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Some Inter-Relations Between Religion and Economics

Improvement Era, vol. 32, no. 2, December 1928, pp. 107 to 117

Haenle, Max

Some Inter-Relations Between Religion and Economics (Conclusion) By Dr. Max Haenle, University of Erlangen, Germany UTAH has an abundance of material in store for the sociologist. In many respects this material is almost unique. It is indeed strange that scientists have so long neglected the "Mormon" sources and thought little of the wealth of information they give. However, this is not without parallel in other branches of scientific research. Perhaps it is an erroneous conception of "Mormonism" — for that name still savors of polygamy to some — which is responsi- ble for the social and scientific ostracism pronounced upon the Church of Jesus Christ of Latter-day Saints, whose migra- tions remind us so forcibly of the wanderings of the Parsees of ancient Persia. People in the East and in Europe who know nothing more of the religion of the Latter-day Saints than anti-"Mormon" hit words haven't the slightest idea of conditions in Utah in many in- stances, and those who identify Bishop Lee and the Mountain Meadow Massacre or the extremities of polygamy with "Mormon- ism" hold just as deplorable and miserable a position as those who link Catholicism up with the name of Alexander VI or of his son Cesare. But even an acquaintance with standard "Mormon" litera- ture does not give a complete picture of the religion of the Latter- day Saints. "Mormonism" is, more than any other religious sys- tem which I have had occasion to study, a religion of life. The "Mormons" who look back upon a comparatively short history of their Church have not yet developed a comprehensive system of religious philosophy, as, for instance the Hindus or the Catholic Church since the days of Paul and Clemens of Alexandria up to Albertus Magnus and the great systematizer, Thomas of Aguin. Anybody who wants to know "Mormonism" must live among the "Mormons" for some time; he must know the country colonized by Brigham Young and his faithful. If we study the standard works of the "Mormon" Church only, with a spirit of rationalism, it is impossible for us to form a very reliable opinion. Along with views of a more or less primitive nature upon which anti-"Mormon" litera- ture has dwelt with great emphasis, there are in the standard works of the Church many beginnings of valuable new institutions, the ultimate results of which we have difficulty to comprehend com- pletely. When I say that a number of "Mormon" doctrines leave a

108 IMPROVEMENT ERA somewhat primitive impression with the sociologist who has studied older religions, I say it "sine ira ac studio" — without any malice or bad intention. I am aware that the philosophical merits of a re- ligion carry no necessary implication as to its general cultural im- portance. Brahmanism, for example, in spite of its deepness of thought, lacks much of the importance for practical every-day life which is characteristic of Puritanism. The doctrine of predestina- tion, although it is a monstrosity, has nevertheless produced some of the strongest men in history. I have already pointed out that modern capitalism cannot be understood at all without a familiarity with Calvinistic modes of thought. We must not proceed in a de- tached manner when we analyze a religion, but we must take into consideration all conditions under which the religion in question is supposed to operate. A religious system, the philosophy of which is over-developed, is in danger of not being understood by the masses. I have mentioned Buddha in another place already, whom the people in general failed to understand after the passing of time. Coming back to a consideration of "Mormonism," which may be regarded as a cross between Protestant doctrines and Catholic or- ganization in many respects, I wish to say that the Latter-day Saints have achieved a position in civilization and culture which stands un- surpassed. They have made a garden out of a salty desert. Aside from this pioneer achievement, "Mormon" morality has produced an economic type of man of the highest quality. Persons who keep the Word of Wisdom are, without doubt, more efficient workers than those who violate this commandment daily in every possible fashion, and consequently they enjoy a better credit in business. In this regard there are many similarities between the economic import- ance of Puritanism and "Mormonism," which might be called, in a way, the offspring of the former. In Samoa as well as in Hawaii I have had occasion to observe that the typical "Mormon" code of every-day ethics in connection with the economic importance of the Word of Wisdom, to refrain from all intoxicating beverages, re- sulted in a greater trustworthiness in financial credit matters. An- other feature of a purely religious nature, the economic importance of which should not be overlooked, however, is the fact that the "Mormon" Church has no professional Priesthood. This will al- ways prevent a spirit of world-negation to arise in the Church. The necessary contact with daily life is continually preserved. In this connection I have to mention another "Mormon" institution. It is the missionary system of the Latter-day Saints. Just as there is no professional Priesthood in the Church, it also has no professional missionaries. The young "Mormon" goes into all parts of the world to preach the Gospel of his Church. After three years he returns

