Did the Protestant work ethic
create capitalism?
by Samuel Gregg
New research has shown that Max Weber's
famous theory linking the two is quite wrong: " The economic historian Jacques Delacroix, for instance, has highlighted many facts about this period that Weber’s theory simply cannot account for. “Amsterdam’s wealth,” Delacroix writes, “was centered on Catholic families; the economically advanced German Rhineland is more Catholic than Protestant; all-Catholic Belgium was the second country to industrialize, ahead of a good half-dozen Protestant entities.”
Based on lectures he gave during a visit to America in 1904, Weber’s Protestant Ethic maintained that capitalism’s nature had to be understood as more than just producing and exchanging goods in a particular way (e.g., free exchange) within a particular institutional setting (limited government, etc.). At its heart, Weber insisted, capitalism was a state of mind: an outlook that involved, among other things, the subordination of emotion, custom, tradition, folklore, and myth to the workings of instrumental reason.
The real controversy begins with Weber’s argument that the decisive linkage of this form of rationality with economic practices occurred primarily in Europe’s predominantly Protestant areas. He was particularly thinking of countries such as England and the Netherlands, which were home to large numbers of Puritans and Calvinists, many of whom migrated to North America in the seventeenth century. These forms of Protestantism, Weber posited, ingrained the belief among their adherents that they should avoid superficial hobbies, games, and entertainment. Instead, Christians should commit themselves totally to whatever calling to which God had summoned them. Weber believed that these forms of Protestantism, especially their central doctrine of predestination, helped to foster the type of focused minds and disciplined work habits that are essential for market economies.
According to Weber, these ascetic Protestants didn’t believe it was possible to do good works to attain heaven in the next world. Either you were among the elect, or you weren’t. Weber interpreted Calvin as suggesting that one indication of election was the acquisition of wealth. It followed—or so Weber’s theory went—that the accumulation of wealth encouraged people to see themselves as destined to be saved. This, in turn, fostered a spirit that encouraged believers to grow ever-greater amounts of wealth.
On the surface, Weber’s proposition makes considerable sense. After all, many culturally Catholic countries such as Portugal and Spain—not to mention almost all Latin American nations—have lagged behind other Western nations in terms of economic development. More careful analysis of Weber’s claims, however, soon reveals them as less-than-adequate.
The accuracy, for instance, of Weber’s interpretation of Calvinist theology is open to question. The Westminster Confession—the profession of faith that dominated Calvinist and Presbyterian theology from the sixteenth century onward, and on which Weber drew in developing his ideas—indicates that the notion of “calling” in Puritan and Calvinist thinking is difficult to reconcile with the meaning given to it by Weber. The Confession clearly distinguishes between each person’s worldly vocation and his ultimate calling. Moreover, the earthly calling of each individual is not considered to constitute a positive or negative contribution to that person’s salvation.
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