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Rationality is the collection of theories, beliefs, principles, and facts that the human subject uses to judge the world, and a person’s rationality is, to a large extent, the product of that person’s education and moral formation.

To the extent that a person accepts what is handed down from the moral and intellectual traditions of her or his community in learning to judge truth and falsity, good and evil, that person’s rationality is “tradition-constituted.” Tradition-constituted rationality provides the schemata by which we interpret, understand, and judge the world we live in

The apparent problem of relativism in MacIntyre’s theory of rationality is much like the problem of relativism in the philosophy of science. Scientific claims develop within larger theoretical frameworks, so that the apparent truth of a scientific claim depends on one’s judgment of the larger framework. The resolution of the problem of relativism therefore appears to hang on the possibility of judging frameworks or rationalities, or judging between frameworks or rationalities from a position that does not presuppose the truth of the framework or rationality, but no such theoretical standpoint is humanly possible.

MacIntyre finds that the world itself provides the criterion for the testing of rationalities, and he finds that there is no criterion except the world itself that can stand as the measure of the truth of any philosophical theory.

MacIntyre’s philosophy is indebted to the philosophy of science, which recognizes the historicism of scientific enquiry even as it seeks a truthful understanding of the world. MacIntyre’s philosophy does not offer a priori certainty about any theory or principle; it examines the ways in which reflection upon experience supports, challenges, or falsifies theories that have appeared to be the best theories so far to the people who have accepted them so far. MacIntyre’s ideal enquirers remain Hamlets, not Emmas.

history shows us that individuals, communities, and even whole nations may commit themselves militantly over long periods of their histories to doctrines that their ideological adversaries find irrational. This qualified relativism of appearances has troublesome implications for anyone who believes that philosophical enquiry can easily provide certain knowledge of the world

According to MacIntyre, theories govern the ways that we interpret the world and no theory is ever more than “the best standards so far” (3RV, p. 65). Our theories always remain open to improvement, and when our theories change, the appearances of our world—the apparent truths of claims judged within those theoretical frameworks—change with them.

From the subjective standpoint of the human enquirer, MacIntyre finds that theories, concepts, and facts all have histories, and they are all liable to change—for better or for worse.

MacIntyre holds that the rationality of individuals is not only tradition-constituted, it is also tradition constitutive, as individuals make their own contributions to their own rationality, and to the rationalities of their communities. Rationality is not fixed, within either the history of a community or the life of a person

The modern account of first principles justifies an approach to philosophy that rejects tradition. The modern liberal individualist approach is anti-traditional. It denies that our understanding is tradition-constituted and it denies that different cultures may differ in their standards of rationality and justice:

Modernity does not see tradition as the key that unlocks moral and political understanding, but as a superfluous accumulation of opinions that tend to prejudice moral and political reasoning.

Although modernity rejects tradition as a method of moral and political enquiry, MacIntyre finds that it nevertheless bears all the characteristics of a moral and political tradition.

If historical narratives are only projections of the interests of historians, then it is difficult to see how this historical narrative can claim to be truthful

For these post-modern theorists, “if the Enlightenment conceptions of truth and rationality cannot be sustained,” either relativism or perspectivism “is the only possible alternative” (p. 353). MacIntyre rejects both challenges by developing his theory of tradition-constituted and tradition-constitutive rationality on pp. 354-369

How, then, is one to settle challenges between two traditions? It depends on whether the adherents of either take the challenges of the other tradition seriously. It depends on whether the adherents of either tradition, on seeing a failure in their own tradition are willing to consider an answer offered by their rival (p. 355)

how a person with no traditional affiliation is to deal with the conflicting claims of rival traditions: “The initial answer is: that will depend upon who you are and how you understand yourself. This is not the kind of answer which we have been educated to expect in philosophy”

MacIntyre focuses the critique of modernity on the question of rational justification. Modern epistemology stands or falls on the possibility of Cartesian epistemological first principles. MacIntyre’s history exposes that notion of first principle as a fiction, and at the same time demonstrates that rational enquiry advances (or declines) only through tradition

MacIntyre cites Foucault’s 1966 book, Les Mots et les choses (The Order of Things, 1970) as an example of the self-subverting character of Genealogical enquiry

Foucault’s book reduces history to a procession of “incommensurable ordered schemes of classification and representation” none of which has any greater claim to truth than any other, yet this book “is itself organized as a scheme of classification and representation.”

From MacIntyre’s perspective, there is no question of deciding whether or not to work within a tradition; everyone who struggles with practical, moral, and political questions simply does. “There is no standing ground, no place for enquiry . . . apart from that which is provided by some particular tradition or other”

Three Rival Versions of Moral Enquiry (1990). The central idea of the Gifford Lectures is that philosophers make progress by addressing the shortcomings of traditional narratives about the world, shortcomings that become visible either through the failure of traditional narratives to make sense of experience, or through the introduction of contradictory narratives that prove impossible to dismiss

MacIntyre compares three traditions exemplified by three literary works published near the end of Adam Gifford’s life (1820–1887)

The Ninth Edition of the Encyclopaedia Britannica (1875–1889) represents the modern tradition of trying to understand the world objectively without the influence of tradition.

The Genealogy of Morals (1887), by Friedrich Nietzsche embodies the post-modern tradition of interpreting all traditions as arbitrary impositions of power.

The encyclical letter Aeterni Patris (1879) of Pope Leo XIII exemplifies the approach of acknowledging one’s predecessors within one’s own tradition of enquiry and working to advance or improve that tradition in the pursuit of objective truth. 

Of the three versions of moral enquiry treated in 3RV, only tradition, exemplified in 3RV by the Aristotelian, Thomistic tradition, understands itself as a tradition that looks backward to predecessors in order to understand present questions and move forward

Encyclopaedia obscures the role of tradition by presenting the most current conclusions and convictions of a tradition as if they had no history, and as if they represented the final discovery of unalterable truth

Encyclopaedists focus on the present and ignore the past.

Genealogists, on the other hand, focus on the past in order to undermine the claims of the present.

In short, Genealogy denies the teleology of human enquiry by denying (1) that historical enquiry has been fruitful, (2) that the enquiring person has a real identity, and (3) that enquiry has a real goal. MacIntyre finds this mode of enquiry incoherent.

Genealogy is self-deceiving insofar as it ignores the traditional and teleological character of its enquiry.

Genealogical moral enquiry must make similar exceptions to its treatments of the unity of the enquiring subject and the teleology of moral enquiry; thus “it seems to be the case that the intelligibility of genealogy requires beliefs and allegiances of a kind precluded by the genealogical stance” (3RV, p. 54-55)

MacIntyre uses Thomism because it applies the traditional mode of enquiry in a self-conscious manner. Thomistic students learn the work of philosophical enquiry as apprentices in a craft (3RV, p. 61), and maintain the principles of the tradition in their work to extend the understanding of the tradition, even as they remain open to the criticism of those principles.

3RV uses Thomism as its example of tradition, but this use should not suggest that MacIntyre identifies “tradition” with Thomism or Thomism-as-a-name-for-the-Western-tradition. As noted above, WJWR distinguished four traditions of enquiry within the Western European world alone

MacIntyre’s emphasis on the temporality of rationality in traditional enquiry makes tradition incompatible with the epistemological projects of modern philosophy

Tradition is not merely conservative; it remains open to improvement,

Tradition differs from both encyclopaedia and genealogy in the way it understands the place of its theories in the history of human enquiry. The adherent of a tradition must understand that “the rationality of a craft is justified by its history so far,” thus it “is inseparable from the tradition through which it was achieved”

MacIntyre uses Thomas Aquinas to illustrate the revolutionary potential of traditional enquiry. Thomas was educated in Augustinian theology and Aristotelian philosophy, and through this education he began to see not only the contradictions between the two traditions, but also the strengths and weaknesses that each tradition revealed in the other. His education also helped him to discover a host of questions and problems that had to be answered and solved. Many of Thomas Aquinas’ responses to these concerns took the form of disputed questions. “Yet to each question the answer produced by Aquinas as a conclusion is no more than and, given Aquinas’s method, cannot but be no more than, the best answer reached so far. And hence derives the essential incompleteness”

argue that the virtues are essential to the practice of independent practical reason. The book is relentlessly practical; its arguments appeal only to experience and to purposes, and to the logic of practical reasoning.

Like other intelligent animals, human beings enter life vulnerable, weak, untrained, and unknowing, and face the likelihood of infirmity in sickness and in old age. Like other social animals, humans flourish in groups. We learn to regulate our passions, and to act effectively alone and in concert with others through an education provided within a community. MacIntyre’s position allows him to look to the animal world to find analogies to the role of social relationships in the moral formation of human beings

The task for the human child is to make “the transition from the infantile exercise of animal intelligence to the exercise of independent practical reasoning” (DRA, p. 87). For a child to make this transition is “to redirect and transform her or his desires, and subsequently to direct them consistently towards the goods of different stages of her or his life” (DRA, p. 87). The development of independent practical reason in the human agent requires the moral virtues in at least three ways.

