PERSON IN COMMUNITY AND THE CALL TO DEVELOPMENT AS A CALLING

DEVELOPMENT  With the gift of intellect and freewill, he has the

responsibility for his own self-fulfillment –
 LAUDATO SI – “praise be to you”. Second
Personal Development
encyclical letter of Pope Francis that centers on
 By being a part of a community, human
care for our common home. It is in looking at
development essentially implies not just his own
what we have been given with from a category
development, but also that of his social body –
of gift that will be inspired and moved towards
social/community development
becoming gracious and responsible stewards of
 Human consciousness expanded that wellbeing
creation.
is connected with the well being of the
 The systems and subsystems of Earth are
environment, we begin to realize human must
interconnected and interrelated. Creation is of
take care of his abode taking in consideration of
different kinds. Differentiation exist within
the capacity of the Earth – sustainable
species. Yet, order and harmony exist as if its
development
one body with many parts.
 Creator provides the earth with abundance – THE CATHOLIC SOCIAL TEACHINGS : REVISITED
an expression of love. Creation therefore is an
 Personalist Principle/Human dignity – Centers
expression of God’s love.
on the human person being created in the
 Human Person – One that standout among the
image and likeness of God and his inherent
creation. Gifted with consciousness, intellect,
dignity and inalienable rights
freedom and freewill. These gives him the
 Common Good – It is the creation of a condition
capability to cocreate and change his reality.
where every human person could develop into a
 Human person has the capacity to change and
personality and develop fully. Implies that the
to become if he chooses. This inherent nature of
fruits of the Earth must be shared by all.
the human person is the foundation of
Everyone needs a minimum of material goods
development as a person’s calling or vocation.
to grow and develop (universal destination of
 Genesis 1:27- From the perspective of Catholc
goods)
faith:
 Solidarity – Helping one another
1. Human person is created in the image and
 Subsidiarity – respect and appreciation of a
likeness of God. This is the springboard of
person’s capability to define development in
his dignity.
their own terms, context, culture
2. Human person is a person in a community .
 Care for the Earth – Caring for people and
Includes the natural community
communities requires caring for the Earth
3. Human is called to development. Called to
 These principles are not isolated from each
development our potential and giftedness
other. They form a unity in a development
that we may be able to contribute to
paradigm that follows after the Christian vision
community well-being. Education play a
of the human person as a person in a
crucial role in society.
community.
 MOVEMENT IN ECONOMIC THOUGHT AND THE and busts in economic markets are free from
GLOBAL DEVELOPMENT PARADIGM activity. regulation and
intervention
 The human gifts of intellect, freedom and In periods of
freewill enables him to co-create. “co-create” prosperity, govt can
recognizes the existence of a Creator save. In period of
 Creator – creates something from nothing. God recession, govt can
 Co-creator - enhances/develops a created pump prime an
something from what has been created economy by creating
 Top Six Inventions (based on polls of 400 jobs through public
academicians, scientists, inventors) spending.
1. World wide web Whose Thinking Prevailed?
2. Printing Press  After WWII 1945, most economists adapted the
3. Wheel idea of John Maynard Keynes. Some adapted
4. Writing with some modifications but still largely
5. Electricity Keynesian in orientation
6. Language
The Keynesian Consensus
Humans as Designers of Systems and Institutions
 1946 to late70s/early 80s, by HW Singer.
Prevailing Development Paradigm  Development thinking in the postwar era that
 Enterprise Centered Development Paradigm – states that the gov’t or state is considered the
coined by Filipino economists Dr. Sixto K. Roxas. natural embodiment of the public good
Enterprises are viewed as the engines of (common good)
economic growth and development. Gov’t  Two Main Players
programs and fiscal policies are directed toward 1. Household – provides the enterprise
supporting enterprises with the thought that as with the factors of production (land,
enterprises flourish, the people and the labor, capital)
communities where these enterprises operate 2. Business Enterprise – Provides
will flourish with it. products and services and pays the
 Battle of Ideas (The commanding Heights by household rent, wages, and dividends.
Daniel Yergin)  Both the household and enterprises would pay
taxes to government.
John Maynard Keynes Friedrich von Hayek  Taxes should be designed to be progressive.
Need for Government Free Market Those who earns more should pay more and
Regulation vice versa. Taxes is the way well be able to
There is a need for Favors free-market
share life chances to one another by
gov’t regulations in also known as
government using it to deliver social services to
running an economy. “neoliberalism”
flow back to the society. (education, housing,
State interventions is Enterprises will grow
necessary to and full employment peace and order, etc.)
moderate the booms will be attained if  Savings are deposited to the banks and flowed
back to the economy through lending plus
 interests. They are regulated by the govt
through the central bank.
 Not all factors of production comes from
household but also from nature with the
permission and authorization from the govt
 Natl economy is also connected to the global
economy through imports and exports.
Government would ask for tariffs for imported
goods to discourage imported products and
encourage local consumption
Resurgence of Free Market
 “Neoliberalism” from late 70s/early 80s to the
present
 Milton Friedman – A disciple of Friedrich von
Hayek and noble prize winner in economics
