Economic Issues

Essential to the Baha'i concept of economic health and prosperity is the elimination of the extremes of wealth and poverty. The injustice apparent in the extreme polarization undermines human spiritual, social, and material well being. The economic extremes violate our spiritual capacities for compassion and our sensitivity to human life. The inherent injustice also destabilizes the political, social, and economic fabric of society. The Baha'i writings specify that we are to develop an organization in human economic affairs that mitigates the extremes of wealth and poverty. Abdul'Baha, however, warns against legislative mechanisms that attempt to homogenize the distribution of wealth. Equal justice cannot be established through treating everyone exactly the same.

Social and political order for humankind necessitates differences in rank and position. Different people are good at different tasks in the social order. Tasks are not equally valued by the individuals of society. There will always be differences in the values individuals hold concerning the phenomenal world. And individual initiative is an essential component of establishing justice in the context of economic well being.

The arrangements of the circumstances of the people must be such that poverty shall disappear, that everyone, as far as possible, according to his rank and position, shall share in comfort and well-being. We see among us men who are overburdened with riches on the one hand, and on the other those unfortunate ones who starve with nothing; those who possess several stately palaces, and those who have not where to lay their head….This condition of affairs is wrong, and must be remedied. Now the remedy must be carefully undertaken. It cannot be done by bringing to pass absolute equality between men. Equality is a chimera! It is entirely impracticable. Even if equality could be achieved it could not continue; and if its existence were possible, the whole order of the world would be destroyed. The Law of Order must always obtain in the world of humanity. Heaven has so decreed in the creation of man….

Certainly, some being enormously rich and others lamentably poor, an organization is necessary to control and improve this state of affairs. It is important to limit riches, as it is also of importance to limit poverty. Either extreme is not good….When we see poverty allowed to reach a condition of starvation, it is a sure sign that somewhere we shall find tyranny. Men must bestir themselves in this matter, and no longer delay in altering conditions which bring the misery of grinding poverty to a very large number of people.

The rich must give of their abundance; they must soften their hearts and cultivate a compassionate intelligence, taking thought for those sad ones who are suffering from lack of the very necessaries of life.

There must be special laws made, dealing with these extremes of riches and want….The government of the countries should conform to the Divine Law which gives equal justice to all….Not until this is done will the Law of God be obeyed. (Paris Talks, 156-59)

The indication by Abdul'Baha that "the remedy [to economic injustice] be carefully undertaken" is a reflection of Baha'u'llah's teaching that "voluntary sharing is greater than (legally imposed) equality."
Among the teachings of Baha'u'llah is voluntary sharing of one's property with others among mankind. This voluntary sharing is greater than (legally imposed) equality, and consists in this, that one should not prefer oneself to others, but rather should sacrifice one's life and property for others. But this should not be introduced by coercion so that it becomes a law which man is compelled to follow. 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. (Abdul'Baha from a letter to the Central Organization for a Durable Peace written in 1919, Baha'u'llah and the New Era, 142)

Abdul'Baha provided guidance in 1912 concerning the relationship between capital and labor. The rich would "willingly divide" their wealth. They would, however, "come to this gradually." The world community is still struggling with these principles. Shoghi Effendi rearticulated this principle in his comments concerning global governance. He described "a world community in which all economic barriers will have been permanently demolished and the interdependence of Capital and Labor definitely recognized…" (Shoghi Effendi, The World Order of Baha'u'llah, 40-41). The recognition of the economic interdependence of capital and labor will come about gradually through educative processes of choice and consequence. As Abdul'Baha stated, it must be chosen. "The rich must give of their abundance; they must soften their hearts and cultivate a compassionate intelligence, taking thought for those sad ones who are suffering from lack of the very necessaries of life" (Abdul'Baha, Baha'u'llah and the New Era, 141-42). It is a step beyond enlightened selfinterest - the phrase currently used to describe the attitude of the rich person who is economically progressive, though it addresses the same principle. All will benefit spiritually, politically, and economically if we share rather than fight over access to wealth. The particular mechanisms to safeguard against the development of the extremes of wealth and poverty will be arrived at through agreement, not force.

The solution of economic questions will not be brought about by array of capital against labor, and labor against capital, in strife and conflict, but by the voluntary attitude of goodwill on both sides. Then a real and lasting justness of conditions will be secured….

Among the Baha'is there are no extortionate, mercenary and unjust practices, no rebellious demands, no revolutionary uprisings against existing governments….

It will not be possible in the future for men to amass great fortunes by the labors 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. (Abdul'Baha in a talk given in America in 1912, Baha'u'llah and the New Era, 144-45)

One of the mechanisms prescribed for the Baha'i dispensation is in evidence in the growing practice of profit sharing. Labor and capital merge perspectives through profit sharing.

Now I want to tell you about the law of God. According to the divine law, employees should not be paid merely by wages. Nay, rather they should be partners in every work. The question of socialization is very difficult. It will not be solved by strikes for wages. All the governments of the world must be united, and organize an assembly, the members of which shall be elected from the parliaments and the noble ones of the nations. These must plan with wisdom and power, so that neither the capitalists suffer enormous losses, nor the laborers become needy. In the utmost moderation they should make the law, then announce to the public that the rights of the working people are to be effectively preserved; also the rights of the capitalists are to be protected. When such a general law is adopted, by the will of both sides, should a strike occur, all the governments of the world should collectively resist it. Otherwise the work will lead to much destruction, especially in Europe. Terrible things will take place.

One of the several causes of a universal European war will be this question. The owners of properties, mines and factories, should share their incomes with their employees, and give a fairly certain percentage of their profits to their workingmen, in order that the employees should receive, besides their wages, some of the general income of the factory, so that the employee may strive with his soul in the work. (Abdul'Baha from a talk given at Dublin, New Hampshire in 1912, Baha'u'llah and the New Era, 145-46)

At the heart of this issue is the recognition of the value of talent - an individual's capacities and gifts, which are used to produce benefit to himself and others.

The people of Baha should not deny any soul the reward due to him, should treat craftsmen with deference, and, unlike the people aforetime, should not defile their tongues with abuse. In this Day the sun of craftsmanship shineth above the horizon of the occident and the river of arts is flowing out of the sea of that region. One must speak with fairness and appreciate such bounty. By the life of God! The word 'Equity' shineth bright and resplendent even as the sun. We pray God to graciously shed its radiance upon everyone. He is in truth powerful over all things, He Who is wont to answer the prayers of all men. (Tablets of Baha'u'llah, 38-39)

Work in the Baha'i dispensation is a form of worship. The use of talent to benefit ourselves and others is elevated in human consciousness to the level of awareness of God.

It is enjoined on every one of you to engage in some occupation - some art, trade or the like. We have made this - your occupation - identical with the worship of God, the True One. Reflect, O people, upon the Mercy of God and upon His Favors, then thank Him in mornings and evenings.

Waste not your time in idleness and indolence, and occupy yourselves with that which will profit yourselves and others beside yourselves. Thus hath the matter been decreed in this Tablet, from the Horizon of which the Sun of Wisdom and Divine Utterance is gleaming! The most despised of men before God is he who sits and begs. Cling unto the rope of means, relying upon God, the Causer of Causes. (Tablets of Baha'u'llah, 26)