DRA presents moral knowledge as a “knowing how,” rather than as a “knowing that.” Knowledge of moral rules is not sufficient for a moral life; prudence is required to enable the agent to apply the rules well.

“Knowing how to act virtuously always involves more than rule-following” (DRA, p. 93). The prudent person can judge what must be done in the absence of a rule and can also judge when general norms cannot be applied to particular cases.

Flourishing as an independent practical reasoner requires the virtues in a second way, simply because sometimes we need our friends to tell us who we really are. Independent practical reasoning also requires self-knowledge, but self-knowledge is impossible without the input of others whose judgment provides a reliable touchstone to test our beliefs about ourselves. Self-knowledge therefore requires the virtues that enable an agent to sustain formative relationships and to accept the criticism of trusted friends

Human flourishing requires the virtues in a third way, by making it possible to participate in social and political action. They enable us to “protect ourselves and others against neglect, defective sympathies, stupidity, acquisitiveness, and malice” (DRA, p. 98) by enabling us to form and sustain social relationships through which we may care for one another in our infirmities, and pursue common goods with and for the other members of our societies.

MacIntyre argues that it is impossible to find an external standpoint, because rational enquiry is an essentially social work (DRA, p. 156-7). Because it is social, shared rational enquiry requires moral commitment to, and practice of, the virtues to prevent the more complacent members of communities from closing off critical reflection upon “shared politically effective beliefs and concepts”

MacIntyre finds himself compelled to answer what may be called the question of moral provincialism: If one is to seek the truth about morality and justice, it seems necessary to “find a standpoint that is sufficiently external to the evaluative attitudes and practices that are to be put to the question.” If it is impossible for the agent to take such an external standpoint, if the agent’s commitments preclude radical criticism of the virtues of the community, does that leave the agent “a prisoner of shared prejudices” (DRA, p. 154)?

The book moves from MacIntyre’s assessment of human needs for the virtues to the political implications of that assessment. Social and political institutions that form and enable independent practical reasoning must “satisfy three conditions.” (1) They must enable their members to participate in shared deliberations about the communities’ actions. (2) They must establish norms of justice “consistent with exercise of” the virtue of justice. (3) They must enable the strong “to stand proxy” as advocates for the needs of the weak and the disabled.

The social and political institutions that MacIntyre recommends cannot be identified with the modern nation state or the modern nuclear family

The political structures necessary for human flourishing are essentially local

Yet local communities support human flourishing only when they actively support “the virtues of just generosity and shared deliberation”

MacIntyre rejects individualism and insists that we view human beings as members of communities who bear specific debts and responsibilities because of our social identities. The responsibilities one may inherit as a member of a community include debts to one’s forbearers that one can only repay to people in the present and future

The constructive argument of the second half of the book begins with traditional accounts of the excellences or virtues of practical reasoning and practical rationality rather than virtues of moral reasoning or morality. These traditional accounts define virtue as arête, as excellence

Practices are supported by institutions like chess clubs, hospitals, universities, industrial corporations, sports leagues, and political organizations.

Practices exist in tension with these institutions, since the institutions tend to be oriented to goods external to practices. Universities, hospitals, and scholarly societies may value prestige, profitability, or relations with political interest groups above excellence in the practices they are said to support.

Personal desires and institutional pressures to pursue external goods may threaten to derail practitioners’ pursuits of the goods internal to practices. MacIntyre defines virtue initially as the quality of character that enables an agent to overcome these temptations:

“A virtue is an acquired human quality the possession and exercise of which tends to enable us to achieve those goods which are internal to practices

Excellence as a human agent cannot be reduced to Excellence in a particular practice (See AV, pp. 204–

The virtues therefore are to be understood as those dispositions which will not only sustain practices and enable us to achieve the goods internal to practices, but which will also sustain us in the relevant kind of quest for the good, by enabling us to overcome the harms, dangers, temptations, and distractions which we encounter, and which will furnish us with increasing self-knowledge and increasing knowledge of the good (AV, p. 219).

The excellent human agent has the moral qualities to seek what is good and best both in practices and in life as a whole.

The virtues find their point and purpose not only in sustaining those relationships necessary if the variety of goods internal to practices are to be achieved and not only in sustaining the form of an individual life in which that individual may seek out his or her good as the good of his or her whole life, but also in sustaining those traditions which provide both practices and individual lives with their necessary historical context (AV, p. 223)

Since “goods, and with them the only grounds for the authority of laws and virtues, can only be discovered by entering into those relationships which constitute communities whose central bond is a shared vision of and understanding of goods” (AV, p. 258), any hope for the transformation and renewal of society depends on the development and maintenance of such communities.

MacIntyre’s Aristotelian approach to ethics as a study of human action distinguishes him from post-Kantian moral philosophers who approach ethics as a means of determining the demands of objective, impersonal, universal morality

This modern approach may be described as moral epistemology. Modern moral philosophy pretends to free the individual to determine for her- or himself what she or he must do in a given situation, irrespective of her or his own desires; it pretends to give knowledge of universal moral laws

Aristotelian metaphysicians, particularly Thomists who define virtue in terms of the perfection of nature, rejected MacIntyre’s contention that an adequate Aristotelian account of virtue as excellence in practical reasoning and human action need not appeal to Aristotelian metaphysic

one group of critics rejects MacIntyre’s Aristotelianism because they hold that any Aristotelian account of the virtues must first account for the truth about virtue in terms of Aristotle’s philosophy of nature, which MacIntyre had dismissed in AV as “metaphysical biology”

Many of those who rejected MacIntyre’s turn to Aristotle define “virtue” primarily along moral lines, as obedience to law or adherence to some kind of natural norm. For these critics, “virtuous” appears synonymous with “morally correct;” their resistance to MacIntyre’s appeal to virtue stems from their difficulties either with what they take to be the shortcomings of MacIntyre’s account of moral correctness or with the notion of moral correctness altogether

MacIntyre continues to argue from the experience of practical reasoning to the demands of moral education.

Descartes and his successors, by contrast, along with certain “notable Thomists of the last hundred years” (p. 175), have proposed that philosophy begins from knowledge of some “set of necessarily true first principles which any truly rational person is able to evaluate as true” (p. 175). Thus for the moderns, philosophy is a technical rather than moral endeavor

MacIntyre distinguishes two related challenges to his position, the “relativist challenge” and the “perspectivist challenge.” These two challenges both acknowledge that the goals of the Enlightenment cannot be met and that, “the only available standards of rationality are those made available by and within traditions” (p. 252); they conclude that nothing can be known to be true or false

MacIntyre follows the progress of the Western tradition through “three distinct traditions:” from Homer and Aristotle to Thomas Aquinas, from Augustine to Thomas Aquinas and from Augustine through Calvin to Hume

Chapter 17 examines the modern liberal denial of tradition, and the ironic transformation of liberalism into the fourth tradition to be treated in the book.

MacIntyre credits John Stuart Mill and Thomas Aquinas as “two philosophers of the kind who by their writing send us beyond philosophy into immediate encounter with the ends of life

First, both were engaged by questions about the ends of life as questioning human beings and not just as philosophers. . . .

Secondly, both Mill and Aquinas understood their speaking and writing as contributing to an ongoing philosophical conversation. . . .

Thirdly, it matters that both the end of the conversation and the good of those who participate in it is truth and that the nature of truth, of good, of rational justification, and of meaning therefore have to be central topics of that conversation (Tasks, pp. 130-1).

Without these three characteristics, philosophy is first reduced to “the exercise of a set of analytic and argumentative skills. . . . Secondly, philosophy may thereby become a diversion from asking questions about the ends of life with any seriousness”

Neither Rosenzweig nor Lukács made philosophical progress because both failed to relate “their questions about the ends of life to the ends of their philosophical writing”

First, any adequate philosophical history or biography must determine whether the authors studied remain engaged with the questions that philosophy studies, or set the questions aside in favor of the answers. Second, any adequate philosophical history or biography must determine whether the authors studied insulated themselves from contact with conflicting worldviews or remained open to learning from every available philosophical approach. Third, any adequate philosophical history or biography must place the authors studied into a broader context that shows what traditions they come from and “whose projects” they are “carrying forward

MacIntyre’s recognition of the connection between an author’s pursuit of the ends of life and the same author’s work as a philosophical writer prompts him to finish the essay by demanding three things of philosophical historians and biographers

Philosophy is not just a study; it is a practice. Excellence in this practice demands that an author bring her or his struggles with the questions of the ends of philosophy into dialogue with historic and contemporary texts and authors in the hope of making progress in answering those questions

MacIntyre defends Thomistic realism as rational enquiry directed to the discovery of truth.