RELIGION AND ECONOMICS 109 with his views considerably broadened, having acquired a greater ease in his contact with men. It seems to me that the general cultural results of this "Mormon" missionary work are just as important as the religious aspects of the system. No other religious body knows of such an ideal institution which is at the same time of as great a practical value as the "Mormon" mission. I wish to say a word here about another institution, born of idealism. It is the genea- logical work of the "Mormons," the like of which is found no- where else in the entire world. Genealogical research, although it is primarily the basis for temple work in the interest of the dead, is of great significance also in family life generally, for it becomes ma- terially enriched through the knowledge of the genealogy of the parents' ancestors. "This is the place" also, to mention the "Mor- mon" old-folks day, expresses the thought of a close union of the entire community and the feeling of gratitude toward the older generation in a way, the equal of which can be found nowhere else in the world. To the broadmindedness and farsightedness of the "Mormon" leaders, who had already established a model settlement in Nauvoo, Salt Lake City owes its ideal laying out. The survey of the various lots, their just apportionment according to occupations as well as the size of the family, and the endeavor of Brigham Young to pre- clude an unwholesome speculative fixation of prices upon the real estate market, which suspended many undesirable results of the ground rent for a long time, are particularly instructive for the social economist. The same is true of the "Mormon" settlement policy in general, the foremost principle of which is that all families should own their own homes. Anybody who is at all familiar with the many advantages arising out of individual home ownership from the standpoint of ethics, health and citizenship, must appreciate the great importance of the "Mormon" home-ownership policy and regard it as one of the most interesting and valuable characteristics of the "Mormon" attitude of mind. It has been very interesting for me to read occasionally in the German paper of the "Mormon" Church, the Beobachter, which is edited by my friend, Jean Wunder- lich, very instructive articles about the advantage of having a home of one's own as compared with the life in apartments. The late President Joseph F. Smith emphasized this very important fact all the time. His article in the Era of August, 1904, deserves the special attention of all those who are interested in the effects of "Mormon- ism" in daily life. When we read that the cities of Utah have a very favorable home-ownership quota, we must not forget that th's fact is above all a result of the exemplary policy of the "Mormon" Church in this respect. The endeavor of the "Mormon" Church to

110 IMPROVEMENT ERA establish the greatest possible efficiency in the home and in family life was no doubt responsible for the establishment of two employment bureaus by some of the stakes of the Church in Salt Lake City. Their report which was issued recently shows that they function satis- factorily and help, in some degree at least, to prevent the disintegra- tion of family life resulting from unemployment. Besides such institutions, which are also of economic import- ance, the "Mormon" Church has stood in business enterprises from the earliest days of its history. Above all I would like to mention here the Zion's Cooperative Mercantile Institution, which was founded by Brigham Young in 1868, and incorporated under his chairmanship the ensuing year. The name of the institution is singularly indicative of its character. The cooperative attitude of the "Mormons," a parallel evolution of which in its fundamental aspects can be found already in the United Order, is a classical example of the inter-relation between religion and economics. According to the present stage of scientific research, it is beyond all doubt that the first incentive to cooperation came from the economic necessities of life. In the pioneer days of America the individual man was un- able to fight his more powerful environment. By cooperation alone could obstacles be overcome. Just think of the first irrigation ditches in Utah and their construction! The carrying out of such enter- prises by the Latter-day Saints, who were the first of the Anglo- Saxon race to develop irrigation, was possible only by means of a strict, uniform organization of production, such as the "Mormons" had at that time. It is very fitting that the best book on the economic and social aspects of irrigation enterprises and their influence upon the development of other institutions should have been written by a Utahn, President George Thomas of the University of Utah. The fact that natural environment is the prime cause of an economic system may be observed in all parts of the world and at all times. It does not matter whether we think of the community organization in New Guinea today, or of conditions in Northern Europe two thousand years ago: in each instance it was the bush or the wilderness which could not be cleared by one man alone. It conditioned the social and economic structure of society. The same is true of the early history of "Mormonism." The surrounding economic conditions were of fundamental importance in the social order. Aside from this influence, ideas of an ethical and purely re- ligious nature may also have been of importance. To what extent this has been the case is a question deserving careful consideration. Speaking again of the Zion's Cooperative Mercantile Institution, it is particularly interesting to note that this institution was shrined about with a religious sanctity of which it is entirely devoid today.

