1 Restoring Economic Orthodoxy: Outline of (Neo-) Scholastic Economics John D. Mueller Director, Economics and Ethics Program Ethics and Public Policy.

Slides:

Advertisements

Similar presentations

WHAT IS ISLAMIC ECONOMICS? Ausaf Ahmad Presentation at Azerbaijan State Economics University Baku April 07, 2008.

Advertisements

The Natural Law and the Centrality of the Family.

ADAM SMITH and THE INVISIBLE HAND. Adam Smith was born in Scotland in He was a philosopher and an economist. He was one of the founder of classical.

Lesson 16 The Christian and God’s will (part II).

ECON 4925 Resource Economics Autumn 2010 Lecture 1 Introduction Lecturer: Finn R. Førsund Lecture 1.

Early Preclassical Economic Thought

Ethics (and Morals) Virtue & Character. Ethics and Morals are different Morals are value judgments, beliefs, principles, and rules for ordinary life.

Economics Today Chapter 1 The Nature of Economics Roger LeRoy Miller

Types of Economies.

Kingdom Living & the Christian Life Trinity International University

The Theory of Consumer Behavior The principle assumption upon which the theory of consumer behavior and demand is built is: a consumer attempts to allocate.

Divine Command -Explanation -Two opposing viewpoints -Interpretations -Valid Moral basis?

1 Babies and Dollars: Implications for USA, Russia & the World John D. Mueller Lehrman Institute Fellow in Economics Ethics and Public Policy Center (

Forty-percent of Americans say they attend church weekly. There are three major Christian Traditions: – Roman Catholic – Protestant – Eastern Orthodox.

WHAT IS AN ECONOMIC SYSTEM?. Economic System How the government and businesses work to provide goods and services to consumers Three Economic Questions.

Natural Law/Virtue Ethics. Morality and Human Nature  Natural Law Theory  Based upon assumption that the good is consistent with fundamental design.

What does it mean to be primal? It’s not about the basics, it’s about the foundational elements. Getting back to what’s important.

JESUS, AUGUSTINE AND AQUINAS CHRISTIANITY & POLITICAL PHILOSOPHY.

Important Words In Your Marriage Single Most Important Word God.

Economic Systems Comparing Economic Systems. Warm Up- Economic Systems Free Market Voluntary exchange of goods between individuals and business in a market.

Section 2 – Characteristics of the American Economy.

Utililitarianism John Stuart Mill John Stuart Mill Rejected Christianity Believed that only consequences matter in making moral judgments.

Modern Economics Theories Vugar Bayramov,

Characteristics of Free Enterprise. How does Free Enterprise answer the 3 Economic Questions? 1.What goods will be produced? sellers decide: what are.

Natural Law. Is there anything that is steady and secure? Answer: God’s order and eternal plan with the universe and man’s special place among the creatures;

An introduction to economics Unit 1 1.Explain the definition of economics. 2.What is the difference between macro- and micro-economics? 3.Why does scarcity.

Competing schools of thought Macroeconomic Theory.

Ethics (and Morals) Virtue & Character. Ethics and Morals are different Morals are value judgments, beliefs, principles, and rules for ordinary life.

A Note on Islamic Economics 16 interested in Islamic economics may contribute to a reconstruction of a political economy based on moral philosophy, and.

DO YOU LOVE GOD? Text: Matthew 22: Reasons Why We Love God 1. He gives us every good gift. James 1:17 1. He gives us every good gift. James 1:17.

Roadmap for Economics. What is Economics? The Social Science concerned with the efficient use of limited or scarce resources to achieve maximum satisfaction.

Morality has to do with the way we live our life. It helps us decide what is right and wrong behavior All Christians and non-Christians has morality Jews.

1 Mark 12:30,31 "And you shall love the Lord your God with all your heart, with all your soul, with all your mind, and with all your strength.' This is.

Economic Systems Three Basic Questions Due to scarcity, individuals, governments, and businesses, must make decisions about what to produce. The type.

CHAPTER EIGHT: SOCIAL PHILOSOPHY P H I L O S O P H Y A Text with Readings TENTH EDITION M A N U E L V E L A S Q U E Z.

1 1.2 Economic Theory. 2 The Role of Theory Economists develop theories, or ________________ to help explain economic behavior. An economic theory is.

© 2010 Jones and Bartlett Publishers, LLC A Practical Approach For Decision Makers SECOND EDITION EILEEN E. MORRISON.

The Seven Loves of a Child of God. Love God “And you shall love the Lord your God with all your heart, with all your soul, with all your mind, and with.

Atonement and Sacrifice The breadth of the message of Jesus.

Capitalism By 1750, British society moved further away from regulation of trade toward the free market of capitalism Capitalism = system of production,

Responding to Love in Love Human Acts & the Virtuous Life.

Core Ethical Teachings Christianity Year 11 SOR. Key Word  Ethics- The system of explicit, philosophical and/or religious reflection on moral beliefs.

The process of a nation, or society, follows to produce goods, and services Four types (traditional, command, market, mixed)

Natural Law Thomas Aquinas. Aquinas Accepts that the ultimate purpose of God is to be united with God This can only be attained through the grace of God.

1 "Blessed are the pure in heart, for they shall see God." (Matt. 5:8) The Heart of Man.

