Archives For Economics

Guest post by Greg Hutana.

Recently, I watched a YouTube video on the Top 30 things to have prepared in case the Government or Financial systems that we have grown up with should come to an abrupt end.

The first on the list was to have some cold hard cash on hand, if indeed this should happen, while cash is still legal tender. The second was a real surprise. I was dumb struck to find, that according to this commentator’s reasoning, the second was to be debt free.

The person went on to explain that in a crisis like this most people assume that they get a free pass on their debts. In fact this is not the case. Instead the wealthy and those in power, turn to the function of a debtor’s gaol in order to continue having control and influence over people’s lives.

Now is this a fact or not? I couldn’t tell you for sure, but it might be worth investigating some of the small print in your mortgage contracts or credit card contracts to find out.

I realised after my first wife took the houses and left me with nothing, that in fact God had been generous with me in a roundabout way. Overnight I became free of my mortgage. I still had to work for five more years in a cleaning business to payoff my other debt’s, but today I’m debt free.

The Bible talks about not being in debt. Some may just see it as a story or a parable and not all that valid for today, but I believe it’s there to help us not be slaves to this world and its system. It’s very much valid for us today.

The Scriptures and this conversation are not meant to make you feel like crap or condemn you because you might be in debt to your eye balls, but rather to potentially help you to make new decisions around debt and the accumulation of more debt in the future.

People often say to me, “but Greg I have a house I can sell, or my kids must have the best schooling and health, so in fact I am not in debt, but instead, I’m sowing into equity for my kids future.”

The problem with this is that when you lose your job, fall ill or the housing market collapses, the people who loaned you the money, won’t want your brick house, your kids wonderful teeth or good education as payment. They will want the cold hard cash that you owe them, or something else far worse. The equity you thought you had will vanish.

If this teaching stirs up something in you then please don’t let it be condemnation. Let it be rather be a call to action.

One of the main reasons the modern church is so powerless is because the people of faith are as broke as everyone else around them, so how can you sow into your neighbour’s situation when your own is so dire?

Every month I’m able to be generous for no other reason then I have surplus. I have overflow. Will I ever own a house again? Maybe not, especially when I keep giving the savings for a deposit away, but God is big enough and he is more than able.

I’m fortunate, my ex-wife has a knack for milking the worlds systems for all their worth. My kids will never go without. Even though I don’t agree with everything she does, I thank God for her and her wisdom in this area. She has no idea that God has been able to give me confidence to be generous because of her skills.

God is big enough to care for my girls future, pretty awesome ha. God bless you and keep you in the faith. May you find the strength to be generous and work from abundance in regard to your neighbour, on your journey towards being debt free.

‘Keep yourselves free of the love of money and be content with what you have, because God has said, “Never will I leave you; never will I forsake you,” So we confidently say, “The Lord is my helper, I will not fear; what can man do to me?”‘ (Hebrews 13:5-6, ESV)

Greg is 47, and currently lives in New Zealand.

He is an elder at Beth Melek Jewish Community and a member of Maori Initiatives, helping indigenous people do better. Maori Initiatives runs a podcast, which can be listened and subscribed to via itunes.

He is the proud father of two daughters, and by his own admission is “a terrible example of Christ, who Christ still loves anyway!”

 

 


Image credit: Urfan Hasanov on Unsplash

Capitalism may be plagued by the sin of greed, a greed that hinders the free market through hoarding and monopolies, but ultimately capitalism creates room for compassion. Laws exist to fortify the free market, so as to protect the free market from the death blows of a greed-is-good culture. Through the referee of small government the free market is nurtured. Through capitalism doors are opened for freedom; for people to be free to be compassionate; free to give out of the abundance of what they have earned; out of the abundance of what they are free to own.

Socialism on the other hand has no checks and balances against greed. Socialism therefore cannot produce a people who are free to be compassionate. Although socialism is viewed as compassion, it doesn’t allow room for compassionate giving because by definition, under a socialist system, there shouldn’t be any need for anyone to have to give compassionately. However, the theory that all needs should be met, does not meet with the reality.

