Freedom of Religion/History/Country sources/Modern Capitalism

Freedom of Religion

What have religious and philosophical traditions contributed to our understanding of this right?

Modern Capitalism

At first glance, the idea of freedom of religion seems tangential to modern capitalist philosophy. They are of course intuitively compatible, since under a system of free enterprise there is no reason why one shouldn’t have freedom of faith as well. Undoubtedly, capitalism became closely linked to freedom of religion in the political discourse of the Cold War, to draw a contrast with the suppression of religion under communism. Nevertheless, capitalism is fundamentally an economic philosophy, and most arguments for it are in economic terms, with a positive argument for freedom of religion apparently regarded as not essential to a capitalist value system. As Ludwig von Mises wrote, “one does not refute socialism by attacking the socialist stand on religion, marriage, birth control, and art” (von Mises 1990, 16).

That said, even if freedom of religion is not absolutely necessary to the capitalist model, leading capitalist philosophers have interacted with it in unique ways, ultimately showing that freedom of religion can be defended in terms of the free market. Precursors to this connection can be found even before modern capitalism had fully developed, as when Voltaire described how commerce fosters religious tolerance in his famous commentaries on English society: “Take a view of the Royal Exchange in London, a place more venerable than many courts of justice, where the representatives of all nations meet for the benefit of mankind. There the Jew, the Mahometan, and the Christian transact together, as though they all professed the same religion, and give the name of infidel to none but bankrupts. There the Presbyterian confides in the Anabaptist, and the Churchman depends on the Quaker’s word” (National Constitution Center 2023).

Milton Friedman, the preeminent modern philosopher of capitalism, would build on this idea by discussing how the underlying principles of capitalism naturally work to promote respect for freedom of religion. In his book Capitalism and Freedom, Friedman specifically highlighted the principles of free association and private enterprise, emphasizing that they have relevance to society in realms other than the economic: “By relying primarily on voluntary cooperation and private enterprise, in both economic and other activities, we can insure that the private sector is a check on the powers of the governmental sector and an effective protection of freedom of speech, of religion, and of thought” (Friedman 2002, 3). Elsewhere in his book, Friedman pointed to the importance of competition: “[T]he preserves of discrimination in any society are the areas that are most monopolistic in character, whereas discrimination against groups of particular color or religion is least in those areas where there is the greatest freedom of competition” (Friedman 2002, 109).

For Friedrich Hayek, the capitalist system was crucial in enabling free exchange of ideas that are in demand by the public, just as it enables the free exchange of goods and services. To Hayek, capitalism (in a broader sociopolitical sense rather than strictly in an economic sense) facilitates freedom, of which freedom of religion is necessarily a part. As he wrote in The Constitution of Liberty, “the man of independent means is an even more important figure in a free society when he is not occupied with using his capital in the pursuit of material gain but uses it in the service of aims which bring no material return” (Hayek 1960, 125). Among these aims are “the propagation of new ideas in politics, morals, and religion” (Hayek 1960, 125). Hayek subsequently emphasizes how the principle of competition necessitates religious pluralism, analogously to John Stuart Mill’s marketplace of ideas: “[T]here should be no monopoly here but as many independent centers as possible able to satisfy such [spiritual] needs… representatives of all divergent views and tastes should be in a position to support with their means and their energy ideals which are not yet shared by the majority” (Hayek 1960, 125). That said, Hayek noted that freedom of religion, like any freedom, cannot be absolute: “Since there is no kind of action that may not interfere with another person's protected sphere, neither speech, nor the press, nor the exercise of religion can be completely free. … Freedom does mean and can mean only that what we may do is not dependent on the approval of any person or authority and is limited only by the same abstract rules that apply equally to all” (Hayek 1960, 155). Even so, Hayek evidently did not regard such limitations as so significant as to curtail freedom of religion; they did not represent a conflict between freedom of religion and the capitalist model.

