Economic performance of great religions
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Transcript of Economic performance of great religions
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ECONOMIC PERFORMANCE OF GREATRELIGIONS
Paul Fudulu
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CHAPTERS
I. WEBERS RATIONALISM VERSUS THEGENERAL POWER PERSPECTIVE
II. THE MODELIII. THE PREFERENCE FOR ABSOLUTE
WEALTH
IV. THE KIND OF DIVINITY
V. THE KIND OF SALVATION
VI. CONCLUSIONS
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Webers rationalism as a indirect determinant of
capitalism
Magical and religious forces Certain typesof rational practical conduct Economicrationalism
Protestantism (English Puritanism) Rationalasceticism Economic rationalism
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WEBERS FUNDAMENTAL ASSUMPTIONS
Wealth is the general or trans-cultural mega-
objective Capitalism is consistent with any culture
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FUNDAMENTAL IMPLICATIONOF NO VARIATION IN MEGA-
ENDS Variation in performance is determined byvariation in rationalism
Rationalism dependent on biological or anthropological factors and explained bycomparative racial neurology and psychology
The same logic in the present: North and others
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THE MODEL OF GENERALPOWER
The general power maximand: (absolute)wealth +(relative)power
The double meaning of ordinary wealth: absolute
wealth + relative wealth (power component of wealth)
Reasons: other social sciences, human behavior within other cultures, the descriptive power of themodel
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IMPLICATIONS OF THEGENERAL POWER MODEL (I)
Implication for the definition of rules Implication for the definition of institutions Implication for an economic definition of
culture
Implication for the definition of satisfactionand preferences
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IMPLICATIONS OF THEGENERAL POWER MODEL (II)
The inverse relationship between opportunity
costs and preferences The rule for the institutional choice The available power theory: the relationship
between climate, power level and economic performance
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INSTITUTIONS AS OPPORTUNITY COSTS:FREE MARKET AND CENTRAL PLANNING
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WealthWealth
Power Power
Free Market Central Planning
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CULTURES AS INDIFFERNCE CURVES FOR WEALTH AND POWER: GREEK AND
WESTERN CULTURE
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WealthWealth
Power Power
Greco-RomanCulture
WesternCulture
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WealthWealth
Power Power
High Preference and Low OportunityCost for Wealth
Low Preference andHigh OportunityCost for Wealth
WEALTH AND POVERTY AS A RATIONALCHOICES
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THE GENERAL POWER MODEL VERSUSWEBERS RATIONALISM IN TWO SITUATIONS
A. The Puritan believer compared to the Catholic believer
The Weberian perspective : The Puritans conduct: planned and systematic
character for his whole life
The Catholic: a life from hand-to-mouth
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The general power perspective :
The Puritan: focused on absolute wealthThe Catholic believer: relatively more focused
on power
Different objectives entail different rationalisms
THE GENERAL POWER MODEL VERSUSWEBERS RATIONALISM IN TWO SITUATIONS (II)
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THE GENERAL POWER MODEL VERSUSWEBERS RATIONALISM IN TWO SITUATIONS
(III)
B. The Western judge compared to the Chinese judge
The Weberian perspective: The Western judge: acting based on formal laws,
irrespective of person The Chinese judge: in accordance with the
concrete qualities of the people concerned and theconcrete situation... (Weber, 1984:49).
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THE GENERAL POWER MODEL VERSUS WEBERSRATIONALISM IN TWO SITUATIONS (III)
The general power perspective: The Western judge: many stereotyped choice
situations (equal persons, same situations)
The Chinese judge: singular and very differentchoice situations (different power levels of heinteracting parties, different situations)
For the two judges choice situations aredifferent; choice situations determine rules
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DETERMINING THE CONSISTENCY LEVEL
The logic : the preference for the mega-objectiveof wealth determines the level of economic
performance (the level of human and other
resources sacrificed for the production of wealth)
Determining the preference for wealth: directly
and indirectly (through the opportunity cost of abosolute wealth, the preference for relative
power and the opportunity cost of power)
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THE DIRECT CRITERIA OF CONSISTENCY
Preference for ordinary wealth, Type of asceticism, Level of encouragement of saving (productive) Level of prohibition of interest
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THE INDIRECT CRITERIA OFCONSISTENCY
Kind of divinity Kind of salvation (the role of churches, priests
and sacraments)
Encouragement of obedience to earthly authorities Power of man over woman Type of social justice which is encouraged Level of separation of religious authorities from
the earthly ones and Type of organization of the church.
