Policies for Economic Compassion

The history of our Judeo-Christian tradition teaches us that social suffering occurs because as a communal society we are not living in right relationship. This means that we are not respecting the sacred dignity of humanity and all creation. At the level of society this means that Government must protect the basic rights and promote the basic needs of the common good.

The famous biblical episode of the Babylonian captivity expresses this historical teaching and we ought not to forget this lesson. The 8^th Century Prophets such as Jeremiah, Micah and Isaiah had warned the Israelite community that unless they followed the Mosaic Laws that protected the neediest members of their community and re-committed to the fair distribution of their lands than their covenant with God would be breached and God would respond with a social catastrophe. This was the occasion for the Babylonian captivity where early Jerusalem and the first Temple were destroyed. Yet the Prophets also predicted a divine renewal in the hopes that society can be rebuilt along the path of right relationships.

This would seem to be the case with what our global society is experiencing with this financial crisis. While our global economy continued to grow and demonstrate some impressive financial developments the basic moral value for the common good of the global society (a value that was adopted in the post World War II years) was left ignored as the gap between the wealthy and the impoverished widened.

Now we are living in the midst of the financial crisis. Judging by the results of the election, the American public is opting to reform a neo-liberal model of irresponsible global finance that left institutions unregulated and unaccountable. However the current AIG scandal is demonstrating how difficult it is to leave behind the culture of economic greed and unsustainable business practices.

Nevertheless, the consistent wisdom of our tradition informs us that if we are truly going to seek a sustainable future that is blessed by the invisible hand of Divine Providence than we must struggle to accept policy changes that construct an economic system that serves the common good. The AIG scandal has created a surge of popular discontent to business as usual. I fully agree that our government (or any other for that matter) should not legislate based on popular rage. An analysis of the causes that led to this culture should help us to adopt policies of fiscal and social responsibility, especially for our financial and credit institutions.

Chuck Collins, from the Institute for Policy Studies, offers an interesting policy alternative that could channel popular outrage in a more constructive way. Consider these options and think about how they may guide us in adopting a more compassionate global economy.

One Response to “Policies for Economic Compassion”

1. simon says:

   March 26, 2009 at 4:07 pm

   i find that economic justice is indeed important but that socialism in which certain categories of poeple are targetted misses the picture
   for example in china mao during the cultural revolution targetted the intellectuals

   in goa india where i live i too have been targeted by the church on the basis of the fact that my family owns land(bhatkars).not only has our land been given to tenant farmers but lately terraced fie ld land has ben acquired at rs 10 when the market price is rs 1000 for a football ground opposite st francis xaviers church macasana salcete goa
   is commercial football associated with poverty and does it drive out poverty and is this action fair?