Our nation is deeply polarized on several issues, not the least of which is the question of which economic/political system is best.
Three Dominant Economic Systems
There are three dominant economic/political systems: communism, socialism, and capitalism. It is important to understand there are no “pure” versions of any of these models. Communist countries have elements of socialism. Socialist countries have elements of capitalism, and capitalist countries have elements of socialism.
Communism
In a communist economic/political system, the state owns all the businesses. The state controls the distribution of goods and services and provides all social services. The People’s Republic of China, Cuba, North Korea, and the former Soviet Union are examples of communist countries.
Socialism
In a socialist economic/political system, the state owns many businesses and services. Some private ownership is allowed. The citizenry pays high taxes to fund state-run social services, which typically include healthcare, food, and housing. Venezuela, Nicaragua, Vietnam, France, Netherlands, and Sweden are examples of socialist countries.
Capitalism
In a capitalist economic/political system, individuals and private organizations own and operate businesses. The free market determines the production and distribution of goods and services. Product prices are established based on supply and demand. Examples of capitalist countries include the United States, the United Kingdom, New Zealand, Australia, Switzerland, Germany, and Ireland.
The Biblical Economic Model
Instead of arguing over which of man’s economic systems is best, we would be better served to consider by asking what God has to say on the topic.
All the way back in the Garden of Eden, God established the framework for an economic model. God blessed Adam and Eve and said, “Be fruitful and multiply, and fill the earth, and subdue it; and rule over the fish of the sea and over the birds of the sky and over every living thing that moves on the earth” (Genesis 1:28).
These five imperative commands; be fruitful, multiply, fill, subdue, and rule are God’s marching orders to mankind. It is our cultural mandate. In Hebrew, the command to be fruitful implies not just procreation but also productivity.
Author Tom Nelson describes Biblical fruitfulness as “building up and utilizing our ability and capacity for influence, access, and wealth so that we might tangibly express our neighborly love.” Summarizing, Nelson wrote, “We were made to add value to the world in and through our work, and to love our neighbor in and through our fruitfulness.”
A Fruitful Life is Productive
The idea of a fruitful life as a productive life is found throughout Scripture. Numerous Proverbs deal with the issue of living a productive life. For example,
“Poor is he who works with a negligent hand, But the hand of the diligent makes rich” (Proverbs 10:4).
And,
“In all labor there is profit, But mere talk leads only to poverty” (Proverbs 14:23).
Jesus reinforced the teaching on leading a productive life with the Parable of the Talents (Matthew 25:14-30). Here, Jesus tells of three money managers. Two of the money managers succeed in their investments and are rewarded. The third money manager does nothing and loses what he has. Two of the money managers were productive, and one was not.
The first element of a Biblical economic model requires individuals to be productive, to add value to society. But being productive is not enough. We must also love and care for each other.
A Fruitful Life Loves Others
God is love (1 John 4:7). As image bearers of God, we must reflect God’s love to our fellow man.
In what is known as the Great Commandment, Jesus said, “Love the Lord your God with all your heart, with all your soul, and with all your mind. This is the greatest and most important command. The second is like it: Love your neighbor as yourself” (Matthew 22:37-39).
The second element of a Biblical economic model requires us to fulfill the Great Commandment to love God and love others. I wrote more extensively about what it means to love our neighbors here.
A fruitful life demonstrates love for God and love for others. In an economic sense, loving others means we seek a system where everyone flourishes.
How Can We Flourish?
Since 1964, when President Johnson enacted his War on Poverty, our government has spent trillions of dollars on programs to eliminate poverty. Yet poverty still exists. Our government has tried to eliminate poverty by legislation. Yet poverty still exists.
I conclude from this massive waste of money and effort that the government is not the answer to the problem of poverty.
Handouts from the government have never lifted anyone out of poverty. Handouts never enabled a population to flourish.
Real flourishing occurs when people have the opportunity to be productive. Opportunity is the critical element needed to enable people and societies to flourish. Opportunity means access to education, job markets, financial markets, and the freedom to start a business.
Opportunity is the all-important third element of a Biblical economic model. Every individual must be free to use their talents and pursue their dreams in a way that adds value to society.
Which Economic System is Most Biblical?
We live in a fallen world, and sadly, that means a perfect Biblical economic model will not happen here on earth. But what system will get us closest to God’s design?
Communism strips away the incentive for the worker to be productive or show love for another by sharing the fruits of their labor because the state controls everything and distributes what it will to whom it chooses.
Likewise, socialism reduces the individual desire to be productive because the state will meet all my basic needs for health care, housing, and food. Why should I work hard and pay confiscatory taxes when I can do nothing and have my basic needs met?
Capitalism remains the only viable choice. Capitalism allows the greatest opportunity for productivity, creativeness, individual fruitfulness, and the opportunity to flourish.
It is true that in many ways, man has corrupted the idea of pure capitalism. Governments have interfered with markets, restricted access to financial markets, and reduced opportunity for whole segments of society.
Capitalism is not perfect, but it is the closest to a Biblical economic system we have.
Join the Conversation
As always, questions and comments are welcome. Why do you think so many young people reject capitalism in favor of socialism?
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Category: Personal Development | Wisdom