The three Thomistic essays in this book challenge those caricatures by presenting Thomism in a way that people outside of contemporary Thomistic scholarship may find surprisingly flexible and open

To be a moral agent, (1) one must understand one’s individual identity as transcending all the roles that one fills; (2) one must see oneself as a practically rational individual who can judge and reject unjust social standards; and (3) one must understand oneself as “as accountable to others in respect of the human virtues and not just in respect of [one’s] role-performances

J is guilty because he complacently accepted social structures that he should have questioned, structures that undermined his moral agency. This essay shows that MacIntyre’s ethics of human agency is not just a descriptive narrative about the manner of moral education; it is a standard laden account of the demands of moral agency.

MacIntyre considers “the case of J” (J, for jemand, the German word for “someone”), a train controller who learned, as a standard for his social role, to take no interest in what his trains carried, even during war time when they carried “munitions and . . . Jews on their way to extermination camps”

J had learned to do his work for the railroad according to one set of standards and to live other parts of his life according to other standards, so that this compliant participant in “the final solution” could contend, “You cannot charge me with moral failure” (E&P, p. 187).

The epistemological theories of Modern moral philosophy were supposed to provide rational justification for rules, policies, and practical determinations according to abstract universal standards, but MacIntyre has dismissed those theorie

Modern metaethics is supposed to enable its practitioners to step away from the conflicting demands of contending moral traditions and to judge those conflicts from a neutral position, but MacIntyre has rejected this project as well

In his ethical writings, MacIntyre seeks only to understand how to liberate the human agent from blindness and stupidity, to prepare the human agent to recognize what is good and best to do in the concrete circumstances of that agent’s own life, and to strengthen the agent to follow through on that judgment.

In his political writings, MacIntyre investigates the role of communities in the formation of effective rational agents, and the impact of political institutions on the lives of communities. This kind of ethics and politics is appropriately named the ethics of human agency.

The purpose of the modern moral philosophy of authors like Kant and Mill was to determine, rationally and universally, what kinds of behavior ought to be performed—not in terms of the agent’s desires or goals, but in terms of universal, rational duties. Those theories purported to let agents know what they ought to do by providing knowledge of duties and obligations, thus they could be described as theories of moral epistemology.

Contemporary virtue ethics purports to let agents know what qualities human beings ought to have, and the reasons that we ought to have them, not in terms of our fitness for human agency, but in the same universal, disinterested, non-teleological terms that it inherits from Kant and Mill.

For MacIntyre, moral knowledge remains a “knowing how” rather than a “knowing that;” MacIntyre seeks to identify those moral and intellectual excellences that make human beings more effective in our pursuit of the human good.

MacIntyre’s purpose in his ethics of human agency is to consider what it means to seek one’s good, what it takes to pursue one’s good, and what kind of a person one must become if one wants to pursue that good effectively as a human agent.

As a philosophy of human agency, MacIntyre’s work belongs to the traditions of Aristotle and Thomas Aquinas.

in keeping with the insight of Marx’s third thesis on Feuerbach, it maintained the common condition of theorists and people as peers in the pursuit of the good life.

He holds that the human good plays a role in our practical reasoning whether we recognize it or not, so that some people may do well without understanding why (E&P, p. 25). He also reads Aristotle as teaching that knowledge of the good can make us better agents

AV defines virtue in terms of the practical requirements for excellence in human agency, in an agent’s participation in practices (AV, ch. 14), in an agent’s whole life, and in an agent’s involvement in the life of her or his community

MacIntyre’s Aristotelian concept of “human action” opposes the notion of “human behavior” that prevailed among mid-twentieth-century determinist social scientists. Human actions, as MacIntyre understands them, are acts freely chosen by human agents in order to accomplish goals that those agents pursue

Human behavior, according to mid-twentieth-century determinist social scientists, is the outward activity of a subject, which is said to be caused entirely by environmental influences beyond the control of the subject.

Rejecting crude determinism in social science, and approaches to government and public policy rooted in determinism, MacIntyre sees the renewal of human agency and the liberation of the human agent as central goals for ethics and politics.

MacIntyre’s Aristotelian account of “human action” examines the habits that an agent must develop in order to judge and act most effectively in the pursuit of truly choice-worthy ends

MacIntyre seeks to understand what it takes for the human person to become the kind of agent who has the practical wisdom to recognize what is good and best to do and the moral freedom to act on her or his best judgment.

MacIntyre rejected the determinism of modern social science early in his career (“Determinism,” 1957), yet he recognizes that the ability to judge well and act freely is not simply given; excellence in judgment and action must be developed, and it is the task of moral philosophy to discover how these excellences or virtues of the human agent are established, maintained, and strengthened

MacIntyre’s Aristotelian philosophy investigates the conditions that support free and deliberate human action in order to propose a path to the liberation of the human agent through participation in the life of a political community that seeks its common goods through the shared deliberation and action of its members

As a classics major at Queen Mary College in the University of London (1945-1949), MacIntyre read the Greek texts of Plato and Aristotle, but his studies were not limited to the grammars of ancient languages. He also examined the ethical theories of Immanuel Kant and John Stuart Mill. He attended the lectures of analytic philosopher A. J. Ayer and of philosopher of science Karl Popper. He read Ludwig Wittgenstein’s Tractatus Logico Philosophicus, Jean-Paul Sartre’s L'existentialisme est un humanisme, and Marx’s Eighteenth Brumaire of Napoleon Bonaparte (What happened, pp. 17-18). MacIntyre met the sociologist Franz Steiner, who helped direct him toward approaching moralities substantively

Alasdair MacIntyre’s philosophy builds on an unusual foundation. His early life was shaped by two conflicting systems of values. One was “a Gaelic oral culture of farmers and fishermen, poets and storytellers.” The other was modernity, “The modern world was a culture of theories rather than stories” (MacIntyre Reader, p. 255). MacIntyre embraced both value systems

From Marxism, MacIntyre learned to see liberalism as a destructive ideology that undermines communities in the name of individual liberty and consequently undermines the moral formation of human agents

For MacIntyre, Marx’s way of seeing through the empty justifications of arbitrary choices to consider the real goals and consequences of political actions in economic and social terms would remain the principal insight of Marxism

After his retirement from teaching, MacIntyre has continued his work of promoting a renewal of human agency through an examination of the virtues demanded by practices, integrated human lives, and responsible engagement with community life. He is currently affiliated with the Centre for Contemporary Aristotelian Studies in Ethics and Politics (CASEP) at London Metropolitan University.

The second half of AV proposes a conception of practice and practical reasoning and the notion of excellence as a human agent as an alternative to modern moral philosophy

AV rejects the view of “modern liberal individualism” in which autonomous individuals use abstract moral principles to determine what they ought to do. The critique of modern normative ethics in the first half of AV rejects modern moral reasoning for its failure to justify its premises, and criticizes the frequent use of the rhetoric of objective morality and scientific necessity to manipulate people to accept arbitrary decisions

MacIntyre uses “modern liberal individualism” to name a much broader category that includes both liberals and conservatives in contemporary American political parlance, as well as some Marxists and anarchists (See ASIA, pp. 280-284). Conservatism, liberalism, Marxism, and anarchism all present the autonomous individual as the unit of civil society

The sources of modern liberal individualism—Hobbes, Locke, and Rousseau—assert that human life is solitary by nature and social by habituation and convention. MacIntyre’s Aristotelian tradition holds, on the contrary, that human life is social by nature.

MacIntyre identifies moral excellence with effective human agency, and seeks a political environment that will help to liberate human agents to recognize and seek their own goods, as components of the common goods of their communities, more effectively. For MacIntyre therefore, ethics and politics are bound together.

For MacIntyre ethics is not an application of principles to facts, but a study of moral action. Moral action, free human action, involves decisions to do things in pursuit of goals, and it involves the understanding of the implications of one’s actions for the whole variety of goals that human agents seek

In this sense, “To act morally is to know how to act” (SMJ, p. 56). “Morality is not a ‘knowing that’ but a ‘knowing how’”

If human action is a ‘knowing how,’ then ethics must also consider how one learns ‘how.’ Like other forms of ‘knowing how,’ MacIntyre finds that one learns how to act morally within a community whose language and shared standards shape our judgment

MacIntyre had concluded that ethics is not an abstract exercise in the assessment of facts; it is a study of free human action and of the conditions that enable rational human agency.

