THE REFLECTION OF THE LIBERAL CAPITALISM FROM THEOLOGICAL PERSPECTIVE

Abstract

The 2008 Nobel Price winner, Prof. Paul Krugman questions the Liberal Capitalism which was the leading economic theory in the past twenty years. He thinks that the liberal market policy without control is one of the causes for the international financial tsunami in 2008. He supports that the government should intervene the financial market to stop the collapse of economy when it is necessary. In response to the international financial tsunami, the economists discuss not only about the possible policy for sustaining the market, but also whether the Liberal Market Theory of the Chicago School has fundamental weakness or the Capitalism of Adam Smith it is wrong. However, does Adam Smith build up the capitalistic idea on human selfishness? 2009 is the 250th anniversary of the Adam Smith’s great book on The Theory of the Moral Sentiment. Chinese premier Wen Jiapao expresses his sympathy of the idea of equality and justice, the share of economic development in a society in Smith’s book on The Theory of the Moral Sentiment.  How interesting is the leader of a Marxist or socialist China expressing positive comment on Smith’s work. As a Chinese Christian theologian, I regard the reflection of the issue of economic ethics as an extremely important topic for today. It is not only an important question for the global world, but also for the peoples in China. Based on the concern for the global need and the contextual need in China, I would concentrate in the topics: “The Reflection of the Liberal Capitalism from a theological Perspective”.