Notable Quotable: Free Market Economy

A strong social safety net is the lifeblood of every thriving economy. Those who enjoy the most basic financial stability also create market stability. Today, as we approach a landmark election, rhetoric is rising around the idea that a safety net is a burden to society and a needless hindrance to a robust free market economy, labeling it socialism, communism, and fascism.

To add to the dialog with a broader, non-political point of view, we decided to turn to a Pastoral Letter on Catholic Social Teaching and the U.S. Economy entitled, Economic Justice For All, published by the National Conference of Catholic Bishops. The following two paragraphs fall under the section Working for Greater Justice: Persons and Institutions

The way power is distributed in a free market economy frequently gives employers greater bargaining power than employees in the negotiation of labor contracts. Such unequal power may press workers into a choice between an inadequate wage and no wage at all. But justice, not charity, demands certain minimum guarantees.

The provision of wages and other benefits sufficient to support a family in dignity is a basic necessity to prevent this exploitation of workers. The dignity of workers also requires adequate health care, security for old age or disability, unemployment compensation, healthful working conditions, weekly rest, periodic holidays for recreation leisure, and reasonable security against arbitrary dismissal. These provisions are all essential if workers are to be treated as persons rather than simply as a “factor of production.”