Schumacher

Buddhism and 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).

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.

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.

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.

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.

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.

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.

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.