Grudem on Economics


From Politics According to the Bible.

Thesis: The Bible defends a system where property belongs to the people (262).  This is implied in 8th commandment.

“On reason why communism is so incredibly dehumanizing is that when private property is abolished, govt controls all activity. And when govt controls all activity, it controls what you buy, where you will live, what job you will have (and therefore what job you are allowed to train for, and therefore where you will go to school), and how much you will earn. It essentially controls all of life, and human liberty is destroyed” (262).

God’s giving property to human beings is found in our being in the image of God. Economic development is also tied into the image of God. We develop and produce more of the goods from a land. Materialism is bad, but material productivity is good.  “When the wealth of a nation increases, it becomes easier to fulfill many of God’s commands” (271).

Money Supply

Money is a measure of value, and unless people want to run a modern, technological society on bartering (how many eggs for a new car?), you have to come to grips with money.  A godly and stable money supply protects the wealth (8th commandment!) of everyone by protecting against inflation (which robs people of the purchasing power of the dollar).

Thesis: “One of the most important factors for economic development of a nation is a system where ownership of private property is easily documented and publicly known” (265).

Free Markets and Regulations

  1. The Bible’s teaching on property supports the notion that some form of economic liberty is good and socialism is bad.  And even if the bible didn’t teach that, natural reason does.
  2. The Bible warns against a ruler who would take the people’s wealth for his own.
  3. Property belongs to the people (in general) and not to the govt.
  4. The Bible values human liberty; therefore, it values economic freedom and not socialism.
  5. History documents the failure of socialism.
  6. The economic goods that a free market produces are always better quality than of socialism.  The goods are what people actually want and not what the govt thinks they should want.
  7. The free market encourages people to work and train for jobs they want and not what the govt says they should want.
  8. A free market allows an employer to hire the best works and fire the least productive, thus leading to a more productive company, thus leading to a better community.
  9. A free market serves the people by producing goods they want.

About J. B. Aitken

Interests include patristics, the role of the soul in the human person, analytic theology, Reformed Scholasticism, Medievalism, Substance Metaphysics
This entry was posted in American Evangelicalism, Economics, politics and tagged , , , . Bookmark the permalink.

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