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THE PREFERENCE FOR ABSOLUTEWEALTH
Absolute wealth and relative wealth and the need for additional information
Absolute wealth associated with: maximization of the profitas an end in itself, functional asceticism (a level of
asceticism which is compatible with absolute wealthgrowth), rejection of consumerism, encouragement of standardization of life (which is compatible with thestandardization of production and efficiency), labour ascalling, specialization in one field
Relative wealth associated with :high preference for leisure,sociability, idle talk, luxury consumption, ostentatiousconsumption, sports, hunting, all-round education
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Protestantism and Confucianism
Protestantism: To wish to be poor was...thesame as wishing to be unhealthy (Weber,1985:163)
Confucianism: However in the wholeorthodox literature a high regard for economicactivity is notably conspicuous. EvenConfucius would strive after riches... (Weber,1984:52)
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ABSOLUTE VERSUS RELATIVEWEALTH IN PROTESTANTISM
The certainty of salvation is achieved by profeciency in a calling
About Protestant businessman: He avoidsostentation and uncessary expenditure, as wellas conscious enjoyment of his power, and isembarrassed by the outward signs of the socialrecognition which he receives (Weber,1985:71)
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ABSOLUTE VERSUS RELATIVEWEALTH IN CONFUCIANISM
Even Confucius would strive after riches,though it might be as a servant, whip in hand(Weber, 1984:53).
Profit-making through husbundry, medicine,or being a priest is regarded as the lesser (i.e.inferior) way (Weber, 1984:53).
To a Confucianist, an all-round education was better than expertise in a single thing (Weber,1984:53)
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CONSISTENCY LEVEL BY THECRITERION OF THE PREFERENCE FOR
ABSOLUTE WEALTH
High : Judaism, Protestantism Low : Catholicism, Orthodoxism,
Confucianism, Buddhism Not ranked : Islamism
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THE KIND OF DIVINITY: Monotheism,Polytheism and All-Soul
Monotheism makes possible any power level, exceptinfinite power, but it is only monotheism that makes
possible the highest consistency with economic performance and it is no accident that it was refined byno others than Jews after many centuries.
Polytheism implies different simultaneous rankings of the mega-goods wealth and power and, as such, theidea of inequality is intrinsic;
All-Soul. Instead of a fellowship with God but never God, the individual becomes part of the absolute, partof the divinity
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THE KIND OF DIVINITY : Transcendence
Transcendence suggests a significant limitation of individuals power; an individual can never becomeGod. Lack of transcendence opens the gate tointermediaries, saviours and mysticism and allows aconsiderable degree of earthly power concentration
The entailed consistency ranking, listed in andescending order : Judaism, Protestantism (Puritanism,Lutheranism), Catholicism, Orthodoxism, Islamism,BuddhismNot ranked : Confucianism
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Ways to salvation: works, faith, meditation anddivine Grace
Actors:
Individual believer seeking salvation,Intermediary which could be a priest, a magician or aredeemer God
THE KIND OF SALVATION
Actors: divine and earthly. The greater the role of earthly actors, the higher is the power concentration
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Ways to salvation and the concentration of human power (I)
The divine Grace does not bring any danger; individualis saved by just Gods and there is no earthly actor involved and as such no earthly power, individual or institutional, is encouraged to develop or is justified
Works pose the danger of sinful human pride or tendency to absolutization or becoming. Luther rejectedworks as a way to salvation because he was worriedabout laws, teachings of men, perverse leviathanand the fact that freedom and faith are destroyed (M.Luther, apud. Hillerbrand, 1968:19);
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Ways to salvation and the concentration of human power (II)
By faith the role of the believer in salvation issomehow diluted but another danger emerges: the roleand, consequently, the power of the intermediaries,individual or institutional. The magician, the priest and
the church pretend to have the monopoly of mysteries that can help individual to reunite withGod
Meditation : Salvation is wholly individuals performance, without redeemers, God, priests,magicians or other individuals. It is for this reason thatthe Buddhists monk can propel himself even beyondthe station of gods; there cannot be a higher level of
power attained by a human being and no greater inconsistency with economic performance
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SALVATION IN ORTHODOXISM
Salvation can be appropriated by a personal effort(Bulgakov, 1988:106), through the action of faith, butthe striving for salvation is also expressed by works,
because Faith without works is dead(Bulgakov,1988:107).