RELIGION AND ECONOMICS 111 In front of every store of the Zion's Cooperative Mercantile In- stitution was the characteristic inscription "Holiness to the Lord." Although this institution assumed a religious character at first, we see that an entirely different situation gradually arose later under the influence of a new economic situation. Financial success, re- sulting from economic conditions generally, concentrated money in the hands of a few, which made it possible for them to buy the shares of that institution, originally cooperative,* from stockholders no longer interested. The sign remained the same, but the institution in which non- "Mormon" capital was invested later can no longer be looked upon as a Church institution upon a purely cooperative basis. The economic development of Utah during the last fifty years has diminished the importance of the cooperative idea in economic life, as we have seen. But it is interesting to note that in the field of education, for example in the Mutual Improvement Asso- ciation, the idea of cooperation has experienced a very noticeable and marked advance in another direction. This entire development is par- ticularly instructive. It shows how the economic interests in life evolve standards, becoming part of a religious system after a while, until a new economic situation occasions a complete change of con- ditions. Other religions afford similar examples. I mention these facts because you are familiar with them. It is not my intention to antagonize "Mormonism," whose great cultural achievements I esteem highly. Moreover, I have told you already that we have to distinguish clearly between the metaphysical content of a religion and the temporal organization, or the church which stands in the world and which is therefore subject to natural evolutionary laws. I have always pointed out whenever the hostile side of the camp blamed the "Mormons" for having changed their economic views fundamentally when they supplanted the United Order by an un- restrained economic individualism, characteristic also of the "Mor- mon" business man, that our entire moral and philosophical view of the economic question has also undergone a complete change with the progress in efficiency of production. Similarly, we must not forget, when we hear the cry of some non- "Mormon" business men of the state that "Mormon" influence was largely responsible for the former Utah corporation law, making it expensive for large Eastern corporate enterprises to establish themselves in Utah without resorting to the construction of legally complicated holding com- panies, that through this fact, whatever the "Mormon" influence may have been, a very effective protection was given the Utah ♦It was cooperative especially when we emphasize the entire policy of the institution toward the buyer; for the Z. C. M. I. was not cooperative in the sense of the word which Rochdale has given it.

