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Economic life: generosity and justice

the economic problem and its solution; voluntary giving

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Editorial introduction

The rich should spend their substance for the poor, ‘Abdu’l-Bahá teaches, but of their own free will, for a good deed done under compulsion perfects no one. This voluntary sharing He ranks above equality itself: not preferring oneself to others, even to the point of sacrificing life and property, as the believers in Persia were already doing. Yet He refuses to leave the matter to private generosity. Without just legislation the welfare of the commonwealth cannot be secured, so he pictures laws under which no one is afflicted with poverty and no one holds extreme wealth, a tax proportioned to what a person produces beyond his needs, a village storehouse, and salaries paid in full on the first of the month. Between the forced equality of the socialists and the absolute freedom of laissez-faire, Shoghi Effendi writes, the Cause keeps a balance, and it offers principles to be studied rather than a finished system. The believers in Acts, of one heart and one soul, distributing to each according to need, show what fellowship can make possible and what it requires of trust [1]. From here the inquiry moves toward the moderation of wealth inequality, the nature of justice, the practice of generosity, and a frank look at capitalism, communism and socialism alike.

Selected passages

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01

Man reacheth perfection through good deeds, voluntarily performed, not through good deeds the doing of which was forced upon him. And sharing is a personally chosen righteous act: that is, the rich should extend assistance to the poor, they should expend their substance for the poor, but of their own free will, and not because the poor have gained this end by force. For the harvest of force is turmoil and the ruin of the social order. On the other hand voluntary sharing, the freely chosen expending of one's substance, leadeth to society's comfort and peace. It lighteth up the world; it bestoweth honor upon humankind.

(‘Abdu’l-Bahá, 1913-Jan-10, to Andrew Carnegie -- AB03273)
02

And among the teachings of Baha'u'llah is voluntary sharing of one's property with others among mankind. This voluntary sharing is greater than equality, and consists in this, that man should not prefer himself to others, but rather should sacrifice his life and property for others. But this should not be introduced by coercion so that it becomes a law and man is compelled to follow it. Nay, rather, man should voluntarily and of his own choice sacrifice his property and life for others, and spend willingly for the poor, just as is done in Persia among the Baha'is.

(‘Abdu’l-Bahá, Lawh-i-Lahih (Tablet to the Hague), 1919-Dec-17, to Central Organization for a Durable Peace (the Hague) -- AB00016)
03

The patient poor are better than the thankful rich. But the thankful poor are better than the patient poor. And the best of all is the rich-giver who is free from temptations or tests, who becomes the cause of the happiness of mankind. Though through thankgiving blessings are increased, yet the most perfect thanksgiving is through giving, and the station of giving is the highest of all stations. Just as it is said in the Qur'an, 'Ye shall never receive blessings until ye give of that which ye love.'

(‘Abdu’l-Bahá, Words to the Baha'is, spoken on 1912-Aug-10 -- ABU2240)
04

Abdul-Baha: "The Friends must strive and show efforts and assist. Whosoever is a believer and assured, firm in the Cause, there is no doubt that he will contribute towards the assistance of the poor. This is an evidence of the faith. But if a person comes in contact with another who is in the utmost need, and he sees that he can help, and if he fails, this is an evidence of the weakness of his faith.

(‘Abdu’l-Bahá, Words to Hannen, Latimer et al, spoken at Dublin Inn on 1912-Jul-31 -- ABU0266)
05

The governments will enact these laws, establishing just legislation and economics in order that all humanity may enjoy a full measure of welfare and privilege; but this will always be according to legal protection and procedure. Without legislative administration, rights and demands fail, and the welfare of the commonwealth cannot be realized.

… Hearts must be so cemented together, love must become so dominant that the rich shall most willingly extend assistance to the poor and take steps to establish these economic adjustments permanently. If it is accomplished in this way, it will be most praiseworthy because then it will be for the sake of God and in the pathway of His service. For example, it will be as if the rich inhabitants of a city should say, "It is neither just nor lawful that we should possess great wealth while there is abject poverty in this community," and then willingly give their wealth to the poor, retaining only as much as will enable them to live comfortably.

