The document discusses the Catholic Church's teachings on democracy and capitalism. It argues that the Church has historically supported individual liberties and rights, including private property rights and democratic systems. However, capitalism must be implemented responsibly and for the common good, avoiding greed and exploitation. While supporting free markets, the Church also advocates for policies that benefit the vulnerable and promote justice in society.

1. Democratic CapitalismStems from Catholicism
In brief: For generations the CatholicChurch has worked towardsjustice in society – in the defense of
the most vulnerablepeople. The good news ofJesus Christis one of love. Our loveof our neighbor
leadsdirectly to a recognitionof hisdignity,anda recognitionof the rightsthat are due to all people.
The Church,andJudeo-Christianteachingbroadly, hasledto the very fabricof our democracyin the
UnitedStates; and in manyinstancesour democracy works towardsjustice. The individual libertywe
enjoy isa direct resultof this democracy,and thisliberty is best used to work towardsjustice in
society. One area in whichthe Church works towardsjustice is inour clear support for individual
ownershipof property andbusinesses. We work to shape policyand to stimulateinvestmentswhich
achieve beneficial outcomesfor thosein most need. Church teachinghashelped bringabout
democracy itself,andwe supportthe pursuit ofcapitalist activitywhichpromotes justicein society.
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The seemingmisconceptionsregardingthe economicteachingof the Churchare widespread,andshould
be addressed respectfullyandwithclarity.
Firstand foremost,we are a Churchof missionarydisciplessentforthtospreadthe goodnews of the
Gospel. Ourlove of the Father,and His sonChristJesus,guidesindividual conscienceaswell asthe
commonvoice of the Church throughtime. It isthroughthe HolySpiritthatwe receive andapply
humility,patience,kindness,andcharitytohelpthose in need. The call to thissimple serviceisrooted
inthe love of God,and itsnatural expressionisthe love of neighborandservice tohim. Indeed,this
commonthreadof love andservice toothers isweavedwithin the majorfaithtraditions;andispartof
the foundationuponwhichwe buildinter-faithunity.

2. Second,aswe growin love withJesus,andthroughHispower,we naturallyrecognize the dignityand
value of life itself. Itisforthissimple andpowerful reasonthat we cannotseparate the dignityof the
person,andthe right to humanlife. We cry outfor the livesof the babiesnotyetborn – that they may
have a choice;it isalsofor thisreasonthat we standin supportof the ailing,the marginalized,the
immigrant, the oppressed, the poor,andthe elderly;itisforthis reasonthat we work forthe greater
good,our planetand itsecology,andour shared peace.
Third, the individual libertyprovidedthroughdemocracyisimbuedwiththisresolute recognitionof
individualdignity. Withthisrightcomesindividualresponsibilities: tofamily,tocommunity
participation;tosolidaritywithourbrothersandsistersabroad;andto protect the vulnerable. We work
to defend these individual liberties,includinghumanrights,andthe rightto free andfairelectionsfor
legislative representation. We as Christians protectpeoplefromthe atrocitiesthatresultfrom
totalitarianregimes,and we are on the frontlinesministeringtothose who eventodaysufferunder
extreme violations. We harness libertytomarchtowards the bestversionof society;andwe actively
workto supportdemocracy, to defend the pursuitof justice throughthe legislative process,and to
continuallyprayforourelected leaders.
Fourth,the political economyisone areainwhichwe workto achieve the bestversionof society;an
economywhich recognizesthe rightsandresponsibilitiesof employersandemployees;aneconomy
whichmostefficiently providesgrowthineconomicproductivity;andaneconomy whichprovidesfor
the individual empowermentwhichenablesthisgrowth. “The economymustserve people, notthe
otherway around. Work is more than a way to make a living;itisa form of continuingparticipationin
God’screation.”i
Employerscontribute tothe commongoodthroughthe meansof livelihoodsthey
create,as well asthe productsand servicestheydeliverwhichenhance ourstandardof living.
Concurrentlytheybearresponsibilitiestoprovide justwages,toadequate benefitsandsecurityforold
age,and to recognize worker’srightsto asharedvoice. We recognize the economyexists toserve the
people;thateachof us, individuallyandcollectively, maycontinue inourparticipationwithinGod’s
creation. It therefore followsthat we mustaddressquestionsof economicpolicyandcommercial
relations throughthe lensof the individual,andthroughthe lensof the effectonthe commongood.
As a Church,we have a longtraditionof standingforindividual rightstopropertyandthe meansof
economicproduction. Recall,the Parableof the Talents,“The firstcame forwardandsaid, ‘Sir, your gold
coinhas earned tenadditional ones.’ He replied, ‘Well done, goodservant!Youhave beenfaithful inthis
very small matter;take charge of tencities.’”.ii
Thisisthe message of goodstewardship inthe
managementof productive resources. Pope LeoXIII stated“The law, therefore, should favorownership,
and itspolicy shouldbe toinduce asmany as possible of the peopletobecome owners.”iii
Furthermore,
Pope Francisrecently declared, “The private ownership of goodsisjustifiedbythe needtoprotectand
increase them,sothattheycan betterserve the commongood”iv
Undoubtedlycapitalism,andthe
international trade ithashelpedaccelerate,have liftedmillionsfromgrindingpoverty.
Fifth, toooftenthe political dialoguebecomesconfrontational andhence reachesstalemate. This
divisiveness temptsus tojumpto one side of an over-indoctrinatedleft-rightdivide. We mustrecognize
the crucial difference betweenmeansandends. Tobe clear,we standin strongsupportof democracy,
individualownership,andthe allocationof private capital forthe pursuitof profit withinthe market.
Thisis the mostefficientandeffective known meanstoachieve broadeconomicprosperity.However,
we must worktowardspolicywhichutilizesthe “markettool”inaway that cultivatesthe dual endsof

