Continuing Encyclical Letter
of

Pope John XXIII
on
Christianity and Social Progress
May 15, 1961
                                                                                                       
PART II

EXPLANATION AND DEVELOPMENT
OF THE TEACHINGS OF "RERUM NOVARUM"

Private Initiative and State Intervention
in Economic Life
    51.   At the outset it should be affirmed that in economic affairs first place is to be given to the private initiative of individual men who, either working by themselves, or with others in one fashion or another, pursue their common interests.
    52.   But in this matter, for reasons pointed out by our predecessors, it is necessary that public authorities take active interest, the better to increase output of goods and to further social progress for the benefit of all citizens.
    53.   This intervention of public authorities that encourages, stimulates, regulates, supplements, and complements, is based on the principle of subsidiarity (Acta Apostolice Sedis, XXIII [1931], P. 203.)  as set forth by Pius XI in his Encyclical Quadragesimo Anno: "It is a fundamental principle of social philosophy, fixed and unchangeable, that one should not withdraw from individuals and commit to the community what they can accomplish by their own enterprise and industry.  So, too, it is an injustice and at the same time a grave evil and a distrubance of right order, to transfer to the larger and higher collectivity functions which can be performed and provided for by lesser and subordinate bodies.  Inasmuch as every social activity should, by its very nature, prove a help to members of the body social, it should never destroy or absorb them." (Ibid., p. 203.)
    54.   Indeed, as is easily perceived, recent developments of science and technology provide additional reasons why, to a greater extent than heretofore, it is within the power of public authorities to reduce imbalances, whether these be betweeen various sectors of economic life, or between different regions of the same nation, or even between different peoples of the world as a whole.  These same developments make is possible to keep fluctuations in the economy within bounds, and to provide effective measures for avoiding mass unemployment.  Consequently, it is requested again and again of public authorities responsible for the common good, that they intervene in a wide variety of economic affairs, and that, in a more extensive and organized way than heretofore, they adapt institutions, tasks, means, and procedures to this end.
    55.   Nevertheless, it remains true that precautionary activities of public authorities in the economic field, although widespread and penetrating, should be such that they not only avoid restricting the freedom of private citizens, but also increase it, so long as the basic rights of each individual person are preserved inviolate.  Included among these is the right and duty of each individual normally to provide the necessities of life for himself and his dependents.  This implies that whatever be the economic system, it allow and facilitate for every individual the opportunity to engage in productive activity.
    56.   Furthermore, the course of events thus far makes it clear that there cannot be a prosperous and well-ordered society unless both private citizens and public authorities work together in economic affairs.  Their activity should be characterized by mutual and amicable efforts, so that the roles assigned to each fit in with requirements of the common good, as changing times and customs suggest.
    57.   Experience, in fact, shows that where private initiative of individuals is lacking, political tyranny prevailsMoreover, much stagnation occurs in various sectors of the economy, and hence all sorts of consumer goods and services, closely connected with needs of the body and more especiallyy of the spirit, are in short supply.  Beyond doubt, the attainment of such goods and services provides remarkable opportunity and stimulus for individuals to exercise initiative and industry.
    58.   Where, on the other hand, appropriate activity of the State is lacking or defective, commonwealths are apt to experience incurable disorders, and there occurs exploitation of the weak by the unscrupulous strong, who flourish, unfortunately, like cockle among the wheat, in all times and places.

Complexity of Social Structure
Direction of the trend
    59.   One of the principal characteristics of our time is the multiplication of social relationships, that is, a daily more complex interdependence of citizens, introducing into their lives and activities many and varied forms of association, recognized for the most part in private and even in public law.  This tnedency seemingly stems from a number of factors operative in the present era, among which are technical and scientific progress, greater productive efficiency, and a  higher standard of living among citizens.
    60.   These developments in social living are at once both a symptom and a cause of the growing intervention of public authorities in matters which, since they pertain to the more intimate aspects of personal life, are of serious moment and not without danger.  Such, for example, are the care of health, the instruction and education of youth, the choice of a personal career, the ways and means of rehabilitating or assisting those handicapped mentally or physically.  But this trend also indicates and in part follows from that human and natural inclination, scarecely resistible, whereby men are impelled voluntarily to enter into association in order to attain objectives which each one desires, but which exceed the capacity of single individuals.  This tendency has given rise, especially in recent years, to organizations and institutes on both national and international levels, which relate to economic and social goals, to cultural and recreational activities, to athletics, to various professions, and to political affairs.

