Tag Archives: Economics

Here Comes the Next Bubble: Student Loan Debt

American student loan debt grew 511% between 1999 and 2011. It now totals over $1 trillion, a collective finanical burden that rises well above auto loan and credit card debt, (which total around $783 and $679 billion, respectively.)

Is student loan debt smart? And more to the point, how is this model sustainable? Student loan expert Anya Kamenetz says no. The student loan crisis is a bubble with an inevitable pop—but nobody seems to know what exactly the pop will look like.

Shareable: The Unclear Future of Student Loan Debt.

The Economics of Amish Pacifism

buggy-crossing-sign-amishI recently ran across this disturbing story on Grist about how fracking companies exploit a theological loophole in the religious tradition of the Amish.

Energy companies in eastern Ohio — home to the world’s largest Amish population and billions of dollars worth of oil and gas reserves — have been convincing Amish farmers to sign away drilling rights to their land for far less than they’re worth, knowing that because their religious tradition frowns on lawsuits, the landowners will have little recourse for justice once they realize they’ve been duped.

This is one farmer’s response to being tricked into selling drilling rights at pennies on the dollar,

Of the Kenoil agent, Miller said: “He’s got to live with his conscience.”

This response probably jars our modern sensibilities. We want to fight for the Amish, take up their cause for them and finish this story the way it’s supposed to end… with the bad guys getting what they deserve. That’s the way it happens in the movies, right? Continue reading

Is God the Ben Bernanke of the Universe?

220px-Ben_Bernanke_official_portraitThis is not really the question that the book God, The Economist by M. Douglas Meeks is asking or answering. Here is Meeks’ summary of his task,

“It is in no way necessary, according to modern economic theory, to consider God when thinking about economy… Thus, however unusual it might seem, I propose to bring the church’s teaching about God, the doctrine of the Trinity, to bear on the masked connections between God and economy.” (xi)

I’m going to follow the headings in the Table of Contents to organize this which means it will be a 9 post series. That seems like a lot, but I think it would be longer if I didn’t do it this way ahead of time. It is a very dense book. I could do another series just combing through the footnotes of the book. Here are the headings:

article-new_ehow_images_a07_m4_44_kind-job-economist-800x800Preface and Introduction
God’s Economy and the Church
Reconceptualizing God and the Economy
God and the Market Logic
God the Economist
God and Property
God and Work
God and Needs
Conclusion

Jubilee is Salvation (Leviticus 25:9-10)

The second thing I noticed (Read What Shall We Eat? for the first) in re-reading Leviticus 25 is that the Jubilee is explicitly connected to Yom Kippur, the Day of Atonement, the holiest day of the Jewish calendar. This is the pinnacle of the sacrificial system to which Jesus’ death and resurrection has often been compared. While I don’t think that the sacrificial system is the only lens through which Jesus’ life, death and resurrection was or should be understood, it certainly is an important one both in Scripture and in the Christian tradition. So, what does it mean then that the Jubilee is supposed to be initiated by a shofar blast on the Day of Atonement?

If you just google Yom Kippur and Jubilee you will quickly find a lot of nonsense about the rapture happening on Yom Kippur in the year of Jubilee. That is not what this post is about. This is about the connection between the social practices found in the Jubilary code and its association with the cultic religious ritual of Yom Kippur. I would like to explore a series of questions concerning this connection: What is the role of the shofar and its connections to both religious and social contexts? What is the religious significance of Yom Kippur? Why is it connected to the Jubilee (or conversely why do we disconnect them)? Finally, what does this connection tell us about the nature of salvation in terms of Jubilee?

When was the shofar used?
The shofar was used in different contexts, but primarily announced full religious holidays. This was also the case with the Jubilee which was connected to the religious festivals that marked the Jewish calendar.

The sound of the shofar on Rosh Hashanah announced the jubilee year, and the sound of the shofar on Yom Kippur proclaimed the actual release of financial encumbrances. (from Wikipedia)

It is interesting to note that the shofar was also used as a call to arms when Israel went to war. The most famous instance of this use of the shofar is certainly from the book of Joshua when the blast of the shofar horn brought down the walls of the city of Jericho. M. Douglas Meeks describes the significance of that event in his book God The Economist.

