Buddhist Economics 2.0
E.F. Schumacher’s Small is Beautiful, first published in 1973 and still in print, is arguably the cornerstone of what we now call “The New Economics.” One of the most famous of its chapters is called Buddhist Economics, which was informed by his experiences in Burma while stationed there in the colonial civil service, along with his readings on the subject. Though the chapter makes many specific references to Buddhist teachings, he clearly intended its message to be broadly applicable to the various spiritual traditions. In a video I’ve seen on the Internet, he joked, “Well, we could have called it Christian Economics, but then no one would have paid much attention.” Basically he wanted to put forth economic thinking that was in accordance with spiritual principles, and he succeeded. It’s a great chapter, and I hope you read it.
However,
in this piece I’d like to take a fresh start on Buddhist Economics.
In the 40 years since the publication of Small
is Beautiful,
Buddhism has emerged as a significant and widespread movement
worldwide. It is no longer an exotic and foreign tradition, but one
that has quietly taken its place in the fabric of society. There are
over 50 Buddhist centers here in the Hudson Valley. I’ve been a
student of Buddhism my entire adult life, and moved here in 1995 to
be near one of those centers.
It
is reasonable to ask at the onset whether Buddhism ought to have
anything to do with economics. Isn’t it about transcending worldly
matters altogether? One answer to that question is simply that by
placing worldly life in spiritual perspective, a healthy context for
understanding economics can emerge. Because the whole realm of work,
material relations, and exchanges is not
considered the only thing in life, or the only important thing, we
can understand it with more wisdom than if we try to analyze it in a
vacuum. This general perspective could come from any of the authentic
spiritual traditions, and is a good general argument for grounding
economic theory and practice in spiritual wisdom. Such a view may
seem to be a bit of a no brainer for the general reader, but most of
modern economics, which purports to be a scientific or even a
mathematical discipline, has gone a different direction.
What
might Buddhism specifically have to contribute to the conversation
about economics? For a start, I’d like to outline three main areas:
psychology, interdependence, and compassion.
Concerning
psychology, the Buddhist teachings are a rich source of insight into
the functioning and nature of the mind. In particular, there is a
detailed description of the confused, egocentric mind. I have
summarized this functioning in secular terms with the phrase
“psychological materialism.” The mind solidifies that which it
assumes to be separate based on an assumed solidity and separateness
of the ego. At the same time, by the very fact of its confusion, the
operation of the egoistic or materialistic mind does not have
validity or ultimate influence. Underlying that confusion is wisdom,
which all beings have, though they don’t necessarily notice it.
Nevertheless, that basic wisdom is the source of virtuous and
intelligent qualities, qualities that are naturally present in human
beings and which can also be consciously cultivated. All this leads
way beyond any simplistic notion of the human individual, or for that
matter, human society. And it points to very real possibilities for
the development of a saner economic civilization than we have today.
Interdependence has
always been considered a hallmark of the Buddha’s teaching. Rather
than positing the appearances of our world as a divine creation, all
that which appears and exists—including ourselves—is understood
in terms of interdependence. The observable natural world displays
characteristics of interdependence, and in this regard Buddhist and
scientific thought are not in conflict. But the Buddhist notion of
interdependence has never excluded the role of the mind in the whole
process. Our human economy is comprised of a vast interrelated system
of thought patterns and actions, all in the context of the natural
world. Therefore our understanding of economic matters needs to be
radically inclusive of all these factors and their relationships.
Though economics has long recognized interdependence in various ways,
the Buddhist view has much to contribute to that understanding.
Finally,
we can say that a true Buddhist economics is an economics of
compassion. Indeed the very purpose of Buddhism is to benefit beings
and bring them wellbeing. This includes mundane wellbeing, not only
for its own sake, but because the conditions needed to realize our
human potential clearly include a basic level of sufficiency in an
economic sense.
Finally,
if correctly understood, the notion of an economics of compassion
makes it possible to transcend the split or contradiction between
individualist and collectivist views on economics. This split has
bedeviled our modern world in so many tragic ways. This and other
implications of an economics of compassion comprise a whole topic in
itself, which I’ll continue to explore in my next column.
“Compassion
is the radicalism of our times.” –His Holiness the Dalai Lama
neweconomics@countrywisdomnews.com
Posted by lil' Liza
on 10:37 AM.
Filed under
New Economics
.
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