(‘Abdu’l-Bahá, Public address given at Hotel Victoria on 1912-Jul-23 -- ABU0689)
06

Tell Mrs. D. there are only two ways of correcting the social conditions: it cannot be force. One is changing the hearts of the people, so that those who have great wealth will give freely and gladly. The other is by executing new and just laws which will regulate all the economic conditions, so that there will not be the extremes, the very rich nor the very poor.

(‘Abdu’l-Bahá, Words spoken on 1912-Jul-09 in New York -- ABU0124)
07

Nevertheless, it is not right that some should be extremely wealthy while others extremely poor. It must be improved and such laws established that all have comfort and wellbeing - neither should one be afflicted with poverty nor another have extreme wealth. For example, a wealthy person who has utmost wealth should not let another person have utmost poverty, but should take care of them so they too can be comfortable. This must be implemented through laws. The wealthy must themselves give their excess wealth to the poor, and likewise the country's laws must be such that by God's law everyone has comfort.

(‘Abdu’l-Bahá, Words spoken on 1911-Nov-14 in Paris -- ABU0462)
08

But it must be solved with justice and not with force. If this problem is not solved lovingly it will result in war. Perfect communism and equality are an impossibility because they would upset the affairs and the order of the world. But there is a fair method which will not leave the poor in such need, nor the rich in such wealth.

… The rich should be merciful to the poor, but with their free-will, not with force. Should it be with force it would be useless. It should be according to law and not by violence, so that through a general law everyone might know his duty.

(‘Abdu’l-Bahá, Words to Mr Pinchot and others, spoken at his estate outside Milford on 1912-Jun-04 -- ABU0001)
09

The solution of economic questions for instance will not be accomplished by array of labor against capital and capital against labor in strife and conflict, but by voluntary attitude of sacrifice upon both sides. Then a real and lasting justness of conditions will be brought about.

(‘Abdu’l-Bahá, Interview with Rev. J. T. Bixby at Hotel Ansonia in New York, 1912-Apr-13 -- ABU0026)
10

That is why it has been decreed in the divine religions that the wealthy should offer up each year a portion of their wealth for the sustenance of the poor and the assistance of the needy. This is one of the foundations of the religion of God and is an injunction binding upon all. And since in this regard one is not outwardly compelled or obliged by the government, but rather aids the poor at the prompting of one's own heart and in a spirit of joy and radiance, such a deed is most commendable, approved, and pleasing.

(‘Abdu’l-Bahá, Chapter 78, Strikes, 1904 ca. -- AB00099)
11

In the Cause of the Blessed Beauty there is muvasat, which is higher than musavat (equality), but the difference lies in that it must be by free choice and willingness, not by compulsion, and ranks must be preserved. At the level of ranks, equality is not possible. The world is like an army which must have both commander and marshal and soldier; all cannot be commanders, nor all soldiers. Ranks must be preserved, but each, in his own station, must have comfort--not that one should have every variety and kind of bounty while another lacks even plain bread.

(‘Abdu’l-Bahá, Words to Nuru'd-Din Mumtazi et al in May 1920 -- ABU2253)
12

Eighth, the problem of economics. A different regime has been formulated by Him which conserves degrees in the social body; nevertheless each individual member of the body politic will enjoy to the fullest extent the resources of the Creator.

(‘Abdu’l-Bahá, Interview with F. R. Hinkle of the Sacramento Union, 1912-Oct-25 -- ABU0382)
13

Each person in the community whose need is equal to his individual producing capacity shall be exempt from taxation. But if his income is greater than his needs, he must pay a tax until an adjustment is effected. That is to say, a man's capacity for production and his needs will be equalized and reconciled through taxation. If his production exceeds, he will pay a tax; if his necessities exceed his production, he shall receive an amount sufficient to equalize or adjust. Therefore, taxation will be proportionate to capacity and production, and there will be no poor in the community.