MacIntyre gives Marx credit for concluding in the third of the Theses on Feuerbach, that the only way to change society is to change ourselves, and that “The coincidence of the changing of human activity or self-changing can only be comprehended and rationally understood as revolutionary practice”

MacIntyre distinguishes “religion which is an opiate for the people from religion which is not” (MI, p. 83). He condemns forms of religion that justify social inequities and encourage passivity. He argues that authentic Christian teaching criticizes social structures and encourages action

Where “moral philosophy textbooks” discuss the kinds of maxims that should guide “promise-keeping, truth-telling, and the like,” moral maxims do not guide real agents in real life at all. “They do not guide us because we do not need to be guided. We know what to do” (ASIA, p. 106). Sometimes we do this without any maxims at all, or even against all the maxims we know. MacIntyre Illustrates his point with Huckleberry Finn’s decision to help Jim, Miss Watson’s escaped slave, to make his way to freedom

MacIntyre develops the ideas that morality emerges from history, and that morality organizes the common life of a community

The book concludes that the concepts of morality are neither timeless nor ahistorical, and that understanding the historical development of ethical concepts can liberate us “from any false absolutist claims” (SHE, p. 269). Yet this conclusion need not imply that morality is essentially arbitrary or that one could achieve freedom by liberating oneself from the morality of one’s society.

From this “Aristotelian point of view,” “modern morality” begins to go awry when moral norms are separated from the pursuit of human goods and moral behavior is treated as an end in itself. This separation characterizes Christian divine command ethics since the fourteenth century and has remained essential to secularized modern morality since the eighteenth century

From MacIntyre’s “Aristotelian point of view,” the autonomy granted to the human agent by modern moral philosophy breaks down natural human communities and isolates the individual from the kinds of formative relationships that are necessary to shape the agent into an independent practical reasoner.

the 1977 essay “Epistemological Crises, Dramatic Narrative, and the Philosophy of Science” (Hereafter EC). This essay, MacIntyre reports, “marks a major turning-point in my thought in the 1970s” (The Tasks of Philosophy, p. vii) EC may be described fairly as MacIntyre’s discourse on method

First, Philosophy makes progress through the resolution of problems. These problems arise when the theories, histories, doctrines and other narratives that help us to organize our experience of the world fail us, leaving us in “epistemological crises.” Epistemological crises are the aftermath of events that undermine the ways that we interpret our world

it presents three general points on the method for philosophy.

To live in an epistemological crisis is to be aware that one does not know what one thought one knew about some particular subject and to be anxious to recover certainty about that subject.

To resolve an epistemological crisis it is not enough to impose some new way of interpreting our experience, we also need to understand why we were wrong before: “When an epistemological crisis is resolved, it is by the construction of a new narrative which enables the agent to understand both how he or she could intelligibly have held his or her original beliefs and how he or she could have been so drastically misled by them

MacIntyre notes, “Philosophers have customarily been Emmas and not Hamlets” (p. 6); that is, philosophers have treated their conclusions as accomplished truths, rather than as “more adequate narratives” (p. 7) that remain open to further improvement.

To illustrate his position on the open-endedness of enquiry, MacIntyre compares the title characters of Shakespeare’s Hamlet and Jane Austen’s Emma. When Emma finds that she is deeply misled in her beliefs about the other characters in her story, Mr. Knightly helps her to learn the truth and the story comes to a happy ending (p. 6). Hamlet, by contrast, finds no pat answers to his questions; rival interpretations remain throughout the play, so that directors who would stage the play have to impose their own interpretations on the script

Another approach to education is the method of Descartes, who begins by rejecting everything that is not clearly and distinctly true as unreliable and false in order to rebuild his understanding of the world on a foundation of undeniable truth.

Descartes presents himself as willfully rejecting everything he had believed, and ignores his obvious debts to the Scholastic tradition, even as he argues his case in French and Latin. For MacIntyre, seeking epistemological certainty through universal doubt as a precondition for enquiry is a mistake: “it is an invitation not to philosophy but to mental breakdown, or rather to philosophy as a means of mental breakdown.

MacIntyre contrasts Descartes’ descent into mythical isolation with Galileo, who was able to make progress in astronomy and physics by struggling with the apparently insoluble questions of late medieval astronomy and physics, and radically reinterpreting the issues that constituted those questions

To make progress in philosophy one must sort through the narratives that inform one’s understanding, struggle with the questions that those narratives raise, and on occasion, reject, replace, or reinterpret portions of those narratives and propose those changes to the rest of one’s community for assessment. Human enquiry is always situated within the history and life of a community.

The third point of EC is that we can learn about progress in philosophy from the philosophy of science

Kuhn’s “paradigm shifts,” however, are unlike MacIntyre’s resolutions of epistemological crises in two ways.

First they are not rational responses to specific problems. Kuhn compares paradigm shifts to religious conversions (pp. 150, 151, 158), stressing that they are not guided by rational norms and he claims that the “mopping up” phase of a paradigm shift is a matter of convention in the training of new scientists and attrition among the holdouts of the previous paradigm

Second, the new paradigm is treated as a closed system of belief that regulates a new period of “normal science”; Kuhn’s revolutionary scientists are Emmas, not Hamlets

MacIntyre proposes elements of Imre Lakatos’ philosophy of science as correctives to Kuhn’s. While Lakatos has his own shortcomings, his general account of the methodologies of scientific research programs recognizes the role of reason in the transitions between theories and between research programs (Lakatos’ analog to Kuhn’s paradigms or disciplinary matrices). Lakatos presents science as an open ended enquiry, in which every theory may eventually be replaced by more adequate theories. For Lakatos, unlike Kuhn, rational scientific progress occurs when a new theory can account both for the apparent promise and for the actual failure of the theory it replaces.

The third conclusion of MacIntyre’s essay is that decisions to support some theories over others may be justified rationally to the extent that those theories allow us to understand our experience and our history, including the history of the failures of inadequate theories

For Aristotle, moral philosophy is a study of practical reasoning, and the excellences or virtues that Aristotle recommends in the Nicomachean Ethics are the intellectual and moral excellences that make a moral agent effective as an independent practical reasoner.

MacIntyre also finds that the contending parties have little interest in the rational justification of the principles they use. The language of moral philosophy has become a kind of moral rhetoric to be used to manipulate others in defense of the arbitrary choices of its users

examining the current condition of secular moral and political discourse. MacIntyre finds contending parties defending their decisions by appealing to abstract moral principles, but he finds their appeals eclectic, inconsistent, and incoherent.

The secular moral philosophers of the eighteenth and nineteenth centuries shared strong and extensive agreements about the content of morality (AV, p. 51) and believed that their moral philosophy could justify the demands of their morality rationally, free from religious authority.

MacIntyre traces the lineage of the culture of emotivism to the secularized Protestant cultures of northern Europe

Modern moral philosophy had thus set for itself an incoherent goal. It was to vindicate both the moral autonomy of the individual and the objectivity, necessity, and categorical character of the rules of morality

MacIntyre turns to an apparent alternative, the pragmatic expertise of professional managers. Managers are expected to appeal to the facts to make their decisions on the objective basis of effectiveness, and their authority to do this is based on their knowledge of the social sciences

An examination of the social sciences reveals, however, that many of the facts to which managers appeal depend on sociological theories that lack scientific status. Thus, the predictions and demands of bureaucratic managers are no less liable to ideological manipulation than the determinations of modern moral philosophers.

Modern moral philosophy separates moral reasoning about duties and obligations from practical reasoning about ends and practical deliberation about the means to one’s ends, and in doing so it separates morality from practice.

Many Europeans also lost the practical justifications for their moral norms as they approached modernity; for these Europeans, claiming that certain practices are “immoral,” and invoking Kant’s categorical imperative or Mill’s principle of utility to explain why those practices are immoral, seems no more adequate than the Polynesian appeal to taboo.

MacIntyre sifts these definitions and then gives his own definition of virtue, as excellence in human agency, in terms of practices, whole human lives, and traditions in chapters 14 and 15 of AV.

In the most often quoted sentence of AV, MacIntyre defines a practice as (1) a complex social activity that (2) enables participants to gain goods internal to the practice. (3) Participants achieve excellence in practices by gaining the internal goods. When participants achieve excellence, (4) the social understandings of excellence in the practice, of the goods of the practice, and of the possibility of achieving excellence in the practice “are systematically extended”

Practices, like chess, medicine, architecture, mechanical engineering, football, or politics, offer their practitioners a variety of goods both internal and external to these practices. The goods internal to practices include forms of understanding or physical abilities that can be acquired only by pursuing excellence in the associated practice

Goods external to practices include wealth, fame, prestige, and power; there are many ways to gain these external goods. They can be earned or purchased, either honestly or through deception; thus the pursuit of these external goods may conflict with the pursuit of the goods internal to practices.