Evaluation
    61.   Such an advance in social relationships definitely brings numerous services and advantages.  It makes possible, in fact, the satisfaction of many personal rights, especially those of economic and social life; these relate, for example, to the minimum necessities of human life, to health services, to the broadening and deepening of elementary education, to a more fitting training in skills, to housing, to suitable leisure and recreation.  In addition, through the ever more perfect organization of modern means for the diffusion of thought--press, cinema, radio, television--individuals are enabled to take part in human events on a world-wide scale.
    62.   But as these various forms of association are multiplied and daily extended, it also happens that in many areas of activity, rules and laws controlling and determining relationships of citizens are multiplied.  As a consequence, opportunity for free action by individuals is restricted within narrower limits.  Methods are often used, procedures are adopted, and such an atmosphere develops wherein it becomes difficult for one to make decisions independently of outside influences, to do anything on his own initiative, to carry out in a fitting way his rights and duties, and to fully develop and perfect his personality.  Will men perhaps, then become automatons, and cease to be personally responsible, as these social relationships multiply more and more?  It is a question which must be answered negatively.
    63.   Actually, increased complexity of social life by no means results from a blind drive of natural forces.  Indeed, as stated above, it is the creation of free men who are so disposed to act by nature as to be responsible for what they do.  They must, of course, recognize the laws of human progress and the development of economic life and take these into account.  Furthermore, men are not altogether free of their milieu.
    64.   Accordingly, advances in social organization can and should be so brought about that maximum advantages accrue to citizens while at the same time disadvantages are averted or at least minimized.
    65.   That these desired objectives be more readily obtained, it is necessary that public authorities have a correct understanding of the common goodThis embraces the sum total of those conditions of social living, whereby men are enabled more fully and more readily to achieve their own perfection.  Hence, we regard it as necessary that the various intermediary bodies and the numerous social undertakings wherein an expanded social structure primarily finds expression, be ruled by their own laws, and as the common good itself progresses, pursue this objective in a spirit of sincere concord among themselves.  Nor is it less necessary that the above mentioned groups present the form and substance of a true community.  This they will do, only if individual members are considered and treated as persons, and are encouraged to participate in the affairs of the group.
    66.   Accordingly, as relationships multiply between men, binding them more closely together, commonwealths will more readily and appropriately order their affairs to the extent these two factors are kept in balance: (1) the freedom of individual citizens and groups of citizens to act autonomously, while cooperating one with the other; (2) the activity of the State whereby the undertakings of private individuals and groups are suitably regulated and fostered.
    67.   Now if social systems are organized in accordance with the above norms and moral laws, their extension does not necessarily mean that individual citizens will be gravely discriminated against or excessively burdened.  Rather, we can hope that this will enable man not only to develop and perfect his natural talents, but also will lead to an appropriate structuring of the human community.  Such a structure, as our predecessor of happy memory, Pius XI, warned in his Encyclical Letter Quadragesimo Anno, (Cf.Ibid., p. 222f.is absolutely necessary for the adequate fulfillment of the rights and duties of social life.