(‘Abdu’l-Bahá, Public address given at 309 W 78th St on 1912-Jul-01 -- ABU0437)
14

Among them are [the teachings] concerning the question of economics, that all the members of the body politic may enjoy through the working out of this solution the greatest happiness, welfare and comfort without any harm or injury attacking the general order of things.

In every village there must be established a general storehouse which will have a number of revenues.

(‘Abdu’l-Bahá, Public address given at a gathering of socialists on 1912-Sep-03 -- ABU0042)
15

Those villages around the big cities are represented by the House of Justice of that city. … For example, there may be a farmer who has no animals, implements or seeds, and this committee will help him. There will be universal banks and the council will borrow money from them and loan it to the people.

(‘Abdu’l-Bahá, Words to Latimer, Esslemont, Randall et al, spoken on 1919-Nov-20 -- ABU0392)
16

...the discussion became general about the conditions of Persia and Turkey; the unfortunate reverses that these two Islamic nations have had during the last two generations, owing to the lack of public spirited servants and misadministration of the government affairs.

The Master related a story to illustrate his point. He said, [then] that Mirza Taki Khan was of the ablest and most astute statesman that Persia has produced for a long time. Although he committed the greatest mistake of his life when he ordered the martyrdom of the Bab and the friends, yet as [we] always remember the ability of even our worst enemy and never overlook justice, therefore we acknowledge the public services of this able man. After the martyrdom of the Bab he himself confessed that he has made two errors in his life. One the death of the Bab; the other the appointment of a poor Prince to the governor-generalship of one of the Provinces of Persia, for he swallowed up the government taxes.

In short this Prince Minister was a marvel of system and organization. Within the short space of two years he organized for the government 100 regiments of drilled soldiers - a well-diciplined army. He systematized all the departments and established their foundations upon a solid basis. Although he has never been in Europe yet he introduced many wonderful reforms.

One of the most puzzling questions of that time-and even today-was the proper distribution of the salaries of the government employees. Often the arrears would accumulate to such an extent that the Minister of Finance would reduce them to a third or a fourth. This caused great many complaints and dissatisfaction on the part of the employees. For while they did not receive their salaries in time, they would borrow according to the sum which the government owed to them and the sudden reduction brought the creditors to their doors. However, this Prince Minister so reorganized the Finances of the country that the first day of every month, every employee would receive a small package containing his name on it, with full salary. This in itself was considered nothing short than miracle.

But the Ministers of State fearing his control and power, poisoned the mind of the Shah that this man is ambitions and little by little he desires to usurp your throne. The Shah also believed in these rumors and caused him to be killed in the most atrocious manner.

(‘Abdu’l-Bahá, Words to a Persian prince, spoken on 1913-Feb-21 -- ABU0952)

The available source contains an omission or incomplete wording; sentence boundaries need review.

17

To record contributions from those who are real Bahais - no one else is asked to contribute and no collections are taken at general meetings; and there are certain times appointed for receiving Bahai contributions and giving of receipts. To determine how such funds shall be spent; how much for teaching, how much for relief of the poor and so forth. Especially in the case of anonymous gifts, which are frequently received.

(‘Abdu’l-Bahá, Words to Fugeta, Dr. Esslemont et al, spoken on 1920-Jan-03 -- ABU0649)
18

The work must attain such a pitch that should a wealthy person offer a gift to a poor man, the poor man should feel himself independent and not accept it. The time must come and the work get so high that every community will have a box for charity which may be full to the brim of gold and yet a poor man will refuse to take any so long as he is able to work for himself. The work must reach such a pitch.

… But the world will reach a state wherein neither absolute poverty nor great wealth will exist. Giving should be a joy to the giver, however poor he maybe, or however small his gift.

(‘Abdu’l-Bahá, Words to Mountfort Mills, spoken around 1909-May-26 -- ABU1047)
19

Between 1860 and 1865 you did a wonderful thing; you knocked the shackles from chattel slavery; but today you must do a much more wonderful thing: you must destroy industrial slavery.