class. His disciples at the university of Chicago
found their way to the halls of power: Ronald
Reagan and Alan Greenspan/ Margaret Thatcher
who are themselves free market advocates
 The free market penetrated many economies of
many nations through The Structural
Adjustment Program
 Three main Flagship programs of the Structural
Adjustment Program
1. Privatization – turning over state-run
enterprise to the private sector
2. Deregulation - freeing business enterprises
from govt intervention
3. Trade Liberalization - the free flow of goods
and services between and among countries
across the globe
 The promotion of The Structural Adjustment
Program was hastened by globalization which is
made possible by the advancement of
information technology
 1990 to the present: Free market Prevailed
“…few trends could thoroughly undermine the
very foundations of our free society as the
acceptance by corporate officials of a social
responsibility other than to make as much
money for their stockholders as possible.”
(Capitalism and freedom by Milton Friedman)
THE WORLD CHALLENGES AND RECENT
DEVELOPMENTS
The Structural Adjustment Program
 Privatization
 PROS: Efficiency of operations and better
facilities
 CONS: Services are prices at market
 Trade Liberalization
 PROS: Free flow of goods and services across
the globe
 CONS: govt lost revenues from tariffs
 Deregulation
 PROS: Freedom of corporations
 CONS: corporations abuses
 Free Market – “Let the market seek its own
level without govt intervention”
 Market Failures of Free Market
1. Corporate and Financial Scandals –
corporate greed level up to grand corruption
perpetuated by big companies
2. Social Inequity
– social disparity between the rich and the
poor. The GDP of the 41 heavily indebted
poor countries (567 M people) is less than
the wealth of the 7 richest people
combined.
 “the price of inequality is too costly”,
Joseph Stiglitz, nobel prize winning
economist. This is because endangers
the future. The wealth of a nation is its
human resource.
 In an unequal society, growth in
economies are not shared. Most of the
benefits of the benefits of an
 economy’s growth goes to the top an
very little goes to the bottom.
 Inequality also spells instability.
Demand will be lower because less
people will get good jobs that will allow
them to afford to provide for their
needs.
 People Power and Profit – Joseph Stiglitz 2nd
book that provides framework for govt
programs in:
 Rewriting the rules on capitalism
 Changing the rules on labor
 Changing the rules on labor. Too much
disparity in wages is bad for the
economy.
 Regulations in technology
 Rules that development initiatives
should be within Earth’s capacity
3. Environmental Challenges – studies show
that much of the environmental problems
today is caused by irresponsible business
operations
 Stark Realization – to address the market
challenges saying that the market cannot be left
to itself. Hence, the growing demand for
transparency and corporate social responsibility
 Some Observed Enlightened Developments in
Recent Times
 Heightened consciousness on the need
for Corporate social responsibility
 Business ethics and CSR was integrated
in curriculum in universities
 Rise of cooperative and social
enterprises. 50% of the world’s wealth
belong to the corporations.
Cooperativism intends to build a capital
that is being own by the members of the
cooperatives and not just one or few
persons. Social enterprises are put up to
benefit its stakeholders and the larger
society while maintaining a reasonable
profit.
 The 2030 Agenda for Sustainable
Development . 17 Sustainable Goals with
over 190 signatory countries
 Sustainability among Corporations. In
the PH, sustainability reporting among
listed companies covering economic,
social and environmental aspects is now
made mandatory by the SEC
 Growing Movement pushing for
Solidarity Tax or the Wealth Tax. This is
against a backdrop of sagging economies
due to CoVid 19. Hence there is a need
to new sources income and this is one of
them.
 Vocation of a Business Leader
THE VOCATION OF A BUSINESS LEADER : A
REFLECTION
 Vocation of the Business leader – written by
the pontifical council for justice and peace &
the john Ryan institute for catholic social
thought of the center for catholic studies of
the university of St. Thomas
 Product of a series of reflection done by
church leaders, business executives and
academicians
 An attempt to address the global challenges
that have adversely affected people and
communities
 “for busines leaders, this is a time that calls for
witness of faith, the confidence of hope and
the practice of love” – VBL par 1
 Emphasizes the crucial role of businesses and
governments in promoting the common good
 Commo good essentially requires social justice
- VBL par2
 Social Justice Components
 1. Commutative Justice – justice that happens
at the level o the individual exchanges (just
wage for services, fair price for products
and service
2. Legal Justice - payment of proper taxes as
a contribution to finance basic social
services (tax evasion kill Legal justice)
3. Distributive Justice – the crucial role of
gov’t in flowing back the tax contribution
in the form social services (corruption in
govt kills distributive justice)
4. Ecological Justice -caring the natural
environment and recognizing its limitations
in supporting our developmental
undertakings
 Social justice happens ONLY when the four
components are present in the society
 Absence of one would mean the obliteration
of social justice. Common good is never
possible without social justice
The Business Enterprise and its Stakeholders
 Conduct of businesses greatly affects the well-
being of the people and their family hence,
responsible business is very crucial is bringing
about social justice as well as the common
good
Practical Ethical Principles for Businesses
 The VBL emphasizes respect for dignity and
the common good as the foundational
principles which should inform the way we
organize labor and capital employed and the
processes of innovation, in a market system