Remuneration for Work
Standards of Justice and Equity
    68.   Our heart is filled with profound sadness when we observe, as it were, with our own eyes a wretched spectacle indeed--great masses of workers who, in not a few nations, and even in whole continents, receive too small a return from their labor.  Hence, they and their families must live in conditions completely out of accord with human dignity.  This can be traced, for example, to the fact that in these regions, modern industrial techniques either have only recently been introduced or have made less than satisfactory progress.
    69.   It happens in some of these nations that, as compared with the extreme need of the majority, the wealth and conspicuous consumption of a few stand out, and are in open and bold contrast with the lot of the needy.  It happens in other places that excessive burdens are placed upon men in order that the commonwealth may achieve within a brief span, an increase of wealth such as can by no means be achieved without violating the laws of justice and equity.  Finally, it happens elsewhere that a disproportionate share of the revenue goes toward the building up of national prestige, and that large sums of money are devoted to armaments.
    70.   Moreover, in the economically developed countries, it frequently happens that great, or sometimes very great, remuneration is had for the performance of some task of lesser importance or doubtful utility.  Meanwhile, the diligent and profitable work that whole classes of decent and hard-working citizens perform, receives too low a payment and one insufficient for the necessities of life, or else, one that does not correspond to the contribution made to the community, or to the revenues of the undertakings in which they are engaged, or to the national income.
    71.   Wherefore, we judge it to be our duty to reaffirm once again that just as remuneration for work cannot be left entirely to unregulated competition, neither may it be decided arbitratily at the will of the more powerful.  Rather, in this matter, the norms of justice and equity should be strictly observed.  This requires that workers receive a wage sufficient to lead a life worthy of man and to fulfill family responsibilities properly.  But in determining what constitutes an appropriate wage, the following must necessarily be taken into account: first of all, the contribution of individuals to the economic effort; the economic state of the enterprises within which they work; the requirements of each community, especially as regards over-all employment; finally, what concerns the common good of all peoples, namely, of the various States associated among themselves, but differing in character and extent.
    72.   It is clear that the standards of judgment set forth above are binding always and everywhere.  However, the measure in which they are to be applied in concrete cases cannot be established unless account is taken of the resources at hand.  These resources can and in fact do vary in quantity and quality among different peoples, and may even change within the same country with the passing of time.

Balancing Economic Development and Social Progress
    73.   Whereas in our era the economies of various countries are developing very rapidly, more especially since the last great war, we take this opportunity to draw the attention of all to a strict demand of social justice, which explicitly requires that, with the growth of the economy, there occur a corresponding social development.  Thus, all classes of citizens will benefit equitably from an increase in national wealth.  Toward this end vigilance should be exercised and effective steps taken that class differences arising from disparity of wealth not be increased, but lessened so far as possible.
    74.   "National wealth"--as our predecessor of happy memory, Pius XII, rightfully observed--"inasmuch as it is produced by the common efforts of the citizenry, has no other purpose than to secure without interruption those material conditions in which individuals are enabled to lead a full and perfect life.  Where this is consistently the case, then such a people is to be judged truly rich.  For the system whereby both the common prosperity is achieved and individuals exercise their right to use material goods, conforms fully to norms laid down by God the Creator." (Cf. Acta Apostolicae Sedis, XXXIII [1941], p. 200.)  From this it follows that the economic prosperity of any people is to be assessed not so much from the sum total of goods and wealth possessed as from the distribution of goods according to norms of justice, so that everyone in the community is by nature ordered.
    75.   We must here call attention to the fact that in many countries today, the economic system is such that large and medium size productive enterprises achieve rapid growth precisely because they finance replacement and plant expansion from their own revenues.  Where this is the case, we believe that such companies should grant to workers some share in the enterprise, especially where they are paid no more than the minimum wage.
    76.   In this matter, the principle laid down by our predecessor of happy memory, Pius XI, in the Encyclical Letter Quadragesimo Anno, should be borne in mind: "It is totally false to ascribe to a single factor of production what is in fact produced by joint activity; and it is completely unjust for one factor to arrogate to itself what is produced, ignoring what has been contributed by other factors." (Acta Apostolicae Sedis, XXIII [1931], p. 195.)
    77.   The demands of justice referred to, can be met in various ways, as experience shows.  Not to mention other ways, it is very desirable that workers gradually acquire some share in the enterprise by such methods as seem more appropriate.  For today, more than in the times of our predecessor, "every effort should be made that at least in the future, only an equitable share of the fruits of production accumulate in the hands of the wealthy, and a sufficient and ample portion go to the workingmen." (Ibid., p. 198.)
    78.   But we should remember that adjustments between renumeration for work and revenues are to be brought about in conformity with the requirements of the common good, both of one's own community and of the entire human family.
    79.   Considering the common good on the national level, the following points are relevant and should not be overlooked: to provide employment for as many workers as possible; to take care lest privileged groups arise even among the workers themselves; to maintain a balance between wages and prices; to make accessible the goods and services for a better life to as many persons as possible; either to eliminate or to keep within bounds the inequalities that exist between different sectors of the economy--that is, between agriculture, industry and services; to balance properly any increases in output with advances in services provided to citizens, especially by public authority; to adjust, as far as possible, the means of production to the progress of science and technology; finally, to ensure that the advantages of a more humane way of existence not merely subserve the present generation but have regard for future generations as well.
    80.   As regards the common good of human society as a whole, the following conditions should be fulfilled: that the competitive striving of peoples to increase output be free of bad faith; that harmony in economic affairs and a friendly and beneficial cooperation be fostered; and, finally, that effective aid be given in developing the economically underdeveloped nations.
    81.   It is evident from what has been said that these demands of the common good, on both the national and world levels, should be borne in mind, when there is question of determining the share of earnings assigned to those responsible for directing the productive enterprise, or as interest and dividends to those who have invested capital.