(‘Abdu’l-Bahá, Words spoken in Oct. 1912 in San Francisco -- ABU3532)
20

The American laborers, relatively speaking, are more comfortable, as they receive higher wages. Also, the time of their labor is shorter. In Europe they suffer a great deal, for the farmers and peasants work day and night, and at the time of the harvest the despotic governments take almost everything from them as taxes in order to build dreadnaughts, battle ships, cast rapid fire cannons, prepare instruments of war, and accumulate means for the destruction of the human race and the shedding of blood of innocent people.

(‘Abdu’l-Bahá, Words to Mayor Stitt Wilson of Berkeley, spoken at 1815 California Street on 1912-Oct-05 -- ABU0034)
21

Question: "How can Universal Peace be realized?"

Answer: "The ideals of Peace must be nurtured and spread among the inhabitants of the world; they must be instructed in the school of peace and evils of war. First: The financiers and bankers must desist from lending money to any government contemplating to wage war upon an innocent nation.

(‘Abdu’l-Bahá, Words to an army commander, spoken on 1914-May-11 -- ABU0776)
22

It will not be possible in the future for men to amass great fortunes by the labor of others. The rich will willingly divide. They will come to this gradually, naturally, by their own volition. It will never be accomplished by war and bloodshed. The ruling power or government cannot treat the rich unjustly. To force them to divide their wealth would be unjust. In the future, proportionately about three-quarters of the profits will go to the workmen and one-quarter to the owner. This condition will prevail in about one century. It will certainly come to pass.

(‘Abdu’l-Bahá, Words to Julia Grundy spoken around Jan. 1905 -- ABU3026)
23

The labor saving machines were given to create leisure for all mankind... The first decided shortening of the hours will appear when a legal working day of eight hours is established... But this working day of eight hours is only the beginning. Soon there will be a six hour day, a five hour, a three hour day, even less than that, and the worker must be paid more for this management of machines, than he ever received for the exercise of his two hands alone.

...

(‘Abdu’l-Bahá -- ABU3667)

The available source contains an omission or incomplete wording; sentence boundaries need review.

24

Where there is an agitation of the masses, it will not be quieted, until it reaches its climax. At last, things will come to such a state that they will say: 'The factories belong to us and the capitalists will get their share from us.' It will come to that. 'We will apportion the share they ought to receive, for instance, one-tenth.' They will take nine-tenths. Everything will become chaotic. At last it will reach such a state that the world of humanity will come to an absolute stand-still. Even the labourer will go hungry. Then absolutism will return, so that the Government may remedy it. … Nothing save the Religion of God will solve it. Nothing save the Religion of God. This will include both; the capitalists and labourers will be freed.

(‘Abdu’l-Bahá, Words to Latimer, Esslemont, Randall et al, spoken on 1919-Nov-17 -- ABU1216)
25

As for the Akaus assembly whose purpose is as much as possible to transform social and economic revolutions and disorders into an order and tranquility that would bring comfort to the world of creation, tell them that today the power of revolution is intense and discord is great. It is impossible for the people of the world to find peace and rest except through a power that encompasses the human world.

(‘Abdu’l-Bahá, 1920-Aug -- AB00612)
26

The secrets of the whole economic question are divine in nature, and are concerned with the world of the heart and spirit. In the Baha'i teaching this is most completely explained.

(‘Abdu’l-Bahá -- ABU3362)
27

Consequently it is impossible that 'economic contentment' be realized by the people of the world save through the transforming power of faith.

(‘Abdu’l-Bahá -- ABU3041)
28

The principles of socialism are outstripped in the religions of God. For instance, God commands, 'But [they] prefer them [the poor] before themselves, although there be indigence among them' [Q59:9]. That is, the believers spend of their substance and share their possessions and prefer others to themselves willingly and with utmost spirituality. Socialists, however, desire to enforce equality and association by compulsion.

(‘Abdu’l-Bahá, Words spoken on 1912-Sep-17 in Chicago -- ABU1072)
29

To one who spoke of the people's desire to possess the land, and of the strong under-current of rebellion on the part of the labouring classes, Abdu'l-Baha said: "Fighting, and the employment of force, even for the right cause, will not bring about good results. The oppressed who have right on their side, must not take that right by force; the evil would continue. Hearts must be changed. The rich must wish to give! Life in man should be like a flame, warming all with whom it comes into contact. The spiritually awakened are like to bright torches in the sight of God, they give light and comfort to their fellows."