UNIT 7 PAGES OVERVIEW OF THE US ECONOMY. OVERVIEW OF BASIC ECONOMIC SYSTEMS Traditional : based on customs and traditions Command : government.

The Austrian Theory of the Market Economy and the Classical Liberal Order Peter J. Boettke Econ 881/Spring February.

Christian Ethics SCTR 19 – Religions of the Book Felix Just, S.J.

(THE HUMAN PERSON AS A MORAL BEING)

“Emancipated” Economics: A Loose Canon With thanks to Nicolas Kosoy.

Catholic Ethics. God and Virtue NON CHRISTIAN PEOPLE CAN HAVE GOOD MORAL CHARACTER AND PERFORM VIRTUOUS ACTS WITHOUT ANY FAITH IN GOD. BECAUSE OF THE.

“ Love your neighbor as yourself” (Matthew 22:36)

Roger LeRoy Miller Economics Today Chapter 1 The Nature of Economics.

The “National Market” Adam Smith and the school of classical economics.

Political Philosophy.  Areas of concern include the following:  The best form of government  The government’s right to exist  The government’s ethically.

The Study of Ethics How do we know how to do the Right Thing?

RAM-29th January 2014 Name any 3 characteristics of the human nature (3 marks) What is a soul(1 mark) What makes the human soul different from that of.

Matthew 22: Teacher, which is the great commandment in the Law?" 37 And He said to him, "‘You shall love the lord your God with all your heart,

Sources of morality.

Rationality in the economic ideas of D. Hume

Sources of morality.

Chapter 3 : lesson 3 Do Now:

Chapter Two Moral theology.

Unit 1 - Vocabulary.

The Father of Modern Economics

The Role of Economic Systems

The goodness or evil of human acts (deciding between Good and Evil)

Types of Economies.

Hobbes vs. Locke.

Presentation transcript:

1 Restoring Economic Orthodoxy: Outline of (Neo-) Scholastic Economics John D. Mueller Director, Economics and Ethics Program Ethics and Public Policy Center ( President, LBMC LLC ( Association of Christian Economists Conference Baylor University, 17 April 2009

2 What is Economics About? Well, what do people do all day?* Order in doing: 1. “Planting and building”: production 2. “Buying and selling”: exchange 3. “Marrying and giving in marriage”: distribution 4. “Eating and drinking”: use (consumption) *Luke 18: 27-28

3 Economics as human providence Order in planning: 1. For whom? 2. What? and 3. How (shall I provide)? 1.For whom: Augustine’s theory of personal gifts/crimes, Aristotle’s social, political distributive justice (distribution) 2.What: Augustine’s theory of utility (consumption) 3.How (a): Aristotle’s theory of production—of and by (i.) people and (ii.) property 4.How (b): Aristotle’s “justice in exchange” (equilibrium)

4 Positive: Augustine’s “Law of the Gift” Premises: 1. All persons motivated by love of some person(s). 2. Love is “willing some good to some person” (Aristotle). 3. We express personal love/hate by our distribution of goods. Descriptive (“positive”):Outer Acts toward: Kind of loveInner Act SelfOthers OrdinateBenevolenceUtilityBeneficence (Gifts) InordinateMalevolenceViceMaleficence (Crime) Prescriptive (“normative”): Two Great Commandments* Standard of benevolence (“goodwill”): negative Golden Rule (“Do not do unto others” = justice in exchange) Standard of beneficence (“doing good”): positive Golden Rule (“Do unto others” = personal gifts, distributive justice) *”Love God…with all your heart” (Lev. 19:18), “neighbor as yourself” (Deut. 6:5)

5 Gifts to others (express love) Crimes against others (express hate) Pure selfishness (assumed by Adam Smith and neoclassical economics)

6 How the Structure of Economics Has Changed (1): Simplified Element Outline DistributionConsumptionProductionExchange Scholastic (Thomas Aquinas) Yes Classical (Adam Smith) No Yes Neoclassical (Jevons, Menger, Walras) NoYes Neoscholastic (Scholastic outline, elements updated) Yes

7 How the Structure of Economics Has Changed (2): Detail Element Outline Distribution (Gifts/crimes & distributive justice) Consumption (type of utility) Production (people/property) Equilibrium (“justice in exchange”) ScholasticYes/YesYes (ordinal)Yes/YesYes Classical No/NoNoYes/No* (*“labor theory”) Yes Neoclassical Austrian (Menger) British (Jevons) Chicago (Schultz) Lausanne (Walras) No/No Yes (mixed) ordinal cardinal ordinal Mixed No**/Yes No*/Yes Yes/Yes No**/Yes (**“stork theory”) Mixed No (Mises) Yes ‘Neoscholastic’Yes/YesYes (ordinal)Yes/YesYes

8

9

10

11

Divine Economy: The Three Theories of Providence 1. Biblically orthodox natural law: God freely created man as a rational animal though sinning person: free to choose persons as ends, other things as means (AAA’s*) 2. Stoic pantheism: Cosmos one big rational animal, God its immanent soul; man a puppet manipulated by “invisible hand” to “ends... no part of his intention” (Adam Smith) 3. Epicurean materialism: no Creator or providence, only “matter and chance”; man a clever animal choosing means, not ends: reason “slave of the passions” (Hume) Thus the “Choice of 1776”: Created Equal—Or Not? * Aristotle + Augustine, first integrated by Aquinas