Demands of Justice as Regards
Productive Institutions
Institutions Conforming to the Diginity of Man
    82.  Justice is to be observed not merely in the distribution of wealth, but also in regard to the conditions under which men engage in productive activity.  There is, in fact, an innate need of human nature requiring that men engaged in productive activity have an opportunity to assume responsibility and to perfect themselves by their efforts.
    83.   Consequently, if the organization and structure of economic life be such that the human dignity of workers is compromised, or their sense of responsibility is weakened, or their freedom of action is removed, then we judge such an economic order to be unjust, even though it produces a vast amount of goods, whose distribution conforms to the norms of justice and equity.

Reaffirmation of a Directive
    84.   Nor is it possible in economic affairs to determine in one formula all the measures that are more conformable to the dignity of man, or are more suitable in developing in him a sense of responsibility.  Nevertheless, our predecessor of happy memory, Pius XII, appropriately laid down certain norms of action: "Small and medium-sized holdings in agriculture, in the arts and crafts, in commerce and industry, should be safeguarded and fostered.  Such enterprises should join together in mutual-aid societies in order that the services and benefits of large-scale enterprises will be available to them.  So far as these larger enterprises are concerned, work agreements should in some way be modified by partnership arrangements." (Fadio Bfoadcast, September 1, 1944; cf. A,A,S., XXXVI [1944], p. 254.)

Artisan Enterprises and Cooperative Associations
    85.   Wherefore, conformably to requirements of the common good and the state of technology, artisan and farm enterprises of family type should be safegurded and fostered, as should also cooperatives that aim to complement and perfect such enterprises.
    86.   We shall return shortly to the subject of farm enterprises.  Here, we think it appropriate to say something about artisan enterprises and cooperative associations.
    87.   Above all, it must be emphasized that enterprises and bodies of this sort, in order that they may survive and flourish, should be continuously adapted--both in their productive structure and in their operating  methods--to new conditions of the times.  These new conditions constantly arise from advances in science and technology, or from changing consumer needs and preferences.  It is especially appropriate that all this be done by the craftsmen themselves and by the associates in the cooperatives.
    88.   Hence, it is most fitting not only that both these groups be suitably formed in technical and in spiritual and intellectual matters, but also that they be joined together professionally.  Nor is it less fitting that the State  make special provision for them in regard to instruction, taxes, credit facilities, social security and insurance.
    89.   Moreover, the measures taken by the State on behalf of the craftsmen and members of cooperatives are also justified by the fact that these two categories of citizens are producers of genuine wealth, and contribute to the advance of civilization.
    90.   Accordingly, we paternally exhort our beloved sons, craftsmen and members of cooperatives throughout the world, that they fully realize the dignity of their role in society, since, by their work, the sense of responsibility and spirit of mutual aid can be daily more intensified among the citizenry, and the desire to work with dedication and originality be kept alive.

