Schumacher

Buddhism and Economics

Overview of Buddhist Economics

• Disengaged Buddhism: Minimal interest in economic or political matters. Relates to Weber’s views and Moore's theory of 'limited citizenship.'

• Second iteration: Emerged in the 1960s as criticism of Western developmental models (both capitalist and Marxist).

Key Figures

• E. F. Schumacher (1911-1977): Coined the term 'Buddhist economics' in the 1960s.

  • Published Small is Beautiful: Economics as if People Mattered (1973).

  • Influential work highlighting a human-centric economics over materialistic views.

• Venerable Payutto (b. 1938): Thai monastic scholar who amalgamated Schumacher’s ideas with scriptural citations.

  • Emphasized replacing craving (taṇhā) with wholesome desires (chanda) in economic development.

Schumacher's Contributions

• Background: German-trained economist, influenced by experiences in Myanmar (formerly Burma).

  • Alarmed by rapid development’s adverse effects and appreciative of Theravāda Buddhist traditions.

• Right Livelihood: Core tenet from the Noble Eightfold Path, fostering human development.

• Justifications for Work

  1. Personal Development: Enables individuals to enhance their capabilities.

  2. Community Engagement: Helps overcome egoism through collaboration.

  3. Societal Contribution: Creates necessary goods and services.

Work and Leisure Balance

• Rejects extremes of meaningless labor or total leisure.

• Advocates for work and leisure as complementary in life’s process.

• Philosophy of Wealth: States that liberation is hampered not by wealth itself but by attachment to it.

  • Emphasizes simplicity and non-violence in economic dealings.

Environmental and Community Sustainability

• Urges focus on meeting basic needs through local resources to build community ties and respect for ecosystems.

• Ecological Connection: Advocates for reverence for all life, promoting tree planting as a way to connect with nature.

Critique of Western Economics

• Contrasts Western economic measures solely based on production and consumption.

• Presents a model recognizing the importance of labor in achieving fulfillment, without the negative connotations of wealth accumulation.

  • Wealth should support liberation, not hinder it.

• Challenges: Schumacher's insights criticized as vague and utopian with little practical application defined.

Payutto's Perspective

• Background: Thai monk, advocate for Bhikkhunī saṅgha, and environmental protection.

• Integration of Texts: Draws on canonical texts and Buddhist history to define Buddhist economics.

• Key Focus: A production of a comprehensive system uniting various Buddhist traditions toward pragmatic economic goals.

• Recognizes that while no direct economic teachings exist in early texts, there are principles relevant to material conditions and ethics.

Conclusion

• Both Schumacher and Payutto offer contrasting views of Buddhist economics: Schumacher's is broader and philosophical, while Payutto aims for practical integration with scriptural references.