112 IMPROVEMENT ERA middle class which might have suffered financially from a pre- mature influx of Eastern corporate money. That man's attitude to- ward new economic orders is continually undergoing a change, as I indicated before, is demonstrated forcefully by the shifting position which money and capital have occupied in the totality of our ethical and philosophical views. Because of a restricted economic order, money had no productive properties in ancient times. Credit was known only as credit of consumption. These facts are the founda- tion for the view of Aristotle, who said that money could not propagate itself and that therefore the taking of interest was un- ethical. This view was later adopted as a doctrine of the Catholic church. Thomas of Aquin especially, the greatest systematic phil- osopher of the Catholic church, linked up closely Aristotle's idea with his scholastic system. Later on, when economic life assumed different forms, money began to become of a productive character. In spite of all resistance on the part of the church, the old scholastic doctrine lost out. Originally this religious provision was a func- tion of economic life, but later, when new economic conditions made the functioning of that particular religious doctrine impossible, the church ban on interest lost its significance. Today no Catholic refuses to accept interest on the ground of business ethics, for capital in our modern economic fabric has assumed a productive nature. These inter-relations are very instructive and interesting. Even our fundamental moral conceptions change under the influence of in- dustrial progress, for how could the companionate marriage idea win any ground if it were not for the fact that women have gained an almost complete economic independence in modern industrial life, and how could indiscriminate petting parties have assumed such astonishing proportions if it had not been for the added possibilities which the general ownership of the automobiles affords? But let me quote another example which belongs to the field of economics and which justifies without question the abandonment of several old "Mormon" economic principles. Extreme economic individualism which was formerly rejected by many churches has assumed an en- tirely different ethical character through our new and efficient methods of production. As I said before, the great fortunes accu- mulated by economic egotism, becoming larger and larger all the time, represent capital today which permits us to produce more cheaply. But through our ability to produce more efficiently, the accumulation of millions of dollars in the hands of one person ap- pears in a new and distinctively ethical and moral light. Nobody will consider the financial influence of Henry Ford today from a purely individualistic standpoint. Ford's capital performs a characteristic function, not primarily for the satisfaction of his own needs. No,

RELIGION AND ECONOMICS 113 Ford has a tremendously growing influence upon the decrease of production costs. Every one of the millions of Ford car owners has indirectly profited by Ford's money, to say nothing of such remote consequences as the improvement of America's highway system, which could not have been possible so quickly and thoroughly with- out the assistance of the motorist. The inter-relations in our mod- ern economic system, characterized by machines and their laws, are very instructive, especially when we consider the ethical questions arising through them in our modern economic life. I am by no means an enemy of the great fortunes, accumulated by economic individualism. I wish to remind you only of the beneficial con- sequences of the Carnegie and Rockefeller foundations. But let us proceed a step further. Today we speak of universal peace, not only in Geneva, where I am very well acquainted, but also in conferences at other places. I am not over-confident of the results of nice phrases. Any national policy has to be selfish to a certain degree if it is not to collapse. The same is true of national industry. Some inter-national friction will be bound to come. But the new con- centration of economic interests, taking in all the world, which is beginning to develop under our very eyes, may create an entirely new situation. The history of the Morgan banking concern is very interesting in this respect. I see in the desire for financial expansion which finds so much opposition a promising sign for the final estab- lishment of world-wide peace. The shrewdly calculating financiers who know the destructive agency of war, and whose interests are spread all over the globe, are going to be greater guarantors of the world's peace than political and military agitators. Personally I am delighted over the recent economic connections established be- tween America and Germany. I am sorry only that Wall Street did not take an interest in Germany before 1917. Last Sunday in the Tabernacle I heard a speaker who convinced me more forcefully than ever that all things in this world are subject to influences and changes. In a medieval European fashion he tried to give a religious sanctity to the Constitution of the United States by claiming it to be of divine origin. Your Constitution is, no doubt, a paramount achievement, but when I think of the times of strife between Washington and Salt Lake City over polygamy and when I think of the part the Constitution played in this controversy, I am really astonished that an attempt is made to adorn that very Con- stitution with a rosary in the Tabernacle. I think, however, I am not mistaken when I see in the remarks of the speaker, above all, a pronouncement of loyalty and devotion to his country. I have already spoken of the question of polygamy. According to all impressions which I carry from Utah, and after meeting so many