(VBL par 38)
 Deep and abiding purpose of individual
businesses and commercial systems is to
address real human needs. (VBL par 38)
 3 Independent Business Activities w/c
businesses should take up
1. GOODS GOODS – Businesses should
address genuine human need through the
creation, development and production of
good and services
2. GOODS WORK – Businesses should
organize good and productive work
3. GOODS WEALTH – Businesses should use
resources to create and share wealth and
prosperity in sustainable ways
 GOODS GOODS
 Producing goods that meets authentic
human needs (life saving medical services,
education, healthcare, housing)
 Producing goods that meets the needs of
the vulnerable members of the society
(microenterprises, microcredit etc.)
 GOOD WORK
 Enterprise must organize work in order for
business processes to be good, effective,
and efficient and engaging
 Certain autonomy must be given to
employees to be able to participate in the
mission of the organization (autonomous)
 Work must be organized in a way that in
becomes a way for collaboration
(Collaborative)
 Work must foster human dignity. Work is
central to a person’s call to development
and dignity of labor is important. (fosters
signified work)
 GOOD WEALTH
 Three Dimensions
1. Good Stewardship – good stewards
are creative and productive with the
resources placed in their care
2. Sustainability – enterprise must make
profit to sustain business but not at
the expense of the common good
3. Just Distribution of Wealth -
Profitable enterprise by creating
 wealth and promoting prosperity
through wages, fair exchange, fair
prices and goods
“An enterprise that practices the ethical principles
of business produces good goods, organizes good
work and creates good wealth.”
THE VOCATION OF THE BUSINESS LEADER
“Ethical social principles, illumined for Christians
by the Gospel, provide direction for good
business but the navigation (of the business) falls
to the seasoned and intellect judgements of
virtuous business leaders who can wisely manage
the complexity and tensions arising in particular
cases. VBL par 59
 To attain the creation of good goods,
organization good work and creation good
wealth, is the vocation of the business leader
Obstacle of the Christian Business Leader
 Divided life – Faith vs. family life. Second
Vatican Council saw the split can lead to
imbalances and misplaced devotion to worldly
success. (VBL par 10,12)
 Alternative path: Faith Based “Servant
Leadership” – provides business leaders with a
larger perspective and helps them to balance
the demand of the business world with those
ethical and social principles and be a good
Christian in all facets of life
Faith Based “Servant Leadership”: Balancing Act
follows Three Stages
1. To SEE – To see the challenges and
opportunities and study and gather
factual information
2. TO JUDGE – in light of the principles of
dignity and common good, where
business should produce and deliver good
goods, organize good work and create
good wealth, one should evaluate the
challenges and opportunities and make a
judgement
3. TO ACT – Business leaders can put their
aspirations into business practice when
they pursue their vocation motivated by
much more that financial success. They
integrate the gifts of spiritual life, virtues
and ethical principles into their life, they
may overcome the divided life.
 IS Faith Based “Servant Leadership”
PRACTICABLE? Yes
“An enterprise that produces good goods,
organizes good work and creates good wealth -
becomes a medium in the promotion of common
good; becomes a medium organized caring for
our social body; becomes an organized exercise
option for the poor; and, becomes our medium
for love of neighbor.”
OTHER COMMON TOOLS FOR ETHICAL DECISION
MAKING
 Ethical decision making skills are mission
critical for success in life and business
Two Approaches in Ethical Decision Making
1. THE VIRAL NEWS TEST
 Also known as the small test, newspaper test,
spouse test or grandmother test
 Identify an Ethical Issue. How?( TWO CLUES )
Clue 1 : When the situation involves actual or
potential harm to someone or something
Clue 2 : When there seem to be a possibility
of a violation of what we generally consider
right or good
 How to use the viral news test?
Ask 3 Questions
 i. How would the action or situation we  If a dilemma is a set of competing values and
are considering be viewed by other if it not of competing options, it means that values
became viral headline news? should be articulated first
ii. Would we be comfortable reading a wall WHY????
street journal story that our company - Values and issues are the reasons for your
was doing this or letting the current actions
situation continue for long? - THEREFORE> you did not choose an action
iii. Would you be comfortable explaining to but you chose a value
your spouse or grandmother what you  Feelings are very biased. Less use of reasons
are about to do? will not one see the fulsome of the dilemma
 Ethical decision making is a reason process
THE VIRAL NEWS TEST
Strength Weaknesses What are reason process and why reasoned
Focuses on what It is only as good as process?
other ethical people In the society we live in
society would think Elements involved in Decision Making
Recognizes that Living with bad smell 1. Facts. With a reasoned process, you will
morality is about what or unethical conduct
look at facts and evaluate who will be
other think as much as for a long time may
affected by the issue
what I think dull a person’s ability
2. Stakeholders
to notice them or
realize that they may 3. Values
be upsetting to others 4. Options
Enlist emotions of Alert an unethical 5. Consequences
shame, a powerful issue but cannot tell  The first step in ethical decision making is :
motivator to be sure why it is right or STOP, LOOK and LISTEN
we are getting this wrong
right Steps in Ethical Decision Making
1. Gather the facts
DILEMMA AND STAKEHOLDER ANALYSIS (Dr. - Two important questions in gathering
Antonette Angeles) M2LEC12 facts: 1) what do I already know? 2) what
do I need to know?
Dilemma

