This is part 2 of our series on Biblical Economics.
Proverbs and Free Markets
Selected Verse
An observation: According to Ronald Nash: “Almost without exception, the major evangelical books about social justice that have appeared since 1960s have been authored by writers who reject and condemn political conservatism as a cruel, heartless and uncaring movement totally out of step with an informed political view.” [1]
This leads to two questions: Is Capitalism, as one of the things that Conservative Christians cherished, unbiblical? Does a free market economics enjoy biblical support?
Purpose: Today we will explore the teachings in the book of Proverbs and how the blueprint for economics God offered is one we call Capitalism.
- Capitalism is Biblical since the Bible prohibit these means of acquiring goods and services:
- Coercion (violence)
- Fraud
- Monopoly and statist interference
- Capitalism is Biblical since the Bible permit these means of acquiring goods and services:
- Hard work
- Acquiring wealth over time
- Sales
- Saving
- 4 Kinds of People in a biblical economy:
- Biblically there are unvirtuous rich people
- Biblically there are virtuous rich people
- Biblically there are virtuous poor people
- Biblically there are unvirtuous poor people
I realize the term “Capitalism” can be emotionally loaded; it is important to be specific of my definition of capitalism: “An ideal market economy in which people exchange goods and services in an environment free from coercion, fraud, monopoly, and statist interference with the exchange process.” [2]
Some more comments about the definition of capitalism
- I use this term interchangeably with free market economics.
- Capitalism is not to be confused with cronyism. According to Wikipedia this “is an economic system in which businesses thrive not as a result of risk, but rather as a return on money amassed through a nexus between a business class and the political class. This is often achieved by using state power rather than competition”[3]
- Nor should capitalism be confused with fascism. According to Wikipedia this “is a form of far-right, authoritarian ultranationalism characterized by dictatorial power, forcible suppression of opposition, as well as strong regimentation of society and of the economy which came to prominence in early 20th-century Europe” [4]
In the end you want an economy that allows the biblical means of acquiring goods and services to be a reality versus an unbiblical means of providing goods and services which fits the definition of “Capitalism” or Free Market economics.
The Domain for Truth 