Participation of Workers in
Medium-size and Large Enterprises
    91.   Furthermore, as did our predecessors, we regard as justifiable the desire of employees to be partners in enterprises with which they are associated and wherein they work.  We do not think it possible, however, to decide with certain and explicit norms the manner and degree of such partnership, since this must be determined according to the state of the individual productive enterprises.  For the situation is not everywhere the same, and, in fact, it can change suddenly within one and the same enterprise.  Nevertheless, we do not doubt that employees should have an active part in the affairs of the enterprise wherein they work, whether these be private or public.  But it is of the utmost importance that productive enterprises assume the character of a true human fellowship whose spirit suffuses the dealings, activities, and standing of all its members.
    92.   This requires that mutual relations between employers and directors on the one hand and the employees of the enterprise on the other, be marked by mutual respect, esteem, and good will.  It also demands that all collaborate sincerely and harmoniously in their joint undertaking, and that they perform their work not merely with the objective of deriving an income, but also of carrying out the role assigned them and of performing a service that results in benefit to others.  This means that the workers may have a say in, and may make a contribution toward, the efficient running and development of the enterprise.  Thus, our predecessor of happy memory, Pius XII, clearly indicated: "The economic and social functions which everyone aspires to fulfill, require that efforts of individuals be not wholly subjected to the will of others." (Allocution, October 8, 1956; cf. A.A.S., XLVIII [1956], p. 799-800.)  Beyond doubt, an enterprise truly in accord with human dignity should safeguard the necessary and efficient unity of administration.  But it by no means follows that those who work daily in such an enterprise are to be considered merely as servants, whose sole function is to execute orders silently, and who are not allowed to interject their desires and interests, but must conduct themselves as idle stand-bys when it comes to assignment and direction of their tasks.
    93.   Finally, attention is drawn to the fact that the greater amount of responsibility desired today by workers in productive enterprises, not merely accords with the nature of man, but also is in conformity with historical developments in the economic, social, and political fields.
    94.   Unfortunately, in our day, there occur in economic and social affairs many imbalances that militate against justice and humanity.  Meanwhile, throughout all of economic life, errors are spread that seriously impair its operation, purposes, organization, and the fulfillment of responsibilities.  Nevertheless, it is an undeniable fact that the more recent productive systems, thanks to the impulse deriving from advances in technology and science, are becoming more modern and efficient, and are expanding at a faster rate than in the past.  This demands of workers greater abilities and professional qualifications.  Accordingly, workers should be provided with additional aids and time to achieve a suitable and more rounded formation, and to carry out more fittingly their duties as regards studies, morals, and Religion.
    95.   Thus it happens that in our day youths can be allotted additional years to acquire a basic education and necessary skills.
    96.   Now if these things be done, a situation will emerge wherein workers are enabled to assume greater responsibilities even within their own enterprises.  As regards the commonwealth as such, it is of great iimportance that all ranks of citizens feel themselves daily more obligated to safeguard the common good.

Participation of Workers at All Levels
    97.   Now, as is evident to all, in our day associations of workers have become widespread, and for the most part have been given legal status within individual countries and even across national boundaries.  These bodies no longer recruit workers for purposes of strife, but rather for pursuing a common aim.  And this is achieved especially by collective bargaining between associations of workers and those of management.  But it should be emphasized how necessary, or at least very appropriate, it is to give workers an opportunity to exert influence outside the limits of the individual productive unit, and indeed within all ranks of the commonwealth.
    98.   The reason is that individual productive units, whatever their size, efficiency, or importance within the commonwealth, are closely connected with the over-all economic and social situation in each country, whereon their own prosperity ultimately depends.
    99.   Nevertheless, to decide what is more helpful to the overall economic situation is not the prerogative of individual productive enterprises, but pertains to the public authorities and to those institutions which, established either nationally or among a number of countries, function in various sectors of economic life.  From this is evident the propriety or necessity of ensuring that not only managers or agents of management are represented before such authorities and institutions, but also workers or those who have the responsibility of safeguarding the rights, needs, and aspirations of workers.
    100.  It is fitting, therefore, that our thoughts and paternal affection be directed toward the various professional groups and associations of workers which, in accord with principles of Christian teaching, carry on their activities on several continents.  We are aware of the many and great difficulties experienced by these beloved sons of ours, as they effectively worked in the past and continue to strive, both within their national boundaries and throughout the world, to vindicate the rights of workingmen and to improve their lot and conduct.
    101.  Furthermore, we wish to give deserved praise to the work of these our sons.  Their accomplishments are not always immediately evident, but nevertheless permeate practically the entire field of labor, spreading correct norms of action and thought, and the beneficial influence of the Christian Religion.
    102.  And we wish also to praise paternally those dear sons of ours who, inbued with Christian principles, give their special attention to other labor associations and those groups of workingmen that follow the laws of nature and respect the Religious and moral liberty of individuals.
    103.  Nor can we at this point neglect to congratualte and to express our esteem for the International Labor Organization--variously signified popularly by the letters O.I.L. or I.L.O. or O.I.T.--which, for many years, has done effective and valuable work in adapting the economic and social order everywhere to the norms of justice and humanity.  In such an order, the legitimate rights of workers are recognized and preserved.