The blowing of the Jubilee horn (shofar) in the story of Joshua is the symbol of what brings down the rotten economy of Jericho. (89)

The theology of war in the Hebrew Bible was that the battle always belonged to YHWH. Often battles were won through some sort of trickery which sometimes avoided bloodshed and often avoided the Israelites committing violence (e.g. Gideon in Judges 7). When Israel ignored YHWH and tried to fight their own battles their efforts were typically thwarted. This is not to excuse the violence in the Hebrew Bible that is clear and difficult to understand, particularly when commanded by God.

My point is that there is a theological thread throughout the Hebrew Bible that says YHWH will fight the battles for Israel. In this context the blast of the shofar that brought down the walls of Jericho could certainly be interpreted as proclaiming liberation from economic domination and oppression and the institution of a new economy. It is also important, as we will see shortly, that there was not the clear distinction between sacred and secular that we try to draw today. Thus, the shofar as a sacred instrument proclaimed Jubilee both in the temple and on the battlefield.

What does Yom Kippur mean?
Yom Kippur, the Day of Atonement, is the culmination of the Jewish year. In the Hebrew Bible this was the ritual when the High Priest placed his hands symbolically on the head of a goat designating it “Azazel”. This transferred the sins of the people to the goat which was then driven out into the wilderness. This is where the term “scapegoat” comes from. Through this ritual the entire community was purified, their sins atoned for. In other words, this was a chance for the community to start from scratch in their relationship to YHWH. It was also an opportunity for repentance as the community recognized their sins and brokenness. There was now new possibility for living a new way.

What has the Jubilee to do with Yom Kippur?
According to Jubilee USA the practical connection between the Jewish calendar and the year of Jubilee worked like this:

From Rosh Hashanah until Yom Kippur of the fiftieth year, slaves would not return home but would not work either. The fields would not return to their hereditary owners, but the owners would eat, drink and rejoice with their crowns upon their heads. Then, when Yom Kippur arrived, the slaves would return home and the fields would revert to their hereditary owners.

So, there is very explicit connection between the practice of Jubilee (theoretically at least) and the rhythms of the Jewish calendar. The Jubilee is announced at Rosh Hashanah, the Jewish new year, but this is only the beginning. It’s also interesting to point out that the Jewish new year begins in Autumn at the end of the harvest. The new year begins when the possibilities of the earth have been exhausted for that year and we turn to look toward the possibilities of next season. In light of the previous post which talked about the divinely abundant harvest promised prior to the Jubilee, this moment of turning from an incredible provision beyond expectations to the year of liberation ahead is heightened that much more.

The culmination of the Jubilary practices coincides with the culmination of the religious calendar on Yom Kippur when the Jubilee is proclaimed in its fullness and fulfilled completely. Jubilee is a process. It does not occur all at once. It is first declared and the enacted. This is the way many understand the nature of the kingdom of God that Jesus proclaimed. This new order or economy is first proclaimed and embodied by Jesus, but we are now in the process of enacting the fullness of that declaration with the promise that it will someday be complete.

What has the Jubilee to do with Atonement?
So, the very practical social ethic of the Jubilee has been intimately linked to the religious calendar of the Jewish people. This is to be expected from a worldview that did not distinguish the sacred from the secular. The practice of the Jubilee is the enacting of the divine economy within the community and is therefore inextricably linked to Israel’s relationship to YHWH maintained through the temple practices and rituals including Yom Kippur.

The Jubilee, or “Year of the Lord’s favor”, is picked up by Isaiah (61:1-3) and later Jesus (Lk 4:19) and made central to the identity of God’s people in both testaments. Further, Jesus’ work on the cross has been understood in relationship to the sacrificial system in Israel. He is called the “Lamb of God” by John the Baptist (Jn 1:29) and later in another John’s vision in Revelation (Rev 5:6-8; 7:10). So, Jesus identifies his mission with the Jubilee and the Jubilee is intertwined with the sacrificial system by which we have tried to understand the cross. Therefore whatever we want to say about the life, death and resurrection of Jesus, it must include this understanding that the proclamation of new beginnings on Yom Kippur is also the declaration of the radical new economy of the Jubilee. Salvation is Jubilee and vice versa.

Living With Less in the Land of More

Many are reflecting on the stuff we own and how it owns us in this season of shopping and gift-giving. I read an excellent article recently about one family’s journey with their relationship to their stuff (Stuffed to the gills: How crap took over my life—and how I intend to take it back). So, I thought I would reflect on my family’s journey with our relationship to our stuff. Many of your stories are probably similar in many respects.

