Promoted by the Pontifical
Academy of Social Sciences,
the event aims to propose
and map out rules for a new
economic model in times of increas-
ing social and economic inequality.
Entitled “New Forms of Solidar-
ity Towards fraternal Inclusion,
Integration and Innovation”, the
Conference aims to propose new
rules for a supportive, inclusive and
sustainable world, to discuss the role
and responsibilities of international
finance and to propose new ways
to restore the ethical foundations of
economics.
Climate change and the displace-
ment of peoples were central to the
interventions, and Pope Francis’
teachings and the Church’s social
doctrine provided the backbone to
the debate.
Power, People, Values
Nobel laureate, the US economist
Joseph Stiglitz, entitled his keynote
address “Global Economic Transfor-
mation: Power, People and Values”.
He told Vatican Radio that he
highlighted the fact that capitalism
is in crisis and said that he described
the many aspects of this crisis which
range from inequality to climate
change to a moral crisis.
“I attributed a major part of these
crises to the belief in unfettered mar-
kets, new liberalism, and I suggested
a way forward,” he said.
Stiglitz explained that there are
ways to reform the market economy
and capitalism and restore a greater
balance between markets, govern-
ments, civil society by creating a
broader ecology of institutional ar-
rangements, “with more emphasis on
NGOs, on cooperatives and trying
to introduce more solidarity, bring
about more equality.”
He said he suggested that we could
address both the inequality crisis and
the climate crisis together: “there are
policies that could create more social
justice and more environmental
justice.”
Stiglitz also said he focused on
various reforms that have to be
implemented both domestically
and internationally, in terms of tax
expenditure and on tackling the debt
crisis which is facing many countries
today, like Argentina.
He expressed his conviction that
austerity measures do not work and
that there is a better way to restore
economic growth.
Restoring economic growth
Stiglitz revealed that he also suggested
a way forward in the effort to restore
a greater balance between markets,
governments and civil society.
“I think we have to do many things,
there is no silver bullet: we have to
rewrite the rules of national economy,
of global economy to reduce corpo-
rate power, to reduce tax evasion and
avoidance, to create more progres-
sive taxation, to give workers more
bargaining power, encourage collective
bargaining, strengthening unions,
make sure that corporations don’t just
pay attention to their shareholders but
to all the stake holders including their
customers, their workers, the com-
munities in which they work and the
planet on which we live and we have to
rethink our international agreements,
not in the way that President Trump is
talking about: “America First” or any
other body first; it’s the planet first and
people first is what it’s about.
Other speakers at the event included
Bishop Sanchez Sorondo, Chancellor
of the Pontifical Academy of So-
cial Sciences, Kristalina Georgieva,
managing director of the IMF, the
American economist Jeffrey Sachs,
as well as many Ministers of Finance
and Cardinal Ladaria, Prefect of the
Congregation for the Doctrine of the
Faith who reflected on how finance
must be seen and used as a tool for an
inclusive world.