the truth of the Word of God is possible only if one is inspiritual union with the Church (Bulgakov, 1988:13). Andfor the reception of the Grace of the Holy Spirit, which, of course, abides in the Church, God has been pleased toestablished a definite way...in the holy mysteries or sacraments (Bulgakov, 1988:111)
Conclusion: Salvation in orthodoxism is achieved mostlythrough earthly actors
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SALVATION IN CATHOLICISM
Similar to the Orthodox one There is more mysticism in Orthodoxism The Catholic Church is more inclined to fight for its
cause in the real world, while the Eastern or theOrthodox is more on a defensive stance
The people of God so characteristic of Orthodoxy,are the poor and simple, outwardly powerless or those who are without defence (Bulgakov, 1988:151)
Conclusion: Salvation in Orthodoxism is achieved suchas to encourage slightly less power inequality incomparison to Orthodoxism
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SALVATION IN LUTHERANISM
Luther was possessed by a feeling of revolt against God, ecclesiastical andcivil authorities, all threatening and asking for works : Though I lived asa monk without reproach, I felt that I was a sinner before God with anextremely disturbed conscience. I could not believe that He was placated by my satisfaction. I did not love, yes, I hated the righteous God who
punishes sinners (Luther, appud. Hillerbrand, 1968:2) passive righteousness with which merciful God justifies us by faith
(Luther, appud.Hillerbarnd, 1968:2), Christian man is a free man and does everything out of brotherly love
Conclusion: Luther abandoned most of the earthly authorities:According to the Lutheran Church grace was revocable and could bewon again by penitent humility and faithful trust in the word of God and in the sacraments (Weber, 1984:102
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SALVATION IN PURITANISM
Predestination: by Gods sovereign decrees part of humanity is saved, the rest damned. Grace isimpossible to be lost as it is impossible to be attained
by those to whom God has denied it. No priest, no
church, no sacraments can help individual to changewhat God has decreed God cannot be moved by anything and anybody and no
earthly power is justified on the ground of salvation
Conclusion: There is no greater power equalityimaginable guarded by religious arrangements and nolower preference for power and, implicitly, higher
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SALVATION IN PURITANISM
Predestination: by Gods sovereign decrees part of humanity is saved, the rest damned. Grace isimpossible to be lost as it is impossible to be attained
by those to whom God has denied it. No priest, no
church, no sacraments can help individual to changewhat God has decreed God cannot be moved by anything and anybody and no
earthly power is justified on the ground of salvation
Conclusion: There is no greater power equalityimaginable guarded by religious arrangements and no lower preference for power and, implicitly,higher preference for wealth
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SALVATION IN JUDAISM (I)
Salvation in Judaism is done by God and throughhuman works
Is Judaism below the level of consistency attained byCalvinism (and on the same level with Catholicism)?
Two situations that suggest a No answer:a /the Jews have done away very early with priests,mysticism and the institution of a churchb /The Jewish fundamental commandment of equal love of fellow-man is nothing more than the principle of equalworth and, as such, of the fundamental equality of men
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SALVATION IN JUDAISM (II)
Is Judaism over the level of consistency attained by Calvinism?
There is an argument for an Yes answer. TheCalvinist is in his salvation completely isolated:no priests, no church, no other helpers. Under this limited aspect he is like a Buddhist monk.
In Judaism salvation is through existentialidentification (Herberg, 1961:287). The Jewseeking salvation is fundamentally a member of acommunity and a Son of the Covenant; he is notthe totally isolated Calvinist
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THE KIND OF SALVATION: THERANKING
The entailed consistency ranking, listed in andescending order : Judaism, Protestantism(Calvinism, Lutheranism), Catholicism,Orthodoxism, Buddhism
Not ranked : Islamism, Confucianism
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CONCLUSIONS (I) Because each religion is a set of values and rules which are
rankings of the human mega-objectives wealth and power,a religion contains (mostly) in an encoded manner itsconsistency with economic performance
The level of consistency is determined by the preferencefor the mega-objective of wealth and for almost allreligions covered by the study the information is madeavailable in an indirect manner by the preference forpower, which itself has to be decoded
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