Catholic Principle
"Catholic teaching opposes collectivist and statist economic approaches. But it also rejects the notion that a free market automatically produces justice. Competition and free markets are useful elements of economic systems. However, markets must be kept within limits, because there are many needs and good s that cannot be satisfied by the market system. It is the task of the state and of all society to ensure that these needs are met. All people have a right to economic initiative and to private property, but there are not unlimited rights. No one is allowed to amass excessive wealth while others lack the basic necessities of life."
The principle of Free Markets, Economic Initiative, and Private Property provides teachings on the core catholic fundamentals on the art of economics. Overall, the Catholic church allows for individual incentive and allows one to pursue profits. However, the church do put limitations on ones intention on obtaining these profits. Catholicism teaches that one may not pursue excessive profits if there are individuals who are struggling to survive. In addition, the church teaches that one may own private property, however, must be used to help others. Moreover, Catholicism believes in a free market system, where individuals are innovating and driving creativity.
Key Terms:
Economic Initiative - Having the ability to pursue individual profits and obtain wealth. However, this does not mean an individual can amass excessive wealth while others struggle to meet the basic standard living conditions.
Private Property - Having the ability to purchase and own property. An individual has the right to own private property, however, the individual must use the property for the common good.
Free Market - A free market is favoured by Catholicism. Catholic teaching upholds the belief that the economy should be a vacuum for individuals to innovate and become creative. This implies that government interference should be highly restricted and should not majorly interfere with actions going on in the economy.
The principle of Free Markets, Economic Initiative, and Private Property provides teachings on the core catholic fundamentals on the art of economics. Overall, the Catholic church allows for individual incentive and allows one to pursue profits. However, the church do put limitations on ones intention on obtaining these profits. Catholicism teaches that one may not pursue excessive profits if there are individuals who are struggling to survive. In addition, the church teaches that one may own private property, however, must be used to help others. Moreover, Catholicism believes in a free market system, where individuals are innovating and driving creativity.
Key Terms:
Economic Initiative - Having the ability to pursue individual profits and obtain wealth. However, this does not mean an individual can amass excessive wealth while others struggle to meet the basic standard living conditions.
Private Property - Having the ability to purchase and own property. An individual has the right to own private property, however, the individual must use the property for the common good.
Free Market - A free market is favoured by Catholicism. Catholic teaching upholds the belief that the economy should be a vacuum for individuals to innovate and become creative. This implies that government interference should be highly restricted and should not majorly interfere with actions going on in the economy.