Private Property
Changed Conditions
    104.  In recent years, as we are well aware, the role played by the owners of capital in very large productive enterprises has been separated more and more from the rule of management.  This has occasioned great difficulties for governments, whose duty it is to make certain that directors of the prinicpal enterprrises, especially those of greatest influence in the economic life of the entire country, do not depart from the requirements of the common good.  These difficulties, as we know from experience, are by no means less, whether it be private citizens or public bodies that make the capital investments requisite for large-scale enterprises.
    105.  It is also quite clear that today the number of persons is increasing who, because of recent advances in insurance programs and various systems of social security, are able to look to the future with tranquillity.  This sort of tranquillity once was rooted in the ownership of property, albeit modest.
    106.  It sometimes happens in our day that men are more inclined to seek some professional skill than possession of goods.  Moreover, such men have greater esteem for income from labor or rights arising from labor, than for that deriving from capital investment or rights associated therewith.
    107.  This clearly accords with the inherent characteristics of labor, inasmuch as this proceeds directly from the human person, and hence is to be thought more of than wealth in external goods.  These latter, by their very nature, must be regarded as instruments.  This trend indicates an advance in civilization.
    108.  Economic conditions of this kind have occasional popular doubt as to whether, under present circumstances, a principle of economic and social life, firmly enunciated and defended by our predecessors, has lost its force or is to be regarded as of lesser moment; namely, the principle whereby it is established that  men have from nature a right of privately owning goods, including those of a productive kind.

Confirmation of the Right of Private Property
    109.  Such a doubt has no foundation.  For the right of private property, including that pertaining to goods devoted to productive enterprises, is permanently valid.  Indeed, it is rooted in the very nature of things, whereby we learn that individual men are prior to civil society, and hence, that civil society is to be directed toward man as its end.  Indeed, the right of private individuals to act freely in economic affairs is recognized in vain, unless they are at the same time given an opportunity of freely selecting and using things necessary for the exercise of this right.  Moreover, experience and history testify that where political regimes do not allow to private individuals the possession also of productive goods, the exercise of human liberty is violated or completely destroyed in matters of priimary importance.  Thus it becomes clear that in the right of property, the exercise of liberty finds both a safeguard and a stimulus.
    110.  This explains the fact that socio-political groups and associations which endeavor to reconcile freedom with justice within society, and which until recently did not uphold the right of private property in productive goods, have now, enlightened by the course of social events, modified their views and are disposed actually to approve this right.
    111.  Accordingly, we make our own the insistence of our predecessor of happy memory, Pius XII:  "In defending the right of private property, the Church has in mind a very important ethical aim in social matters.  She does not, of course, strive to uphold the present state of affairs as if it were an expression of the divine will.  And even less does she accept the patronage of the affluent and wealthy, while neglecting the rights of the poor and needy. . . . The Church rather does intend that the institution of private property be such as is rerquired by the plan of divine wisdom and the law of nature." (Radio Boradcast, September 1, 1944; cf. A.A.S., XXXVI [1944], p. 253.)  Private ownership should safeguard the rights of the human person, and at the same tiime make its necessary contribution to the establishment of right order in society.
    112.  While recent developments in economic life progress rapidly in a number of countries, as we have noted, and produce goods ever more efficiently,justice and equity require that remuneration for work also be increased within limits allowed by the common good.  This enables workers to save more readily and hence to achieve some property status of their own.  Wherefore, it is indeed surprising that some reject the  natural role of private ownership.  For it is a right which continually draws its force and vigor from the fruitfulness of labor, and which, accordingly, is an effective aid in safeguarding the dignity of the human person and the free exercise of responsibility in all fields of endeavor.  Finally, it strengthens the stability and tranquillity of family life, thus contributing to the peace and prosperity of the commonwealth.

