The Church’s Social Doctrine- Work: Part III
Now for the finale of this blog series! May it help people to grasp and appreciate the Church’s social teaching, that they may put it into action and spread God’s love to the whole world.
The Role of the State (cont.)
Set in the midst of State-instituted boundaries, an economy can function properly. A free market is potentially beneficial to a nation, but “only when the State is organized in such a manner that it defines and gives direction to economic development.”[28] One responsibility of the State that some people see as undesirable is direct intervention, which is to be used “when social sectors or business systems are too weak or are just getting under way, and are not equal to the task at hand.”[29] These interventions can be a wonderful way to assist a struggling entity or economy, but they “must be as brief as possible, so as to avoid removing permanently from society and business systems the functions which are properly theirs, and so as to avoid excessively enlarging the sphere of State intervention to the detriment of both economic and civil freedom.”[30]
Set in the midst of State-instituted boundaries, an economy can function properly.
Another way in which a State can assist an economy is through taxation and subsequent public spending.
“Tax revenues and public spending take on crucial economic importance for every civil and political community… because it will encourage employment growth and sustain business and non-profit activities and help to increase the credibility of the State as the guarantor of systems of social insurance and protection that are designed above all to protect the weakest members of society.”[31]
This function of the State falls under the application of the principle of solidarity. It is the responsibility of a nation’s people to care for the less fortunate and, since it is difficult to do so equitably on a large scale, taxation and redistribution of wealth is a logical and fair way to accomplish our duty. The most interesting and edifying fact related to taxation and public spending is that, in assisting the less fortunate, business can benefit and thereby improve society. How intricately connected are the many issues of Catholic social teaching!
Business in Society
We have already seen many ways in which business affects society, from its impact on the environment to the importance it has for workers and their families. At its heart, business “should be characterized by [its] capacity to serve the common good of society through the production of useful goods and services,”[32] and it should do these things in the service of man and society. An additional good geared towards the people of society is summed up well in this statement: “…businesses also perform a social function, creating opportunities for meeting, cooperating and the enhancement [of] the abilities of the people involved.”[33] Much of what a business must keep in mind has already been discussed in previous sections, so we will move ahead to an examination of the global implications of business for society.
…business ‘should be characterized by [its] capacity to serve the common good of society’
Globalization has opened up new frontiers for business, not only in a territorial sense but also in a financial sense. New opportunities and dangers have arisen in the field of social justice through this worldwide spread of communications technology, fueled primarily by the internet. For example, the ability for poorer countries to:
“attract foreign businesses to set up production centres, by means of a variety of instruments, including favourable fiscal regimes and deregulation of the labour market… have led to a downsizing of social security systems as the price to be paid for seeking greater competitive advantage in the global market, with consequent grave danger for the rights of workers, for fundamental human rights and for the solidarity associated with the traditional forms of the social State.”[34]
In light of this, businesses must be very careful which opportunities they pursue, keeping in mind the impact that their actions will have on their own nation’s people, as well as the people of the country into which they are entering. One such concern should be of effect of hasty, excessive technological innovation in country, which may not allow sufficient time for adjustment and authentic human development. All in all, businesses must be aware of the cultural, political, and economic ramifications of their actions, because these can be equally important.
To sum up the ideal, socially healthy goal of business, we look to Pope Benedict XVI:
“In order to construct an economy that will soon be in a position to serve the national and global common good, it is appropriate to take account of [the] broader significance of business activity. It favours cross-fertilization between different types of business activity, with shifting of competences from the “non-profit” world to the “profit” world and vice versa, from the public world to that of civil society, from advanced economies to developing countries.”[35]
Conclusion
Taking in the whole of what we have discovered throughout the course of our discussion of business and society, we can see several key themes. First, the primacy of man as “the subject of work”[36]; second, the importance of work for true human development; third, the need for cooperation between labor and capital; fourth, the necessity for proper facilitation of just economic function by the State; and fifth, the need for responsibility in this new era of globalization. Let us, therefore, take what we have learned and apply it to our own lives, that in doing so we may grow closer to God and one another. Let us take up our daily task and occupation, fulfilling God’s design for us by seeing our world as a gift from God. Let us “till it and keep it” (Gen 2:15), as we have been commissioned to by our heavenly Father, his Son, and the Holy Spirit. Amen.
[28] Pontifical Council for Justice and Peace, Compendium of the Social Doctrine of the Church (Washington, DC: USCCB Publishing, 2005), 353.
[29] John Paul II, Centesimus Annus, 48.
[30] John Paul II, Centesimus Annus, 48.
[31] Pontifical Council for Justice and Peace, Compendium of the Social Doctrine of the Church (Washington, DC: USCCB Publishing, 2005), 355.
[32] Pontifical Council for Justice and Peace, Compendium of the Social Doctrine of the Church (Washington, DC: USCCB Publishing, 2005), 338.
[33] Pontifical Council for Justice and Peace, Compendium of the Social Doctrine of the Church (Washington, DC: USCCB Publishing, 2005), 338.
[34] Benedict XVI, Caritas in Veritate, 25.
[35] Benedict XVI, Caritas in Veritate, 41.
[36] John Paul II, Laborem Exercens, 6.