Socialism presupposes that the poor worker will never get rich or rise above his or her poverty. Socialism has to keep people poor in order to justify its own existence. This is because there can be no proletariat, no cause for class war, without keeping the working poor where they are.[i]

Socialism strips the individual of their right to own private property. The individual is left with no amount of abundance to give. Anything given outside the absolute rule of the socialist regime is frowned upon as suspiciously capitalist imperialism. In an exaggerated form, compassionate giving, at least without the state taking its cut, is a crime against the state. To give freely is treasonous because, in theory, under socialism there is no need for people to be compassionate. Every want and need is fulfilled even if the collective has to work for the time being in order to eradicate work entirely. The socialist holds fast to the paradoxical dream of a work-less society.

Unlike compassionate capitalism, compassionate socialism cannot exist. It’s an oxymoron because socialism as absolute economic law only has what it’s taken from the people; it has no capital outside what socialism has taken without compassion; creating no real margin of abundance for individuals to give compassionately from. Therefore the people themselves aren’t free to be compassionate in their giving towards one another.

People are to believe in strict equality, but not fairness. By concessions, the individual under socialism may have the freedom to earn or how they earn it, but they don’t have the freedom to be compassionate with what they earn. They couldn’t, even if they wanted to, because there is no abundance in socialism unless it is awarded to them by the state. The people have what the socialist government gives and nothing more. By default the socialist ruler becomes god, employer, mother and father; in essence the Führer is raised up as savior, because it is believed that he, through the socialist system he controls, knows what’s best for the people of the fatherland.

The Bible does not preach or foster socialism as an absolute economic law or morality. What the Bible does preach is that greed is a sin, that God loves a fair weight; fair trade; that He is a compassionate judge who wills to govern for His people, not govern at the whim and will of His people. The biblical witness as a whole holds fast to fairness and justice within the bounds of a life lived in freedom, under grace, in His Word; Jesus Christ. It is Father God, not führer-as-father who should rule out hearts and guide our minds.

As Paul noted to the Church in Corinth, in 2 Corinthians 8:8-24: give earnestly; give from abundance; give from that which is left over to those in need. Give what you can, when you can, where you can. Trade in fairness, do acts of grace, and do so freely [complete the work you started]. Do so with joy, for this will encourage reciprocal giving. Provide out of abundance in order to bring relief for those experiencing affliction.

Without compassion, capitalism fails. That is why checks and balances exist in order to keep the capitalist system from gorging itself to death with gluttony. Socialism, however, has no room and sees no need for compassion once it holds power. The socialist only sees the capitalist as his or her enemy, upholding socialism religiously, without opposition. Socialism is seen as true compassion and therefore the only compassion anyone truly needs. All who disagree or refuse to fall in line with this are labelled, without compassion, an enemy of it.

Socialism as a paragon of virtue lost its shine a long time ago.The socialist and capitalist can both operate under a “I will take from you to benefit me” rule.

It is, however, the necessary function of compassion that capitalism not only allows, but empowers, that sets capitalism apart from socialism. From this empowerment the individual under capitalism can and is empowered to say, “what can I give you in order to benefit you” as opposed to “what can I take from you to benefit me”.

Compassionate capitalism empowers compassion because it provides enough for people to choose to be compassionate. Socialism doesn’t allow this kind of freedom because it ultimately denies individuals the freedom to give. Whilst allowing the potential for greed, capitalism must eventually give a firm “no” to it, for its own sake. If not, the free market falls victim to the similar kind of totalitarian rule as that of socialism, only in this case, it’s a corporation, not a government left holding the throne without opposition.

‘No constitution or ethic can prevent power from becoming totalitarian. It must discover outside itself, a radical negation. [such as grace; the Divine compassion exhibited in, through and by Jesus Christ].’ (Jacques Ellul, Jesus & Marx. 1988 p.174)

References:

[i] ‘In Marxist dialectic, the oppressed must become the oppressor – the poor person becomes the absolute, a kind of priest – only through him can we meet Jesus and God; through serving him we are sanctified – this horizontal theology [or version of natural theology] returns quite simply to the project of excluding God’ (Jacques Ellul. Jesus & Marx, 1988. pp.42 & 48 parenthesise mine)

Photo credit: Milada Vigerova  ‘Hand, closeup, prayer‘ on Unsplash

Sir Thomas Sowell?

October 5, 2017 — Leave a comment

If Thomas Sowell were British, I’d say, “Knight the man!”

Then raise a glass in his honour.

Reason A.

Reason B.


References:

Sowell, T. 1994. Race & Culture