 happens because good and evil are nor
apparent.
 It is not about good and evil but is about
competing values
 If one chooses a value, it sacrifices the other
 When you have an ethical problem, you have
competing values, competing issues.
2. Who are the stakeholders
- Do not always look at stakeholders who
are immediately in front of you but figure
out who are the abstract stakeholders
- Figure out who are the primary and
secondary stakeholders
 Primary Stakeholders – ones who will be
directly hit
 Secondary Stakeholders – ones who may - Justification(reasoned process, make a
not be directly hit decision then justify afterwards) is different
- Figure out what are their (stakeholders) from rationalization(instinctive decision then
stakes and interests they are protecting rationalizing it afterwards)

3. Articulate the dilemmas clearly 8. Strategize

- Make a dilemma statement. Example:
 In the end, being ethical is about character. It
Respecting my father VS. preserving is not enough to go through a reasoned
peace and harmony in the family VS. process. This is where the faculty of WILL
fidelity in marriage VS. upholding the comes in. The will makes one carry out a
truth (These values are not in opposition decision. This is also about courage which no
as much as competing) one can teach of.
“We are what we repeatedly do” - Aristotle
4. List your alternatives
- Brainstorm as many as possible
alternatives as you can and eliminate
those untenable ones
- Alternatives should match the values
and principles identified in the dilemma
- There are always two extreme
alternatives in a dilemma but a third
creative option/middle option would be
helpful

5. Compare the alternatives with the

values/principles you’ve identified in the
dilemma
- When alternatives matches values, it
becomes clear that choices have values
attached to them

6. You weigh the consequences

- Articulate consequences for each
alternative especially for primary
stakeholders by considering both
positive and negative

7. You make a decision

- There is no painless decision. We just do
it by constantly referring to the matrix to
be able to have a reasonable justification