3. individualempowermentandthe commongood. Unfortunately,the negative effectsof poorpolicy, and
the unrestrained pursuitof profit atanycost, affectthe weakmostsignificantly. We therefore must
standup againstactionsof unfettered greed, wastefulness,exploitation,pollution, andcorruptionwhich
result. These actionsare the concomitantsof broaderissues,including:highunemployment,
governmentindebtedness, financial marketvolatility, systemicconstraintsonincome mobility, and
geopolitical instability. Thisisnotan indictmentof capitalism; butanindictmentof the irresponsible
implementationof capitalism. The evasionof responsibilitieshasledtounintendedconsequences,
relatedrisks,andthe goalsof broad quality-of-life improvements formanypeoplehave gone unmet.
Our hope isinthe justuse of the legislativeprocess,of private capital,of individual ownership,andof
newinnovation forusall. Newmodesof commerce are increasinglyprovingworthwhile. Market
innovations tocatalyze private returnstocapital, and societalbenefit forthose inmostneed,have
demonstratedefficacy. These includeimpactinvesting,social entrepreneurship,micro-enterprise,fair
trade initiatives,cooperatives,benefitcorporations,and social impactbonds. Clearlynotthe panacea,
but these toolsprovide hopeforimprovedmarketoutcomes. Furthermore,we call uponpolicy makers
to establishrulesof the marketsystemwhichbestsupportjustoutcomes;andwe call uponbusiness
leaderstoworkwithinthe marketsystemasgoodstewardsof theirresources.
In sum,the teachingof the Churchis one of steadfastpursuitof societal justice,and a responsible
applicationofcapitalism. Ourlove ofGodleads to a love ofneighbor,and a recognitionofindividual
dignity,andthat of our commonhome. In manyinstancesour democracy in the UnitedStates is
imbuedwith the dignityandinviolablerightswhichthe Church hashelped propagate. Our democracy
therefore is a system of individual libertywhichisbest directed towards the greater good. The Church
supportseconomicpolicyand free market activity,whichintentionallyworksto benefit thosein most
need.
About the Author: Dale Fickett serves theboard of the Virginia Catholic
Conference,and heis ExecutiveDirector of RVA Works – a public-nonprofit
partnership atthe City of Richmond. RVA Worksis an incubatorputting shape
on an innovation ecosystemforimpactand returns. Healso servesthe
Commonwealth of Virginia on theSocialEnterprise and ImpactInvesting
Working Group. Fickett hasled research and contributesasa frequentguest
lecturer on issuesof social responsibility,sustainability and entrepreneurship
at the Wharton School,University of Pennsylvania,Northwestern University,
Virginia Commonwealth University,Villanova University,and Trinity College,
Dublin.
i Forming consciences for faithful citizenship:Acall to political responsibility fromthe Catholic bishopsof the
United States ; with introductory note. (p. 13). (2011).Washington,D.C.: United States Conference of Catholic
Bishops.
ii Luke 19: 16-17.
iii Leo XIII,Rerum Novarum - On Capital and Labor”Vatican: the Holy See. Rome, 15 May 1891, 46.
iv Francis,Evangelii Gaudium – The Joy of the Gospel” Vatican: the Holy See. Rome, 24 Nov. 2014, 189.