The Birth of the Monster
It all began… well, when I was born, but that would take to long. Accumulating stuff really hit an exponential growth curve when we got married. Neither of us had too much stuff after college, but we had both lived on our own long enough to accumulate more than enough. Not only does a wedding combine two people’s stuff, it piles on a whole host of new stuff on top of what you already have. We tried to keep it simple by encouraging people to donate in our name to a charity, but in our culture it doesn’t really count unless you buy something for somebody. So, we filled our registry at various places and people piled up the presents. Even with all the gifts we still had room to spare in our little two bedroom apartment.

Then we made two more decisions that many people make which set us on a trajectory to having more stuff, 1) we bought a house (bigger than our apartment) and 2) we decided to have kids. We bought the house first and people tend to fill the space that they live in. We tried to keep things minimal, but living in an empty house also seems kind of silly. Then we had kids. Between baby showers and grandparents these little 7 to 8 pound bundles of joy come with an incredible amount of stuff for being unable to eat solid foods, walk, sit up or burp without help. They continually acquire new stuff every year for birthdays and new clothes as they grow faster than sea monkeys.

Taming the Monster
While we considered ourselves to be people that tried to live simply and consume less, we found ourselves trying to figure out what to do with a 1600 square foot house full of stuff when we decided to move to the World Hunger Relief, Inc. farm where we had a small two bedroom apartment. There were a lot of craigslist ads and a big yard sale. We tried to think hard about what we needed and what was worth keeping. Still, when moving day came we had to put a lot of boxes into storage (at my mom’s) and managed to fill up the apartment nicely.

Then we accepted a position with Mennonite Central Committee (MCC) in Bolivia. We thought it was silly to put our stuff in storage for three years. So, we got rid of everything. This time we really did. We got rid of all our furniture, chairs, table, futon, beds, dressers…our car…everything. We still had some things stored at my mom’s but even that was picked over and cleaned out. We pared down our material possessions to an absolute minimum. It was a crazy, radical move that tested our faith and resolve to trust God and the Body of Christ.

Yet, when we got to Bolivia our eight suitcases seemed a little excessive in light of the people around us who had so much less. While living there and working with MCC, I wrote about what it means to live simply (What is Simple Living?). Once again our ideas about what was enough, what was simple and what we needed were challenged. Each time we moved and tried to simplify we learned more about what was important and what was not.

Now that we are back in the United States, we are looking to replace some of those items we so happily gave away. We hope to add these things back into our life slowly and be discerning about what we really need. We’ve asked our community to share their excess with us as we shared with them. What we have found is that we continue to have more than we need, because our friends both have more than they need and are willing to share it with us.

Lessons From the Monster
The obvious lesson here is that you should pursue downward mobility by moving every few years to poorer and poorer places in the world, right? As the aforementioned article also points out, moving does provide an opportunity to evaluate what’s worth piling in a moving van. Yet I’ve often talked about the importance of place and putting down roots. So, perhaps the solution is a discipline of seasonal cleaning. We already have this cultural concept of “spring cleaning“, but how many of us practice it? Choose a time of year to give your stuff a good cleaning and share with others out of your abundance.

There’s also trying to cut the monster’s head off from the beginning. We tried an alternative wedding registry for such a purpose, but with little success. I know others have held their ground and been more effective. I found The Scavenger’s Manifesto to be a great resource with more than just tips and tricks for finding free stuff, but a different way of thinking about our stuff.

Patience is the most important and most difficult virtue when considering our shopping. Consumerism is based on impulse buys and tickling our acquisition bone. The longer you can avoid the instant gratification temptation to buy stuff the moment you think of it, the more things will simply filter out over time. Then you’re left with things that were worth the wait to buy. You’ll probably find a good deal, find a cheaper alternative or at least thought more carefully through your purchase.

Finally, I mentioned in Wading Into the Pond last week some ideas about how to move from charity to justice in our lives.

  1. Don’t do it alone- Find others to walk with you on the journey.
  2. Learn to talk again- Within relationships of trust, we have to learn how to talk about our finances with others.
  3. The Holy Excise Tax- Find creative ways to hold each other accountable and make your choices more transparent
  4. Saints and Sinners- Show yourself and others grace. The goal is not being more righteous or holy than others, but attempting to follow Jesus into a new way of living.