Globalization: Good or Bad?

    It is always interesting to think back in time and see how much the world has changed over the years. The world of our youth (speaking for those of us who are of a certain generation) was very different from the world today. The Cold War is over, the Soviet Union is gone, and Chairman Mao is in his grave.
    But along with this changes have occurred profound alterations in the global economy as well. Trade barriers have fallen. Once underdeveloped countries have industrialized, and a global economy has emerged.

   In this connection we are reminded of an interesting debate that took place thirty years ago over economics and our moral obligations to the poor. Back in 1977 Christian author Ronald J. Sider published a book entitles Rich Christians in an Age of Hunger: A Biblical Study. He furnished an array of statistics to demonstrate what was perfectly obvious at the time, viz., that there was a vast disparity of wealth between the industrialized countries of the western world and the underdeveloped "Third World." He then examined the biblical teachings on wealth and poverty, including Old Testament poor laws and the practice of the 1^st Century church. He went on to suggest that the wealthy nations were exploiting the poor ones. Trade barriers, he pointed out, were weighted in favor of the wealthy countries.
    The key question, then, is what to do about all of this. Sider had several suggestions: simple living, increased giving, and efforts to change national policy.
    Sider's book drew forth a vigorous response from David Chilton, a Christian Reconstructionist who once worked closely with Gary North. In 1981 Chilton published a volume entitled Productive Christians in an Age of Guilt-Manipulators. It even had a cover that looked similar to Sider's book. A second edition appeared in 1982 along with a preface from North himself, and the book was dedicated to none other than Pat Robertson, "a 'productive Christian' who is leading God's people to victory."

    Chilton was a very strong advocate of free-market economics and was firmly opposed to almost any form of government interference. What especially drew his ire about Sider's book was its tacit support for government planning and attempts to redistribute wealth. Chiltondid not deny that poverty and hunger were real problems, but strongly disagreed with Sider about the causes. Whereas Sider tended to capitalism for the maldistribution of resources, Chilton cited corruption, government planning, and underlying cultural factors as the causes. His solution: evangelism, Christian schools in poor neighborhoods, and political action aimed at abolishing government interference in the economy.
    Both authors appealed to biblical precepts in support of their ideas, and both called for political pressure to change national policy. On the whole we would have to say that Sider's theology was better than his economics, while the opposite is true for Chilton. But it can be argued that they both shared one common flaw: they were both trying to apply biblical principles to society at large. It is doubtful that the great mass of humanity can ever be persuaded to live by biblical standards, although in Chilton's favor it should be pointed that he was a Postmillennialist – he was convinced that society would get progressively better before Christ returns.
    Both men thought that trade barriers were a major cause of Third World poverty. But while Sider wanted to tip the scales in favor of the developing countries, Chilton wanted to eliminate trade barriers altogether.
    Today we can report that their prayers have been answered, perhaps beyond their wildest imaginations. Trade barriers have come down; countries like India and even China have abandoned socialism and adopted free-market economies. The new global economy has lifted millions of people around the world out of poverty. But it has been a mixed blessing: millions of Americans have seen their jobs get shipped overseas.
    In his book The Audacity of Hope, President Obama tells of a trip he made to Galesburg, IL during his 2004 run for the U.S. Senate. The town had seen several manufacturing plants close their doors. The president of the local machinists' union described the hardships endured by the laid off workers. After winning the election, during a Senate debate over CAFTA (the Central American Free Trade Agreement), Mr. Obama asked former U.S. Treasury Secretary Robert Rubin whether there was any basis for the fears expressed by the workers in Galesburg. Rubin was cautiously optimistic, but noted that "with the pace of technological change, the size of the countries we're competing against, and the cost differentials with those countries, we see a different dynamic emerge." As Mr. Obama pointed out in reply, "the folks in Galesburg might not find that answer reassuring" (The Audacity of Hope, p. 175).
    It is sometimes said that capitalism is a process of "creative destruction." But in this instance we fear that what is being destroyed is the traditional American way of life, and that what is being created is a New World Order controlled by a small number of super-rich plutocrats.
    Is there a better way?