Other philosophers, however, were not so accepting of the role of religion in the capitalist system. Von Mises did, in some parts of his work, express a view similar to Friedman and Hayek, as when he wrote, “the freedom that the market economy grants to the individual is not merely ‘economic’ as distinguished from some other kind of freedom. It implies the freedom to determine also all those issues which are considered as moral, spiritual, and intellectual” (von Mises 1990, 9). On the other hand, he also apparently considered religion (or at least the institutions of organized religion) inimical to the development of capitalism. As von Mises said, “it would seem that only a negative answer can be made to the question [of] whether it might not be possible to reconcile Christianity with a free social order based on private ownership in the means of production. A living Christianity cannot, it seems, exist side by side with Capitalism. Just as in the case of Eastern religions, Christianity must either overcome Capitalism or go under” (Glahe and Vorhies 1989).

In The Ethics of Liberty, Murray Rothbard denied the very existence of freedom of religion as a separate right, under his conception that all rights are fundamentally property rights. As he wrote, “the concept of ‘rights’ only makes sense as property rights. For not only are there no human rights which are not also property rights, but the former rights lose their absoluteness and clarity and become fuzzy and vulnerable when property rights are not used as the standard” (Rothbard 1998, 113). For Rothbard, every right is a right to ownership (of one’s body, speech, beliefs, etc.); any other account of rights creates inevitable conflicts when one person’s right interferes with the rights of others. He believes that due to such conflicts all rights must be acknowledged as not absolute, and thus (in contrast to Hayek’s view) they become abridged. Using the example of the right to freedom of speech, or “the right of everyone to say whatever he likes,” Rothbard argued that “the neglected question is: Where? Where does a man have this right? He certainly does not have it on property on which he is trespassing” (Rothbard 1998, 113). Therefore “there is no such thing as a separate ‘right to free speech’; there is only a man's property right: the right to do as he wills with his own [property] or to make voluntary agreements with other property owners” (Rothbard 1998, 113). The same would thus be true for freedom of religion as a discrete right; presumably, it should likewise be subordinated to the interests of, and subsumed into, the capitalist right to property.

The most obvious real-life application of Rothbard’s stance seems to be in workplace accommodations for religious practice. In the United States, the courts have in fact rejected his view by recognizing a separate right to practice one’s religion as it relates to employment; this goes as far back as the 1963 case Sherbert v. Verner, where the Supreme Court ruled in favor of a woman who had been denied unemployment benefits after being fired due to her Seventh-Day Adventist faith. Under Title VII of the Civil Rights Act of 1964, religion is likewise a protected category when it comes to employment discrimination, in areas like hiring, firing, or advancement. Under the adversarial view described above, however, a business owner’s property is theirs to do with as they see fit, and they cannot be made to change the way they use their property to accommodate anyone’s beliefs; if the requirements of the job are intolerable to an employee’s religion, the business owner has no obligation to keep employing them. While the employee has the right to ownership of their beliefs, that does not extend to the right to practice those beliefs on someone else’s property.

In the thought of the leading philosophers of modern capitalism, one can find divergent views on the relationship that religion, and specifically the right to freedom of religion, has with capitalism. Nonetheless, these philosophers certainly had to contend with issues of religion, and from their writings it can be seen that freedom of religion has more relevance to a discussion of modern capitalist philosophy than may initially be apparent.

References:

Friedman, Milton. Capitalism and Freedom, 3rd ed. Chicago: University of Chicago Press, 2002.

Glahe, Fred, and Frank Vorhies. “Religion, Liberty, and Economic Development: An Empirical Investigation.” Public Choice, 62, no. 3 (1989): 201-215.

Hayek, Friedrich. The Constitution of Liberty. Chicago: University of Chicago Press, 1960. National Constitution Center. “Letters Concerning the English Nation (1733).” 2023. Accessed July 14, 2023. https://constitutioncenter.org/the-constitution/historic-document-library/detail/voltaireletters-concerning-the-english-nation-1733

Rothbard, Murray. The Ethics of Liberty. New York: New York University Press, 1998.

von Mises, Ludwig. “Human Action.” In Economic Freedom and Interventionism: An Anthology of Articles and Essays, ed. Bettina Bien Greaves, 12-19. Courtesy of the Online Library of Liberty, Liberty Fund, Inc., 1990.

von Mises, Ludwig. “The Freeman.” In Economic Freedom and Interventionism: An Anthology of Articles and Essays, ed. Bettina Bien Greaves, 3-11. Courtesy of the Online Library of Liberty, Liberty Fund, Inc., 1990.