VIEWPOINTS
The Role of Money and Finance in the Economy and Society from the Christian Faith Perspective by Dr Rogate R. Mshana, Ecolife Centre Director
Introduction The topic of Faith and Finance entails responding to some questions: what is money, what is finance, what is society and even more loaded is the question - what is the Christian faith. This paper outlines briefly the conceptual understanding of these issues and also the role that money and finance ought to play in the economy and society from the perspective of the Christian faith based on the teachings of Jesus Christ.The topic of Faith and Finance entails responding to some questions: what is money, what is finance, what is society and even more loaded is the question - what is the Christian faith. This paper outlines briefly the conceptual understanding of these issues and also the role that money and finance ought to play in the economy and society from the perspective of the Christian faith based on the teachings of Jesus Christ.
What is money? Money is primarily understood as a medium of exchange or a means of exchange. It is a way for a person to trade what one has for what one wants or needs. It was devised so as to solve the intricacies and complexities of the barter system in trade relations. Ideally, money has three critical characteristics: It acts as a medium of exchange; it is an economic good and it is a means of economic circulation.š People today speak about real money and virtual money. Money has been transformed into various complicated instruments such as derivatives² that cannot be understood by people who are not professionals; what we need to know is that it is the commodity used in the modern trading systems – and this is really virtual money. Money has been turned into a commodity instead of in essence being a medium for the exchange of goods and services. A few people benefit vastly from doing nothing but sit at a desk and engage in speculation and become more and more wealthy; while millions of others are impoverished with little access to real money. What we have today is a monetary system that is delinked from real economy. It is here that issues of Christian faith and ethics come into play asking a question, have we reached a point of worshiping mammon instead of God? What role does money have in an economy of life for all people and all of creation?
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See https://economicsandliberty.wordpress.com/what-is-money (accessed on 24-10-15) A derivative short for derivative instrument is a contract whose value is based on the performance of an underlying asset, index or other investment.
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