Economic Globalization
The
earth is the Lord's and all that is in it, the world, and those who live in it.
Psalm 24:1
The
creation belongs to God. We have been given responsibility to care for it,
lovingly tend it, and responsibly use it. When, in our brokenness, we hoard
resources, violate and plunder the earth carelessly and greedily, when we take
more than we need at the expense of others, it violates God's intention.
In an
increasingly interdependent world economic order, unfair systems benefit some
people while hurting others and harming our planet. The current design of the
global economic structure is increasing the disparity between those who have
more than enough and those who have too little. The church has a responsibility
to speak on behalf of and stand with the poor, oppressed, and marginalized.
Economic globalization refers to the growing
integration and inter-connectedness of the national economies through increases
in trade, investment and, to some extent, immigration.
We can’t
halt globalization. But we can and need to carefully choose the rules and laws
that govern it. A “neo-liberal” policy
framework has shaped the past 30 years of rapid globalization. Contrary to
the way it sounds, neoliberal policies are more commonly supported by
politically conservative, not liberal, people.
Neo-liberal policies are grounded in the
belief that markets provide the best economic outcomes and that the unfettered
buying and selling of goods and services (including people’s labor), without
interference by regulations (such as protections for workers or the
environment) will provide the optimal economic outcomes.
Neoliberal
beliefs are put into practice through policies that:
- Promote
international “free” trade and investment (money flows) unhindered by
regulations or protections for workers and the environment.
- Decrease
the role for governments, including deregulation, tax cuts, reductions in
safety net programs.
- Expand
the role for corporations, including in sectors and services traditionally
handled by governments including education and health care (privatization).
Neoliberal
policies are imbedded in international agreements such as the North American
Free Trade Agreement and in activities of the World Trade Organization, World
Bank, and International Monetary Fund. These policies have also been
incorporated into U.S.
laws, leading to a weakening of labor and environmental protections, consumer
and product safety oversight, regulations of commerce, and other aspects of our
legal and regulatory framework that governs business practices.
Many
people are concerned that neo-liberal policies have led to:
- Rising
inequality of income both in the global North and South
- Slowed
economic growth
- Increased
financial instability (as we saw in the United States and around the world
in 2008)
- Slowed
improvements in social indicators, such as infant mortality and life expectancy
- Increased
corporate power.
UCC General Synod Resolutions and Pronouncements
A Faithful Response: calling for a more just, humane direction for economic globalization describes the impact of the past 25 years
of enhanced economic globalization and calls for fundamental changes in the
rules and institutions that shape this integration.
General
Synod 27 affirmed the Accra Confession: Covenanting for Justice in the Economy and the Earth and recommended it to the church for study, discernment, and action in Affirming the Accra Confession: Covenanting for Justice in the Economy and the Earth.