An intelligent child is given the opportunity to win candy by learning to play chess. As long as the child plays chess only to win candy, he has every reason to cheat if by doing so he can win more candy. If the child begins to desire and pursue the goods internal to chess, however, cheating becomes irrational, because it is impossible to gain the goods internal to chess or any other practice except through an honest pursuit of excellence. Goods external to practices may nevertheless remain tempting to the practitioner.

Since MacIntyre finds social identity necessary for the individual, MacIntyre’s definition of the excellence or virtue of the human agent needs a social dimension:

These responsibilities also include debts incurred by the unjust actions of ones’ predecessors.

The enslavement and oppression of black Americans, the subjugation of Ireland, and the genocide of the Jews in Europe remained quite relevant to the responsibilities of citizens of the United States, England, and Germany in 1981, as they still do today.

Thus an American who said “I never owned any slaves,” “the Englishman who says ‘I never did any wrong to Ireland,’” or “the young German who believes that being born after 1945 means that what Nazis did to Jews has no moral relevance to his relationship to his Jewish contemporaries” all exhibit a kind of intellectual and moral failure.

“I am born with a past, and to cut myself off from that past in the individualist mode, is to deform my present relationships” (p. 221).  For MacIntyre, there is no moral identity for the abstract individual; “The self has to find its moral identity in and through its membership in communities” (p. 221).

Last summer, Olympics ticketholders were baffled when the London 2012 Olympic Games committee oversold the synchronized swimming event by thousands of tickets--a hapless clerk had entered "20,000" instead of "10,000" in a spreadsheet cell.

A year prior, the town of Framingham, Massachusetts, announced that it would request $600,000 in state aid to cover a budget shortfall caused by miscalculating "monstrous spreadsheets.

He tries to break free of narrow specialization and cross the boundaries between scientific disciplines. Expeditions beyond economics’ borders and its connection to history, philosophy, psychology, and ancient myths are not only refreshing, but necessary for understanding the world of the twenty-first century.

Reality is spun from stories, not from material. Zdeněk Neubauer

Before it was emancipated as a field, economics lived happily within subsets of philosophy—ethics, for example—miles away from today’s concept of economics as a mathematical-allocative science that views “soft sciences” with a scorn born from positivistic arrogance. But our thousand-year “education” is built on a deeper, broader, and oftentimes more solid base. It is worth knowing about.

The study of the history of a certain field is not, as is commonly held, a useless display of its blind alleys or a collection of the field’s trials and errors (until we got it right), but history is the fullest possible scope of study of a menu that the given field can offer.

History of thought helps us to get rid of the intellectual brainwashing of the age, to see through the intellectual fashion of the day, and to take a couple of steps back.

“The separation between the history of a science, its philosophy, and the science itself dissolves into thin air, and so does the separation between science and non-science; differences between the scientific and unscientific are vanishing.”

we seek to chart the development of the economic ethos. We ask questions that come before any economic thinking can begin—both philosophically and, to a degree, historically. The area here lies at the very borders of economics—and often beyond. We may refer to this as protoeconomics (to borrow a term from protosociology) or, perhaps more fittingly, metaeconomics (to borrow a term from metaphysics).

stories; Adam Smith believed. As he puts it in The Theory of Moral Sentiments, “the desire of being believed, or the desire of persuading, of leading and directing other people, seems to be one of the strongest of all our natural desires.”

“The human mind is built to think in terms of narratives … in turn, much of human motivation comes from living through a story of our lives, a story that we tell to ourselves and that creates a framework of our motivation. Life could be just ‘one damn thing after another’ if it weren’t for such stories. The same is true for confidence in a nation, a company, or an institution. Great leaders are foremost creators of stories.”

contrary to what our textbooks say, economics is predominantly a normative field. Economics not only describes the world but is frequently about how the world should be (it should be effective, we have an ideal of perfect competition, an ideal of high-GDP growth in low inflation, the effort to achieve high competitiveness …). To this end, we create models, modern parables,

I will try to show that mathematics, models, equations, and statistics are just the tip of the iceberg of economics; that the biggest part of the iceberg of economic knowledge consists of everything else; and that disputes in economics are rather a battle of stories and various metanarratives than anything else.

That is the reason for this book: to look for economic thought in ancient myths and, vice versa, to look for myths in today’s economics.

is a paradox that a field that primarily studies values wants to be value-free. One more paradox is this: A field that believes in the invisible hand of the market wants to be without mysteries.

The History of Animal Spirits: Dreams Never Sleep

The more important elements of a culture or field of inquiry such as economics are found in fundamental assumptions that adherents of all the various systems within the epoch unconsciously presuppose. Such assumptions appear so obvious that people do not know what they are assuming, because no other way of putting things has ever occurred to them, as the philosopher Alfred Whitehead notes in Adventures of Ideas.

I argue that economic questions were with mankind long before Adam Smith. I argue that the search for values in economics did not start with Adam Smith but culminated with him.

We should go beyond economics and study what beliefs are “behind the scenes,” ideas that have often become the dominant yet unspoken assumptions in our theories. Economics is surprisingly full of tautologies that economists are predominantly unaware of. I

argue that economics should seek, discover, and talk about its own values, although we have been taught that economics is a value-free science. I argue that none of this is true and that there is more religion, myth, and archetype in economics than there is mathematics.

In a way, this is a study of the evolution of both homo economicus and, more importantly, the history of the animal spirits within him. This book tries to study the evolution of the rational as well as the emotional and irrational side of human beings.

I argue that his most influential contribution to economics was ethical. His other thoughts had been clearly expressed long before him, whether on specialization, or on the principle of the invisible hand of the market. I try to show that the principle of the invisible hand of the market is much more ancient and developed long before Adam Smith. Traces of it appear even in the Epic of Gilgamesh, Hebrew thought, and in Christianity, and it is expressly stated by Aristophanes and Thomas Aquinas.

This is not a book on the thorough history of economic thought. The author aims instead to supplement certain chapters on the history of economic thought with a broader perspective and analysis of the influences that often escape the notice of economists and the wider public.

Progress (Naturalness and Civilization)

The Economy of Good and Evil

from his beginnings, man has been marked as a naturally unnatural creature, who for unique reasons surrounds himself with external possessions. Insatiability, both material and spiritual, are basic human metacharacteristics, which appear as early as the oldest myths and stories.

the Hebrews, with linear time, and later the Christians gave us the ideal (or amplified the Hebrew ideal) we now embrace. Then the classical economists secularized progress. How did we come to today’s progression of progress, and growth for growth’s sake?

The Need for Greed: The History of Consumption and Labor

Metamathematics From where did economics get the concept of numbers as the very foundation of the world?

mathematics at the core of economics, or is it just the icing of the cake, the tip of the iceberg of our field’s inquiry?

idea that we can manage to utilize our natural egoism, and that this evil is good for something, is an ancient philosophical and mythical concept. We will also look into the development of the ethos of homo economicus, the birth of “economic man.”

All of economics is, in the end, economics of good and evil. It is the telling of stories by people of people to people. Even the most sophisticated mathematical model is, de facto, a story, a parable, our effort to (rationally) grasp the world around us.

Masters of the Truth

Originally, truth was a domain of poems and stories, but today we perceive truth as something much more scientific, mathematical. Where does one go (to shop) for the truth? And who “has the truth” in our epoch?

Our animal spirits (something of a counterpart to rationality) are influenced by the archetype of the hero and our concept of what is good.

The entire history of ethics has been ruled by an effort to create a formula for the ethical rules of behavior. In the final chapter we will show the tautology of Max Utility, and we will discuss the concept of Max Good.

The History of the Invisible Hand of the Market and Homo Economicus

We understand “economics” to mean a broader field than just the production, distribution, and consumption of goods and services. We consider economics to be the study of human relations that are sometimes expressible in numbers, a study that deals with tradables, but one that also deals with nontradables (friendship, freedom, efficiency, growth).

When we mention economics in this book, we mean the mainstream perception of it, perhaps as best represented by Paul Samuelson.

By the term homo economicus, we mean the primary concept of economic anthropology. It comes from the concept of a rational individual, who, led by narrowly egotistical motives, sets out to maximize his benefit.

the Epic of Gilgamesh bears witness to the opposite—despite the fact that the first written clay fragments (such as notes and bookkeeping) of our ancestors may have been about business and war, the first written story is mainly about great friendship and adventure.

is a story of nature and civilization, of heroism, defiance, and the battle against the gods, and evil; an epic about wisdom, immortality, and also futility.

Even today we live in Gilgamesh’s vision that human relations—and therefore humanity itself—are a disturbance to work and efficiency; that people would perform better if they did not “waste” their time and energy on nonproductive things.