Effective Distribution
    113.  It is not enough, then, to assert that man has from nature the right of privately possessing goods as his own, including those of productive character, unless, at the same time a continuing effort is made to spread the use of this right through all ranks of the citizenry.
    114.  Our predecessor of happy memory, Pius XII, clearly reminded us that on the one hand the dignity of the human person necessarily "requires the right of  using external goods in order to live according to the right norm of nature.  And to this right corresponds a most serious obligation, which requires that, so far as possible, there be given to all an opportunity of possessing private property." (Radio Boradcast, December 24, 1943; cf. A.A.A., XXXV [1943], p. 17.)   On the other hand, the nobility inherent in work, besides other requirements, demands "the conservation and perfection of a social order that makes possible a secure, although modest, property to all classes of the people." (Cf. Ibid., p. 20.)
    115.  It is especially appropriate that today, more than heretofore, widespread private ownership should prevail, since, as noted above, the number of nations increases wherein the economic systems experience daily growth.  Therefore, by prudent use of various devices already proven effective, it will not be difficult for the body politic to modify economic and social life so that the way is made easier for widespread private possession of such things as durable goods, homes, gardens, tools requisite for artisan enterprises and family-type farms, investments in enterprises of  medium or large size.  All of this has occurred satisfactorily in some nations with developed social and economic systems.

Public Property
    116.  Obviously, what we have said above does not preclude ownership of goods pertaining to production of wealth by States and public agencies, especially "if these carry with them power too great to be left in private hands, without injury to the community at large." (Encyclical Letter Quadragesimo Anno; A.A.A., XXIII [1931], p. 214.)
    117.  It seems characteristic of our times to vest more and more ownership of goods in the State and in other public bodies.  This is partially explained by the fact that the common good requires public authorities to exercise ever greater responsibilities.  However, in this matter, the principle of subsidiarity, already mentioned above, is to be strictly observed.  For it is lawful for States and public corporations to expand their domain of ownership only when manifest and genuine requirements of the common good so require, and then with safeguards, lest the possession of private citizens be diminished beyond measure, or, what is worse, destroyed.
    118.  Finally, we cannot pass over in silence the fact that economic enterprises undertaken by the State or by public corporations should be entrusted to citizens outstanding in skill and integrity, who will carry out their responsibilities to the commonwealth with a deep sense of devotion.  Moreover, the activity of these men should be subjected to careful and continuing supervision, lest, in the administration of the State itself, there develop an economic imperialism in the hands of a few.   For such a development is in conflict with the highest good of the commonwealth.

Social Function of Property
    119.  Our predecessors have always taught that in the right of private property there is rooted a social responsibility.  Indeed, in the wisdom of God the Creator, the over-all supply of goods is assigned, first of all, that all men may lead a decent life.  As our predecessor of happy memory, Leo XIII, clearly reminded us in the Encyclical Letter Rerum Novarum, "This is the heart of the matter: whoever has received from the divine bounty a larger share of blessings, whether these be corporal or external or gifts of the mind, has received them to use for his own perfection, and, at the same time, as the minister of God's providence, for the benefit of others.  'He who has a talent' [says St. Gregory the Great], 'let him take care that he bides it not; he who has abundance, let him arouse himself to mercy and genersoity; he who has skill in managing affairs, let him make special effort to share the use and utility thereof with his neighbor.' " (Acta Leonis XIII, XI [1891], p. 114.)
    120.  Although in our day, the role assigned the State and public bodies has increased more and more, it by no means follows that the social function of private ownership is obsolescent, as some seem to think.  For social responsibility in this matter derives its force from the very right of private property.  Furthermore, it is quite clear that there always will be a wide range of difficult situations, as well as hidden and grave needs, which the manifold providence of the State leaves untouched, and of which it can in no way take account.  Wherefore, there is always wide scope for humane action by private citizens and for Christian charity.  Finally, it is evident that in stimulating efforts relating to spiritual welfare, the work done by individual men or by private civic groups has more value than what is done by public authorities.
    121.  Moreover, it is well to recall here that the right of private ownership is clearly evident in the Gospels, which reveal Jesus Christ ordering the rich to share their goods with the poor so as to turn them into spiritual possessions: "Do not lay up for yourselves treasures on earth, where rust and moth consume, and where thieves break in and steal; but lay up for yourselves treasures in Heaven, where neither rust nor moth consumes nor thieves break in and steal." (Matt. 6, 19-20.)  And the divine Master states that whatever is done for the poor is done for Him: "Amen I say to you, as long as you did it for one of these, the least of My brethren, you did it for Me." (Matt. 25, 40.)

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