Pope Francis has called “unbridled capitalism” the “dung of the devil” and criticized it for doing little to help the poor.
GWEN IFILL: Pope Francis’ upcoming visit to the U.S. next week is generating huge interest and expectation.
Part of that excitement is rooted in the different tone the pope has taken on a number of issues, from marriage to the role of women in the church. But he has also issued a tough critique of capitalism and called for more action on climate change.
We kick off our coverage of the pope’s trip, which will continue all next week, with a look at those issues from our economics correspondent Paul Solman.
The Rev. Martin Schlag is a trained economist as well as a Catholic moral theologian, and when he first read some of Pope Francis’ powerful critiques of the current free market system he had the same thought a lot of Americans did: “Just horrible.”
But at a meeting on May 11 at the Harvard Club, Schlag, an Austrian-born priest who teaches economics at an Opus Dei-run university in Rome, reassured a group of Catholics, many from the world of business and finance, that Francis’ views on capitalism aren’t actually as bad as he feared.
In a marketplace unfettered by ethical restraint, a sense of duty, concern for others, or even basic shame, 25 hedge fund managers gave themselves a 50 percent pay boost in 2013.
Never mind that hedge funds’ performance, on average, tanked for the fifth consecutive year.
These 25 men wanted big bucks, so they took them: a total of $21 billion. All for managing wealth that someone else created and, except for a few, not managing it particularly well.
The top earner paid himself $3.5 billion for 2013.
Some of the brightest pro-business minds in the nation prodded the Dalai Lama on Thursday to offer a warm endorsement of capitalism.
But during an appearance by the spiritual leader of Tibetan Buddhism at the American Enterprise Institute, one of the world’s most stalwart and, in conservative circles, respected free enterprise think tanks, they came up short.
The Dalai Lama was the star participant in a morning of panels on “moral free enterprise” and “human happiness.”
Asked by AEI President Arthur Brooks and Columbia Business School Dean Glenn Hubbard whether he agrees that the free enterprise system is the most moral of economic systems, and why he thinks the U.S. is the richest nation on earth, the Dalai Lama answered in broken English with his own question: What do you mean by rich?