But it is in friendship where—often by-the-way, as a side product, an externality—ideas and deeds are frequently performed or created that together can altogether change the face of society.19 Friendship can go against an ingrained system in places where an individual does not have the courage to do so himself or herself.

started with Babylonians—rural nature becomes just a supplier of raw materials, resources (and humans the source of human resources). Nature is not the garden in which humans were created and placed, which they should care for and which they should reside in, but becomes a mere reservoir for natural (re)sources.

To be human seems to be somewhere in between, or both of these two. We

The entire history of culture is dominated by an effort to become as independent as possible from the whims of nature.39 The more developed a civilization is, the more an individual is protected from nature and natural influences and knows how to create around him a constant or controllable environment to his liking.

The epic captures one of the greatest leaps in the development of the division of labor. Uruk itself is one of the oldest cities of all, and in the epic it reflects a historic step forward in specialization—in the direction of a new social city arrangement. Because of the city wall, people in the city can devote themselves to things other than worrying about their own safety, and they can continue to specialize more deeply.

“The chief thing which the common-sense individual wants is not satisfactions for the wants he had, but more, and better wants.”47

If a consumer buys something, theoretically it should rid him of one of his needs—and the aggregate of things they need should be decreased by one item. In reality, though, the aggregate of “I want to have” expands together with the growing aggregate of “I have.”

the Old Testament, this relationship is perceived completely differently. Man (humanity) is created in nature, in a garden. Man was supposed to care for the Garden of Eden and live in harmony with nature and the animals. Soon after creation, man walks naked and is not ashamed, de facto the same as the animals. What is characteristic is that man dresses (the natural state of creation itself is not enough for him), and he (literally and figuratively) covers52 himself—in shame after the fall.53

Nature is where one goes to hunt, collect crops, or gather the harvest. It is perceived as the saturator of our needs and nothing more. One goes back to the city to sleep and be “human.” On the contrary, evil resides in nature. Humbaba lives in the cedar forest, which also happens to be the reason to completely eradicate it.

Symbolically, then, we can view the entire issue from the standpoint of the epic in the following way: Our nature is insufficient, bad, evil, and good (humane) occurs only after emancipation from nature (from naturalness), through culturing and education. Humanity is considered as being in civilization.

The city was frequently (at least in older Jewish writings) a symbol of sin, degeneration, and decadence—nonhumanity. The Hebrews were originally a nomadic nation, one that avoided cities. It is no accident that the first important city57 mentioned in the Bible is proud Babylon,58 which God later turns to dust.

is enough, for example, to read the Book of Revelation to see how the vision of paradise developed from the deep Old Testament period, when paradise was a garden. John describes his vision of heaven as a city—paradise is in New Jerusalem, a city where the dimensions of the walls(!) are described in detail, as are the golden streets and gates of pearl.

Hebrews later also chose a king (despite the unanimous opposition of God’s prophets) and settled in cities, where they eventually founded the Lord’s Tabernacle and built a temple for Him. The city of Jerusalem later gained an illustrious position in all of religion.

this time Christianity (as well as the influence of the Greeks) does not consider human naturalness to be an unambiguous good, and it does not have such an idyllic relationship to nature as the Old Testament prophets.

If a tendency toward good is not naturally endowed in people, it must be imputed from above through violence or at least the threat of violence.

If we were to look at human naturalness as a good, then collective social actions need a much weaker ruling hand. If people themselves have a natural tendency (propensity) toward good, this role does not have to be supplied by the state, ruler, or, if you wish, Leviathan.

How does this affect economics?

us return for the last time to the humanization of the wild Enkidu, which is a process we can perceive with a bit of imagination as the first seed of the principle of the market’s invisible hand, and therefore the parallels with one of the central schematics of economic thinking.

Sometimes it is better to “harness the devil to the plow” than to fight with him. Instead of summoning up enormous energy in the fight against evil, it is better to use its own energy to reach a goal we desire; setting up a mill on the turbulent river instead of futile efforts to remove the current. This is also how Saint Prokop approached it in one of the oldest Czech legends.

Enkidu caused damage and it was impossible to fight against him. But with the help of a trap, trick, this evil was transformed into something that greatly benefited civilization.

By culturing and “domesticating” Enkidu, humanity tamed the uncontrollable wild and chaotic evil

Enkidu devastated the doings (the external, outside-the-walls) of the city. But he was later harnessed and fights at the side of civilization against nature, naturalness, the natural state of things.

A similar story (reforming something animally wild and uncultivated in civilizational achievement) is used by Thomas Aquinas in his teachings. Several centuries later, this idea is fully emancipated in the hands of Bernard Mandeville and his Fable of the Bees: or, Private Vices, Publick Benefits. The economic and political aspects of this idea are—often incorrectly—ascribed to Adam Smith.

Here the individual does not try anymore to maximize his goods or profits, but what is important is writing his name in human memory in the form of heroic acts or deeds.

immortality, one connected with letters and the cult of the word: A name and especially a written name survives the body.”77

After this disappointment, he comes to the edge of the sea, where the innkeeper Siduri lives. As tonic for his sorrow, she offers him the garden of bliss, a sort of hedonistic fortress of carpe diem, where a person comes to terms with his mortality and at least in the course of the end of his life maximizes earthly pleasures, or earthly utility.

In the second stage, after finding his friend Enkidu, Gilgamesh abandons the wall and sets out beyond the city to maximalize heroism. “In his (…) search of immortal life, Gilgamesh

The hero refuses hedonism in the sense of maximizing terrestrial pleasure and throws himself into things that will exceed his life. In the blink of an eye, the epic turns on its head the entire utility maximization role that mainstream economics has tirelessly tried to sew on people as a part of their nature.81

today remember Gilgamesh for his story of heroic friendship with Enkidu, not for his wall, which no longer reaches monumental heights.

the eleventh and final tablet, Gilgamesh again loses what he sought. Like Sisyphus, he misses his goal just before the climax

The very existence of questions similar to today’s economic ones can be considered as the first observation. The first written considerations of the people of that time were not so different from those today. In other words: The epic is understandable for us, and we can identify with it.

We have also been witnesses to the very beginnings of man’s culturing—a great drama based on a liberation and then a distancing from the natural state.

Let us take this as a memento in the direction of our restlessness, our inherited dissatisfaction and the volatility connected to it. Considering that they have lasted five thousand years and to this day we find ourselves in harmony with a certain feeling of futility, perhaps these characteristics are inherent in man.

with the phenomenon of the creation of the city, we have seen how specialization and the accumulation of wealth was born, how holy nature was transformed into a secular supplier of resources, and also how humans’ individualistic ego was emancipated.

For small acts (hunting together, work in a factory), small love is enough: Camaraderie. For great acts, however, great love is necessary, real love: Friendship. Friendship that eludes the economic understanding of quid pro quo. Friendship gives. One friend gives (fully) for the other. That is friendship for life and death,

less a civilized, city person is dependent on nature, the more he or she is dependent on the rest of society. Like Enkidu, we have exchanged nature for society; harmony with (incalculable) nature for harmony with (incalculable) man.

human nature good or evil? To this day these questions are key for economic policy: If we believe that man is evil in his nature, therefore that a person himself is dog eat dog (animal), then the hard hand of a ruler is called for. If we believe that people in and of themselves, in their nature, gravitate toward good, then it is possible to loosen up the reins and live in a society that is more laissez-faire.

For a concept of historical progress, for the undeification of heroes, rulers, and nature, mankind had to wait for the Hebrews.

Because nature is not undeified, it is beyond consideration to explore it, let alone intervene in it (unless a person was a two-thirds god like Gilgamesh). It

As early as the “dark” ages, the Jews commonly used economic tools that were in many ways ahead of their time and that later became key elements of the modern economy:

Gilgamesh’s story ends where it began. There is a consistency in this with Greek myths and fables: At the end of the story, no progress occurs, no essential historic change; the story is set in indefinite time, something of a temporal limbo.

For a nation originally based on nomadism, where did this Jewish business ethos come from? And can the Hebrews truly be considered as the architects of the values that set the direction of our civilization’s economic thought?

PROGRESS: A SECULARIZED RELIGION One of the things the writers of the Old Testament gave to mankind is the idea and notion of progress. The Old Testament stories have their development; they change the history of the Jewish nation and tie in to each other. The Jewish understanding of time is linear—it has a beginning and an end.