(‘Abdu’l-Bahá, Words spoken in Sep. 1911 in London -- ABU3036)
30

Q: Could not the Bahai Movement be furthered by use of socialist and labor union movements?

A: All nations must become socialistic in spirit. People must not be forced by circumstances to help the poor. They must give aid willingly. That which the socialists aim to accomplish in the economic world will in time be done by the people freely through faith and love and cooperation. For that which is established through loving fellowship is permanent.

(‘Abdu’l-Bahá, Words spoken ca. 1912-Apr-22 in Washington -- ABU3190)

Further quotations · supplied wording and references

31

In the Bolshevistic principles equality is effected through force. The masses who are opposed to the people of rank and to the wealthy class desire to partake of their advantages. But in the divine teachings equality is brought about through a ready willingness to share. It is commanded as regards wealth that the rich among the people, and the aristocrats should, by their own free will and for the sake of their own happiness, concern themselves with and care for the poor. This equality is the result of the lofty characteristics and noble attributes of mankind.

FWU.043-044

Catalogue reference: AB05171 · passage alignment is approximate; supplied wording retained.

32

Complete socialization is not only impossible but most unjust, and in this the Cause is in fundamental disagreement with the extreme socialists or communists. It cannot also agree with the other extreme tendency represented by the "Laissez-faire" or individualistic school of economics which became very popular in the late eighteenth century, by the so-called democratic countries. For absolute freedom, even in the economic sphere, leads to confusion and corruption, and acts not only to the detriment of the state, or the collectivity, but inevitably results in the end jeopardizing the very interests of the individual himself... The Cause can and indeed will in the future maintain the right balance between the two tendencies of individualism and collectivism, not only in the field of economics, but in all other social domains.

(25 August 1939 on behalf of Shoghi Effendi)

Supplied quotation · catalogue passage not verified

Sentence boundary needs source review; the supplied wording is retained.

33

'Abdu'l-Baha's statement regarding voluntary sharing of wealth, quoting ... and in another instance 2/5 is only indicative of the future trend. Similarly every reference to profit-sharing should be taken only as examples. The International House of Justice will legislate on all these matters. There is no system of Baha'i economics. We have only general principles. The system will be developed as the need arises.

(Pilgrim notes of Emeric Sala, Dec. 1937)

Supplied quotation · catalogue passage not verified

Sentence boundary needs source review; the supplied wording is retained.

34

There are practically no technical teachings on economics in the Cause, such as banking, the price system, and others. The Cause is not an economic system, nor can its Founders be considered as having been technical economists. The contribution of the Faith to this subject is essentially indirect, as it consists in the application of spiritual principles to our present-day economic system. Baha'u'llah has given us a few basic principles which should guide future Baha'i economists in establishing such institutions which will adjust the economic relationships of the world.

LG#1868 (26 Dec. 1935 on behalf of Shoghi Effendi)

Supplied quotation · catalogue passage not verified

35

First we have to study the economic teachings in the light of modern problems more thoroughly so that we may advocate what the Founders of the Faith say and not what we conjecture from Their Writings. There is a great difference between sounding a great general principle and finding its application to actual prevailing conditions.

DG#56 (11 Jan. 1933 on behalf of Shoghi Effendi)

Supplied quotation · catalogue passage not verified

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For thought and discussion

Questions to carry forward

  1. How do voluntary sharing and just legislation support or challenge one another in these selections?
  2. What would it mean to preserve dignity while ensuring that everyone’s basic needs are met?
  3. How do the practical examples of taxation, credit, wages, and contributions help us think beyond general goodwill?
  4. What similarities and differences emerge when the distribution according to need in Acts is read beside these passages?
  5. How should the reported proposals, forecasts, pilgrim notes, and later letters be weighed when developing an application?
  6. What kinds of study, consultation, and experience would help translate a spiritual principle into a workable economic arrangement?
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