114 IMPROVEMENT ERA splendid people here, it will be hard for me to take leave. I am firmly convinced today that it was not moral degeneracy, as peo- ple in the East like to maintain, but a purely religious conviction which lay at the foundation of the "Mormon" plural marriage system. Besides, polygamy as such was of the utmost importance from the standpoint of population policy and of economics. But polygamy had also a sociological significance. As there usually existed some relation between the wealth of a man and the number of his wives, polygamy had an equalizing effect on the standard of living maintained by different families in the state. I just indi- cated the connection of polygamy with the endeavor of Utah's early leaders to provide a large population. This aim was furthered, of course, by the healthy morality of the "Mormons," contributing to a higher birth rate. The relative number of inhabitants in any country is of very significant economic consequences, for the density of population often has a profound influence upon the economic structure of a community. Utah's highly developed sugar beet industry, for example, is partly conditioned on the fact that it re- quires intensive cultivation which makes it possible to support a large population even in a comparatively small cultivated area. Moreover, in Utah, where we have only 530,000 inhabitants upon an area of 84,000 square miles, the water question is much more decisive than the land question. A high density of population is significant not only from a purely economic point of view, it is also of great importance in church life. Where people live far apart the development of social or deeply rooted religious community life is impossible. Here, then, we have a splendid example of the vision and farsightedness of the leaders of the "Mormon" Church, every one of whom has a thorough economic schooling. The most out- standing character in this regard is, without doubt, Brigham Young. To him Utah owes, above many other things, its sound agricultural foundation. His attitude against the somewhat gambling-like mining business, not only added to the moral quality of the Utah pioneers, but in a purely economic way his policy is just as important. At that time the creation of the necessary food supply for a territory, isolated like an oasis in the great Sahara Desert, was the most im- mediate concern. If the "Mormons" had tried their luck with the miner's pick instead of the spade and plow, unthinkable difficulties would have been the inevitable result. But, as it is, the pioneers have laid the foundation for Utah's flourishing farming industry. I have often heard it said that the stern attitude of Brigham Young against the development of mining was due to his desire to keep the Gentiles away from Zion. This may be true in a way, but I think that the founder of the "Mormon" state also thought of other

RELIGION AND ECONOMICS 115 important things in his ingeniously economic farsightedness when he declared war upon treasure-digging in the mountains. It is an in- disputable fact that an abundance of ore, especially of precious metals, furthers the circulation of money. But inasmuch as money was rare, Utah was primarily a country of barter during the first years of its development. We have to thank the Lord for it, for barter increases productivity in many respects. The kings of old India already knew this when they declared millet to be the standard value, thus encouraging the more intensive cultivation of this chief food product. Their action was prompted by a desire to prevent famines. For under the system as they established it, the ready money of a man did not consist in precious metals but in a large food supply. It is deplorable that an appreciation of these very interesting connections has been lost in our time when the indi- vidualistic economic theory is in full sway, for these relations show that bartering may represent a better and higher economic order under certain conditions than our modern monetary systems. Speaking of "Mormon" institutions again, I have to mention the law of tithing which makes it possible for the Church to support, not only Church undertakings, but also to help materially in the support of cultural and social endeavors. Through the levy of tithing in connection with other revenues of the Church it is pos- sible for the "Mormons" to banish the collection plate from their meetings, which is, no doubt, an asset to the dignity of their re- ligious services. Of greatest interest to me has been the model "Mormon" edu- cational system which gives an opportunity to every member to develop individual originality. Only he will develop the feeling of responsibility who is given a personal sphere of activity. The realization of this fact has made a deep impression upon one of the main institutions of "Mormonism." I may be permitted to mention briefly that the uniting of teaching and learning in one person, as we find it in the Sunday Schools and the Mutual Improvement As- sociations, is somewhat similar to the excellent methods of train- ing employed by the Societas Jesu. It would go too far if I should point out all the connections between "Mormon" education and our present-day life. I desire to say just one thing. In many respects I have felt more at home here than in other American cities, because my "Mormon" friends have a deeper conception of that unity which we call human life than the average American, for whom I have a high regard because of the kindness of his heart, but whose general view of life is somewhat strange to me. As a student I have always been a worthy representative of my university in athletic activities. But never did I become a servant of the boxing and baseball god.

