When it comes to economics, there is a serious comprehension deficit among Catholics. In order to understand this subject, we must first distinguish between the actions of human beings and the way those actions are perceived by those who study them. The value of any economic theory lies in how well it captures actual human … Read more
The latest Social Security Trustees Report tells us that the program will be insolvent by the year 2037. The combined unfunded liability of Social Security and Medicare has reached nearly $107 trillion in today’s dollars. That is about seven times the size of the U.S. economy and 10 times the size of the national debt. … Read more
Most of the arguments that occur over Catholic social teaching, made by people ranging from well-intentioned laity to very well-placed clergy, take place in an ignorance of economics so profound that I’m tempted to call it Edenic. I say this for many reasons. The first is sarcastic: Too many Christians look at the complex mechanisms … Read more
The trustees of the Medicare system recently reported that the program will go broke in the year 2024—five years sooner than was projected just last year. The millions of Americans who have been counting on Medicare to be a reliable, stable guarantor of affordable healthcare in their senior years should be asking themselves, “Who is … Read more
The debate over the application of the core teachings of the Christian faith began when Jesus was presented with a Roman coin containing Caesar’s image. In that moment, the Lord drew both a limitation to the legitimate power of the state and a distinction between it and the supreme authority of Almighty God. What would … Read more
So here I am in the Holy City for a week, to attend a family wedding and restore my shattered nerves. Too many months spent teaching Great Books in rural New Hampshire is enough to reduce a civilized man to a bag of broken glass, and I need at least a week of taking subways … Read more
Those who regard government “entitlement” programs as sacrosanct, and regard those who want to cut them back as calloused or cruel, picture a world very different from the world of reality. To listen to some of the defenders of entitlement programs, which are at the heart of the present financial crisis, you might think that … Read more
William J. McGee, the consumer advocate on the Department of Transportation’s Future of Aviation Advisory Committee wrote “Forcing the F.A.A. to Fly Blind” in The New York Times (April 9, 2011), where he laments Congress’ cut in the FAA budget, saying, “A $4 billion cut will necessarily reduce the work force further. And it’s hard … Read more
The economic crisis that hit the developed world a few years ago was devastating. Millions lost their jobs, their homes, and their retirements. But the next catastrophe — which could be coming soon — will make the recent recession feel like a boom time. Imagine gasoline prices really skyrocketing and the cost of food and … Read more
In most, if not all, states, pupils must pass a course in American history to receive a high-school diploma. Unfortunately, when it comes to our country’s economic history, most students are poorly taught, perhaps wrongly taught. Mythology and error prevail where facts and truth should reign. Some economists and historians have made excellent contributions to … Read more
And was Jerusalem builded here Among those dark satanic mills? … I will not cease from mental fight, Nor shall my sword sleep in my hand, Till we have built Jerusalem In England’s green and pleasant land. (“Jerusalem”, by William Blake) Last month marked the 100th anniversary of the most deadly industrial accident in American … Read more
Catholic discussion of economic policy usually takes place on a ridiculous level of abstraction. What is fairness, and can the market accomplish that? Shouldn’t the civic order bear responsibility for the health and well-being of its members? How can we balance the demands of social equality and individual ownership? These are all very high-minded questions, … Read more
One of the classic texts written in defense of political and economic freedom is Frederic Bastiat’s The Law. I remember having the book pressed on me as a high school senior by a smart, nerdy-looking libertarian who worked at the Laissez-Faire Bookstore in New York, and I wish that I’d read it then. It would … Read more
We could definitely use another Abraham Lincoln to emancipate us all from being slaves to words. In the midst of a historic financial crisis of unprecedented government spending, and a national debt that outstrips even the debt accumulated by the reckless government spending of previous administration, we are still enthralled by words and ignoring realities. … Read more
Debt and deficits seem to be on everyone’s minds these days. Whether it be worries about the American government’s fiscal woes, Europe’s fragile banking system, or the debt-as-a-way-of-life culture that disfigures so many lives, many people are seeking guidance about how to extradite ourselves from this mess with our souls intact. In this regard, Catholics … Read more
The liberal vision of government is easily understood and makes perfect sense if one acknowledges their misunderstanding and implied assumptions about the sources of income. Their vision helps explain the language they use and policies they support, such as income redistribution and calls for the rich to give something back. Suppose the true source of … Read more
A few years ago, I had an interesting conversation with one of our country’s most well-known and respected business leaders. It started as I was chatting with the man’s wife, and she asked me what I did for fun. I could have told her I enjoyed golf, or gardening, or skiing, or any number of … Read more
As if we needed another reminder of the fruits of avarice, the business press is on fire with the news of the conviction of Raj Rajaratnam, the founder of the hedge fund Galleon Group, on all 14 charges of conspiracy to commit securities fraud. I hope he looks good in federal orange. As the … Read more
As if more proof were needed about the minimum wage’s devastating effects, yet another study has reached the same conclusion. Last week, two labor economists, Professors William Even (Miami University of Ohio) and David Macpherson (Trinity University), released a study for the Washington, D.C.-based Employment Policies Institute titled “Unequal Harm: Racial Disparities in the Employment … Read more
Less than three years has passed since the publication of Pope Benedict XVI’s third encyclical, Charity in Truth. As some readers may remember, the encyclical caused quite a stir both in secular and religious circles — as have many of the past papal encyclicals dealing with economic questions, going back to Pope Leo XIII’s groundbreaking … Read more
