go through the eye of a needle than for a rich man to enter the kingdom of God” (Mt. 19:24). In other words, significant temptations accompany the acquisition of material wealth.

Demographers bear out that an increase in wealth tends to lead people away from what God values most. For example, while God describes children as an unmitigated blessing (Ps. 127:3-4, Ps. 128:3-4), fertility rates tend to drop as a country’s material wealth increases. Some of the most prosperous countries tend to have lower morals, e.g., the Netherlands, France, and the United States, the latter of which is responsible for exporting immoral entertainment around the world through music, movies, television programming, etc.

Jesus does not include material wealth among His famous beatitudes, which introduce the Sermon on the Mount, although He did reminds us that we cannot give ourselves to God and money (Mt. 6:24). He also doesn’t present poverty as a sign of God’s disfavor. To the contrary, He commended the widow who gave all she had far more than the wealthy who gave out of their surplus (Mk. 12:41-44).

Countries that follow Church social teaching (consciously or otherwise) tend to prosper in a sane market economy. The poverty of countries with large Catholic populations typically stems from corrupt governments that do not follow the Gospel, e.g., Mexico during most of the 20th century.

The Church understands the benefits of a market economy and advocates what could be described as “capitalism with a conscience.” (Pope John Paul II’s encyclical Centesimus annus makes for good reading in this regard.) In addition, the Catholic Church has produced a wealth of cultural contributions, including in the areas of art, architecture, and literature.

Those countries that have tended to maintain their Catholic identities have some of the most moral populaces, measured, for example, by their significantly lower rates of divorce, unwed pregnancies, abortions, etc. These countries include Ireland, Mexico, and Chile. As Pope Pius IX wrote in 1931, “What we have taught about the reconstruction and perfection of social order can surely in no wise be brought to realization without reform of morality, the very record of history clearly shows” (no. 97). Ancient Rome is a prime example and brings to mind other words of our Lord for those who value material wealth too much: “For what will it profit a man, if he gains the whole world and forfeits his life” (Mt. 26:16).

I think, Vytautus, that you might be interested in reading a brief article on wealth called “Living Simply: Taking the Holy Family's Example to Heart” by Rev. Thomas G. Morrow. Fr. Morrow says:

“In every age, when the Church has pursued reform, the reformers have gotten back to a life of profound poverty. St. Francis of Assisi is a classic example; St. Dominic Guzman, founder of the Dominicans, is another. St. Teresa of Avila, St. Ignatius of Loyola, and St. John Vianney are three more prime examples. Blessed Anna-Maria Taigi lived, if not evangelical poverty, at least Gospel simplicity.

“Every Christian is called to live this simplicity. Fr. Thomas Dubay, S.M. wrote in his excellent book, Happy Are You Poor, “Scripture scholars seem to be of one mind… that most New Testament texts that deal with poverty as an ideal are meant to be applied to all who follow Christ.”

In addition to Fr. Morrow’s article, recommended reading for Church social teaching applied in the science of economics is Wilhelm Roepke, “The Social Crisis of Our Time.” Church documents on social teaching, such as Rerum Novarum or Centesimus annus, and Quadragesimo Anno can be found on the internet. For more distilled teaching, read the following sections of the Catechism: 1877-1948; 2207-2213; 2234-2257; 2401-2463. A short, but excellent, summary of the themes of Catholic social teaching is An Introduction to Catholic Social Teaching by Rodger Charles, S.J., published by Ignatius Press (see review in July/August 2001 issue of Lay Witness).

Finally, regarding Matthew 19:24, Jesus teaches that for merely human reason it is inconceivable that those whose heart is possessed by riches should enter the Kingdom. But look at the reaction of the disciples: “When the disciples heard this they were greatly astonished, saying, ‘Who then can be saved?’” The disciples know that all but the most ascetic have some possessions or attraction to material well-being. Jesus teaches that divine grace accomplishes the humanly impossible. With grace, riches do not possess the heart. This brings up the topic of stewardship: What does a rich person do with his money? See our Faith Fact Christian Stewardship: What God Expects of Us.

United in the Faith,

Eric Stoutz

Information Specialist

Catholics United for the Faith

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Steubenville, OH 43952

800-MY-FAITH (800-693-2484)