116 IMPROVEMENT ERA On the other hand, I can not yet get interested in the headlines of the United States newspapers. Many Americans may think that my mental development is somewhat retarded because I am unable to get excited at the thought that Babe Ruth caught a cold, that a film actress got her fifth divorce or at the description of the last moments of some slayer whose life is ended in the electric chair. But I am earnestly endeavoring to understand this American attitude also. The strenuousness of American business life does not leave time to follow private inclinations. A man who returns from his office or from the factory dead tired, looks for light and stimulating mental food. A classical drama, requiring deepest concentration, is no recreation for exhausted people. On the other hand, if we wish to be just, we must not overlook the good sides of modern industry. I think that economic and technical progress is going to prove valu- able if we do not forget that material treasures are only a means to an end, but not an end in themselves. This fact, in connection with the ever increasing efficiency in production, which is going to reduce and has already reduced the daily hours of labor, opens before us an encouraging view. The machine, the characteristic of our day, is neither good nor bad in itself. It all depends on how we use it and what place we give it in our cultural life. This alone will determine whether machines become the enemy or the friend of man. When I returned from Samoa and Hawaii, standing upon American soil for the second time, I put the question to myself, whether there is a parallel in history to the difference between the European and American view of life and life's problems. Auto- matically I thought of the Greeks and the Romans. Greece, torn up politically just like Europe, visited by domestic wars, has achieved paramount accomplishments in purely cultural and intel- lectual fields. These achievements can be understood only when we keep in mind the extreme individualism of Greek life, but yet it was the main reason for the failure on the part of Greece to develop s great political unity. The Roman, originally a cold, coarse, prac- tical creature, endowed with a keen instinct for discipline, was able to score a political victory over Greece because of his better organiza- tion of the masses. The same Rome which at one time enacted a law against philosophers and which destroyed Corinth adopted Greek ways of life later on. Historical comparisons are always limping; yet they are very enlightening at times. In its early days, Rome went through something like a Puritan era and it was not until later that it heard the clamor of the masses for "panem et circenses," which is in free translation nothing but "good food and good baseball games." The same Rome also adopted Greek art and science and opened new

RELIGION AND ECONOMICS 117 avenues for these aspects of human culture by means of its success in practical fields, just like America which often extended a helping hand to Europe. It is true, Europe, unlike Greece of the later Ro- man period, is not a political subdivision of America, but financially and economically Europe depends on the United States to a very large extent. Whether the Europeans like it or not, the fact remains the same. But, after all, if viewed from a more remote perspective, it is nothing but an ideal compensation — the Americans give the Europeans of their abundance, and America in turn imports from the old, less fertile soil of Europe, many a cultural grain which often ripens into a delicious fruit under America's sun. I remind you only of the methods developed in scientific laboratories of Europe which have brought many encouraging results in the splendidly equipped American research institutes. These mutual achievements are a source of particular joy to me, for the impressions which I have gained in the New World have indeed made my life fuller and more complete. Man learns to know himself, that is his entire character, only when he has learned to know something about the world. Every new situation in life reveals a new part of our inner self. A large majority of you, ladies and gentlemen, who have come back to the University are a typical example of the living spirit of pro- gress and educational endeavor. At this Alma Mater Utahensis, so dearly known to me, you will not only gather new information, but your new knowledge, I am certain, will become a universal unity within you. It has always been the noblest aim and task of the truly cultured man to find a real unity in the multiplicity and di- versity of life; and this endeavor which goes like a silver thread through all the history of the "Mormon" Church has been to me, during my stay in Utah, not only a scientific inspiration, but it has ^Iso, and this is much more important, enriched my life beyond measure from a purely human point of view. Every preacher. Sunday school teacher and public school teacher should read "The Letter and the Spirit of our Profession," from the inaugural address of President Wm. P. Dearing before the State Teachers Association of Indiana. It is issued in an attractive leaflet by the No-Tobacco League and will be sent along with other leaflets of value on request. Government [reports show that more than one hundred billion cigarettes are manufactured and sold annually in our country. Their use is increasing rapidly among girls, boys and women. Good people are being disturbed about it. Folks of intelligence are asking for reliable, up-to-date information on the question. The leaflets mentioned above and other information will be furnished to those sending five cents to cover cost. Address No-Tobacco League, In- dianapolis, Indiana.