The observance of God’s Commandments in Judaism leads not to some ethereal other world, but to an abundance of material goods (Genesis 49:25–26, Leviticus 26:3–13, Deuteronomy 28:1–13) (…) There are no accusing fingers pointed at

There are no echoes of asceticism nor for the cleansing and spiritual effect of poverty. It is fitting therefore, that the founders of Judaism, the Patriarchs Abraham, Isaac and Jacob, were all wealthy men.12

about due to a linear understanding of history. If history has a beginning as well as an end, and they are not the same point, then exploration suddenly makes sense in areas where the fruits are borne only in the next generation.

however, the idea of progress itself underwent major changes, and today we perceive it very differently. As opposed to the original spiritual conceptions, today we perceive progress almost exclusively in an economic or scientific-technological sense.

Because care for the soul has today been replaced by care for external things,

This is why we must constantly grow, because we (deep down and often implicitly) believe that we are headed toward an (economic) paradise on Earth.

Only since the period of scientific-technological revolution (and at a time when economics was born as an independent field) is material progress automatically assumed.

Jewish thought is the most grounded, most realistic school of thought of all those that have influenced our culture.17 An abstract world of ideas was unknown to the Jews. To this day it is still forbidden to even depict God, people, and animals in symbols, paintings, statues, and drawings.

economists have become key figures of great importance in our time (Kacířské eseje o filosofii dějin [Heretical Essays in the Philosophy of History]). They are expected to perform interpretations of reality, give prophetic services (macroeconomic forecasts), reshape reality (mitigate the impacts of the crisis, speed up growth), and, in the long run, provide leadership on the way to the Promised Land—paradise on Earth.

REALISM AND ANTIASCETICISM Aside from ideas of progress, the Hebrews brought another very fundamental contribution to our culture: The desacralization of heroes, nature, and rulers.

Voltaire writes: “It certain fact is, that in his public laws he [Moses] never so much as once made mention of a life to come, limiting all punishments and all rewards to the present life.”21

As opposed to Christianity, the concept of an extraterrestrial paradise or heaven was not developed much in Hebrew thought.19 The paradise of the Israelites—Eden—was originally placed on Earth at a given place in Mesopotamia20 and at a given time,

The Hebrews consider the world to be real—not just a shadow reflection of a better world somewhere in the cloud of ideas, something the usual interpretation of history ascribes to Plato. The soul does not struggle against the body and is not its prisoner, as Augustine would write later.

The land, the world, the body, and material reality are for Jews the paramount setting for divine history, the pinnacle of creation. This idea is the conditio sine qua non of the development of economics, something of an utterly earthly making,

The mythology of the hero-king was strongly developed in that period, which Claire Lalouette summarizes into these basic characteristics: Beauty (a perfect face, on which it is “pleasant to look upon,” but also “beauty,” expressed in the Egyptian word nefer, not only means aesthetics, but contains moral qualities as well),

THE HERO AND HIS UNDEIFICATION: THE DREAM NEVER SLEEPS The concept of the hero is more important than it might appear. It may be the remote origin of Keynes’s animal spirits, or the desire to follow a kind of internal archetype that a given individual accepts as his own and that society values.

This internal animator of ours, our internal mover, this dream, never sleeps and it influences our behavior—including economic behavior—more than we want to realize.

Anthropology knows several archetypes of heroes. The Polish-born American anthropologist Paul Radin examined the myths of North American Indians and, for example, in his most influential book, The Trickster, he describes their four basic archetypes of heroes.

The Torah’s heroes (if that term can be used at all) frequently make mistakes and their mistakes are carefully recorded in the Bible—maybe precisely so that none of them could be deified.32

the Hebrew heroes correspond most to the Tricksters, the Culture Bearers, and the Twins. The divine muscleman, that dominant symbol we think of when we say hero, is absent here.

Undeification, however, does not mean a call to pillage or desecration; man was put here to take care of nature (see the story of the Garden of Eden or the symbolism of the naming of the animals). This protection and care of nature is also related to the idea of progress

For the heroes who moved our civilization to where it is today, the heroic archetypes of the cunning trickster, culture bearer, and sufferer are rather more appropriate.

the Old Testament strongly emphasizes the undeification of nature.37 Nature is God’s creation, which speaks of divinity but is not the domain of moody gods

in an Old Testament context, the pharaoh was a mere man (whom one could disagree with, and who could be resisted!).

RULERS ARE MERE MEN In a similar historical context, the Old Testament teachings carried out a similar desacralization of rulers, the so-called bearers of economic policy.

Ultimately the entire idea of a political ruler stood against the Lord’s will, which is explicitly presented in the Torah. The Lord unequivocally preferred the judge as the highest form of rule—an

The needs of future generations will have to be considered; after all humankind are the guardians of God’s world. Waste of natural resources, whether privately owned or nationally owned is forbidden.”39

Politics lost its character of divine infallibility, and political issues were subject to questioning. Economic policy could become a subject of examination.

44 God first creates with the word and then on individual days He divides light from darkness, water from dry land, day from night, and so forth—and He gives order to things.45 The world is created orderly— it is wisely, reasonably put together. The way of the world is put together at least partially46 decipherably by any other wise and reasonable being who honors rational rules.

THE PRAISE OF ORDER AND WISDOM: MAN AS A PERFECTER OF CREATION The created world has an order of sorts, an order recognizable by us as people,

From the very beginning, when God distances Himself from the entire idea, there is an anticipation that there is nothing holy, let alone divine, in politics. Rulers make mistakes, and it is possible to subject them to tough criticism—which frequently occurs indiscriminately through the prophets in the Old Testament.

Hebrew culture laid the foundations for the scientific examination of the world.

Examining the world is therefore an absolutely legitimate activity, and one that is even requested by God—it is a kind of participation in the Creator’s work.51 Man is called on to understand himself and his surroundings and to use his knowledge for good.

The Book of Proverbs emphasizes specifically several times that it was wisdom that was present at the creation of the world. Wisdom personified calls out:

The last act, final stroke of the brush of creation, naming of the animals—this act is given to a human, it is not done by God, as one would expect. Man was given the task of completing the act of creation that the Lord began:

MAN AS A FINISHER OF CREATION The creation of the world, as it is explained in Jewish teachings, is described in the Book of Genesis. Here God (i) creates, (ii) separates, and (iii) names [my emphasis]:

Naming is a symbolic expression. In Jewish culture (and also in our culture to this day), the right to name meant sovereign rights and belonged, for example, to explorers (new places), inventors (new principles), or parents (children)—that is, to those who were there at the genesis, at the origin. This right was handed over by God to mankind.

The Naming itself (the capital N is appropriate) traditionally belongs to the crowning act of the Creator and represents a kind of grand finale of creation, the last move of the brush to complete the picture—a signature of the master.

Without naming, reality does not exist; it is created together with language. Wittgenstein tightly names this in his tractatus—the limits of our language are the limits of our world.53

Reality is not a given; it is not passive. Perceiving reality and “facts” requires man’s active participation. It is man who must take the last step, an act (and we

A real-ization act on our part represents the creation of a construct, the imputation of sense and order (which is beautifully expressed by the biblical act of naming, or categorization, sorting, ordering).

God connects man with the task of guarding and protecting the Garden of Eden, and thus man actually cocreates the cultural landscape. The Czech philosopher Zdeněk Neubauer also describes this: “Such is reality, and it is so deep that it willingly crystallizes into worlds. Therefore I profess that reality is a creation and not a place of occurrence for objectively given phenomena.”61

The Jews believed the exact opposite. The world is created by a good God, and evil appears in it as a result of immoral human acts. Evil, therefore, is induced by man.66 History unwinds according to the morality of human acts.

GOOD AND EVIL IN US: A MORAL EXPLANATION OF WELL-BEING We have seen that in the Epic of Gilgamesh, good and evil are not yet addressed systematically on a moral level.

the epic, good and evil are not envisaged morally—they are not the result of an (a)moral act. Evil was not associated with free moral action or individual will.

Hebrew thought, on the other hand, deals intensively with moral good and evil. A moral dimension touches the core of its stories.65

discrepancy between savings and investment, and others are convinced of the monetary essence

The entire history of the Jewish nation is interpreted and perceived in terms of morality. Morality has become, so to speak, a mover and shaker of Hebrew history.

sunspots. The Hebrews came up with the idea that morals were behind good and bad years, behind the economic cycle. But we would be getting ahead of ourselves. Pharaoh’s Dream: Joseph and the First Business Cycle To

It is the Pharaoh’s well-known dream of seven fat and seven lean cows, which he told to Joseph, the son of Jacob. Joseph interpreted the dream as a macroeconomic prediction of sorts: Seven years of abundance were to be followed by seven years of poverty, famine, and misery.

Self-Contradicting Prophecy Here, let’s make several observations on this: Through taxation74 on the level of one-fifth of a crop75 in good years to save the crop and then open granaries in bad years, the prophecy was de facto prevented (prosperous years were limited and hunger averted—through a predecessor of fiscal stabilization).

