Economic Justice

1.4 billion people, or one quarter of the population of the developing world, live on less than $1.25 a day. [1] The poorest 10% accounted for just 0.5% and the wealthiest 10% accounted for 59% of all the consumption. [2] Most of us, hopefully, are aware of the state of poverty in the world, whilst also constantly exposed to the decadence of our own cultures. This disparity must surely cause us to question the system in which we are operating which allows such injustice.

The capitalist system holds as the highest good the right of the individual to own property. Libertarian economist, Murray Rothbard, argued that, “It is wrong and criminal to violate the property or person of another, even if one is a Robin Hood, or starving, or is doing it to save one’s relatives, or is defending oneself against a third man's attack.” [3] Thus, we see property rights prioritised even over the right to life or security. It is a system such as this which permits the disproportionate distribution of wealth.

Socialist views, on the other hand, prefer state ownership in order to promote egalitarianism. Famous revolutionary Che Guevara observed that, “Socialism cannot exist without a change in consciousness resulting in a new fraternal attitude toward humanity, both at an individual level, within the societies where socialism is being built or has been built, and on a world scale, with regard to all peoples suffering from imperialist oppression.” [4] Whereas capitalism is based on an assumption that everyone is selfish – something I would say is true due to the Fall – socialism rests on the understanding that people may come to value others above themselves. I believe this kind of transformation can only come from God. As such, a socialist system is doomed to failure, unless everyone recognises Christ – an end that will only be achieved with Christ’s return.

Catholic theologian Thomas Aquinas argued that private property rights are necessary to human life on the basis of pragmatics – they allow for human nature and maximise efficiency. But he also held that “man ought to possess external things, not as his own, but as common, so that, to wit, he is ready to communicate them to others in their need”. [6] Thus there is a public aspect to privately owned property so that, “In cases of need all things are common property, so that there would seem to be no sin in taking another’s property, for need has made it common.” [6] Private property, when upheld as the absolute, leads to economic injustice. Rather, it must be seen as a means to an end if it is to be of any benefit to the world’s most needy, to whom we owe both charity and justice.

However, there should be no poor among you, for in the land the LORD your God is giving you to possess as your inheritance, he will richly bless you, if only you fully obey the LORD your God (Deut. 15:4-5)



[1] 2008 World Bank Research by Martin Ravallion and Shaohua Chen
[2] World Development Indicators 2008, World Bank, August 2008
[3] War, Peace, and the State, 1963
[4] Afro-Asian Conference in Algeria, February 24, 1965
[5] Summa Theologica, On Theft and Robbery

Originally written for the economics edition of iCU (Melbourne Uni Christian Union Newsletter)