The Old Testament prophesies therefore were not any deterministic look into the future, but warnings and strategic variations of the possible, which demanded some kind of reaction. If the reaction was adequate, what was prophesied would frequently not occur at all.

If the threat is anticipated, it is possible to totally or at least partially avoid it. Neither Joseph nor the pharaoh had the power to avoid bounty or crop failure (in this the dream interpretation was true and the appearance of the future mystical), but they avoided the impacts and implications of the prophecy (in this the interpretation of the dream was “false”)—famine did not ultimately occur in Egypt, and this was due to the application of reasonable and very intuitive economic policy.

Let us further note that the first “macroeconomic forecast” appears in a dream.

back to Torah: Later in this story we will notice that there is no reason offered as to why the cycle occurs (that will come later). Fat years will simply come, and then lean years after them.

Moral Explanation of a Business Cycle That is fundamentally different from later Hebrew interpretations, when the Jewish nation tries to offer reasons why the nation fared well or poorly. And those reasons are moral.

Only in recent times have some currents of economics again become aware of the importance of morals and trust in the form of measuring the quality of institutions, the level of justice, business ethics, corruption, and so forth, and examining their influence on the economy,

it is not within the scope of this book to answer that question; justice has been done to the question if it manages to sketch out the main contours of possible searches for answers.

THE ECONOMICS OF GOOD AND EVIL: DOES GOOD PAY OFF? This is probably the most difficult moral problem we could ask.

Inquiring about the economics of good and evil, however, is not that easy. Where would Kant’s “moral dimension of ethics” go if ethics paid? If we do good for profit, the question of ethics becomes a mere question of rationality.

He remains righteous, even if his only reward is death. What economic advantage could he have from that?

morals cannot be considered in the economic dimension of productivity and calculus. The role of the Hebrews was to do good, whether it paid off or not. If good (outgoing) is rewarded by incoming goodness, it is a bonus,99 not a reason to do outgoing good. Good and reward do not correlate to each other.

This reasoning takes on a dimension of its own in the Old Testament. Good (incoming) has already happened to us. We must do good (outgoing) out of gratitude for the good (incoming) shown to us in the past.

So why do good? After all, suffering is the fate of many biblical figures. The answer can only be: For good itself. Good has the power to be its own reward. In this sense, goodness gets its reward, which may or may not take on a material dimension.

the Hebrews offered an interesting compromise between the teachings of the Stoics and Epicureans. We will go into it in detail later, so only briefly

constraint. It calls for bounded optimalization (with limits). A kind of symbiosis existed between the legitimate search for one’s own utility (or enjoyment of life) and maintaining rules, which are not negotiable and which are not subject to optimalization.

In other words, clear (exogenously given) rules exist that must be observed and cannot be contravened. But within these borders it is absolutely possible, and even recommended, to increase utility.

To Love the Law The Jews not only had to observe the law (perhaps the word covenant would be more appropriate), but they were to love it because it was good.

the principle of doing good (outgoing) on the basis of a priori demonstrated good (incoming) was also taken over by the New Testament. Atonement itself is based on an a priori principle; all our acts are preceded by good.

THE SHACKLES OF THE CITY Owing to the Hebrew’s liberation from Egyptian slavery, freedom and responsibility become the key values of Jewish thought.

Laws given by God are binding for Jews, and God is the absolute source of all values,

The Hebrew ideal is represented by the paradise of the Garden of Eden, not a city.116 The despised city civilization or the tendency to see in it a sinful and shackling way of life appears in glimpses and allusions in many places in the Old Testament.

The nomadic Jewish ethos is frequently derived from Abraham, who left the Chaldean city of Ur on the basis of a command:

This way of life had understandably immense economic impacts. First, such a society lived in much more connected relationships, where there was no doubt that everyone mutually depended on each other. Second, their frequent wanderings meant the inability to own more than they could carry; the gathering up of material assets did not have great weight—precisely because the physical weight (mass) of things was tied to one place.

One of Moses’s greatest deeds was that he managed to explain to his nation once and for all that it is better to remain hungry and liberated than to be a slave with food “at no cost.”

SOCIAL WELFARE: NOT TO ACT IN THE MANNER OF SODOM

regulations is developed in the Old Testament, one we hardly find in any other nation of the time. In Hebrew teachings, aside from individual utility, indications of the concept of maximalizing utility societywide appear for the first time as embodied in the Talmudic principle of Kofin al midat S´dom, which can be translated as “one is compelled not to act in the manner of Sodom” and to take care of the weaker members of society.

In a jubilee year, debts were to be forgiven,125 and Israelites who fell into slavery due to their indebtedness were to be set free.126

Land at the time could be “sold,” and it was not sale, but rent. The price (rent) of real estate depended on how long there was until a forgiveness year. It was about the awareness that we may work the land, but in the last instance we are merely “aliens and strangers,” who have the land only rented to us for a fixed time. All land and riches came from the Lord.

These provisions express a conviction that freedom and inheritance should not be permanently taken away from any Israelite. Last but not least, this system reminds us that no ownership lasts forever and that the fields we plow are not ours but the Lord’s.

Glean Another social provision was the right to glean, which in Old Testament times ensured at least basic sustenance for the poorest. Anyone who owned a field had the responsibility not to harvest it to the last grain but to leave the remains in the field for the poor.

Tithes and Early Social Net Every Israelite also had the responsibility of levying a tithe from their entire crop. They had to be aware from whom all ownership comes and, by doing so, express their thanks.

“Since the community has an obligation to provide food, shelter, and basic economic goods for the needy, it has a moral right and duty to tax its members for this purpose. In line with this duty, it may have to regulate markets, prices and competition, to protect the interests of its weakest members.”135

In Judaism, charity is not perceived as a sign of goodness; it is more of a responsibility. Such a society then has the right to regulate its economy in such a way that the responsibility of charity is carried out to its satisfaction.

With a number of responsibilities, however, comes the difficulty of getting them into practice. Their fulfillment, then, in cases when it can be done, takes place gradually “in layers.” Charitable activities are classified in the Talmud according to several target groups with various priorities, classified according to, it could be said, rules of subsidiarity.

Do not mistreat an alien or oppress him, for you were aliens in Egypt.140 As one can see, aside from widows and orphans, the Old Testament also includes immigrants in its area of social protection.141 The Israelites had to have the same rules apply for them as for themselves—they could not discriminate on the basis of their origin.

ABSTRACT MONEY, FORBIDDEN INTEREST, AND OUR DEBT AGE If it appears to us that today’s era is based on money and debt, and our time will be written into history as the “Debt age,” then it will certainly be interesting to follow how this development occurred.

Money is a social abstractum. It is a social agreement, an unwritten contract.

The first money came in the form of clay tablets from Mesopotamia, on which debts were written. These debts were transferable, so the debts became currency. In the end, “It is no coincidence that in English the root of ‘credit’ is ‘credo,’ the Latin for ‘I believe.’”

To a certain extent it could be said that credit, or trust, was the first currency. It can materialize, it can be embodied in coins, but what is certain is that “money is not metal,” even the rarest metal, “it is trust inscribed,”

Inseparably, with the original credit (money) goes interest. For the Hebrews, the problem of interest was a social issue: “If you lend money to one of my people among you who is needy, do not be like a moneylender; charge him no interest.”

there were also clearly set rules setting how far one could go in setting guarantees and the nonpayment of debts. No one should become indebted to the extent that they could lose the source of their livelihood:

In the end, the term “bank” comes from the Italian banci, or the benches that Jewish lenders sat on.157

Money is playing not only its classical roles (as a means of exchange, a holder of value, etc.) but also a much greater, stronger role: It can stimulate, drive (or slow down) the whole economy. Money plays a national economic role.

In the course of history, however, the role of loans changed, and the rich borrowed especially for investment purposes,

In such a case a ban on interest did not have great ethical significance. Thomas Aquinas, a medieval scholar (1225-1274), also considers similarly; in his time, the strict ban on lending with usurious interest was loosened, possibly due to him.

As a form of energy, money can travel in three dimensions, vertically (those who have capital lend to those who do not) and horizontally (speed and freedom in horizontal or geographic motion has become the by-product—or driving force?—of globalization). But money (as opposed to people) can also travel through time.

money is something like energy that can travel through time. And it is a very useful energy, but at the same time very dangerous as well. Wherever

Aristotle condemned interest162 not only from a moral standpoint, but also for metaphysical reasons. Thomas Aquinas shared the same fear of interest and he too argued that time does not belong to us, and that is why we must not require interest.

MONEY AS ENERGY: TIME TRAVEL AND GROSS DEBT PRODUCT (GDP)