The heart of capitalism is private property rights. In a purely capitalist society, each person retains 100% control of their private property which includes all the money they earn from their ideas, use of their lands or other properties as well as their labors. America was founded on private property rights and capitalism and the Constitution originally banned the concept of income taxes.
The United States government, including the military, was almost completely funded by something Trump is using today to crack down on China – Tariffs (taxes on goods coming in from Foreign countries).
There were incomes taxes during the Civil War and some attempts at income taxes afterwards until the courts ruled income taxes to be a violation of the Constitution. It was then that President Woodrow Wilson spearheaded the effort to put in a Constitutional amendment for an income tax promising it would only be a 1 percent tax on the very rich. This resulted in the 16th Amendment being passed in 1913.
Fast forward just a couple of decades and then FDR raised that income tax to 95 percent on the rich to fund his Socialist makeover of America. JFK lowered the top rate from 90% to 70% and then Reagan did the largest tax rate drop in history lowering the top rate to 28%.
Capitalism is a Biblical Concept
The Bible supports the concept that what a man earns is his and this God given right is found in the 10th commandment:
“Thou shalt not covet thy neighbour’s house, thou shalt not covet thy neighbour’s wife, nor his manservant, nor his maidservant, nor his ox, nor his ass, nor any thing that is thy neighbour’s.”
Exodus 20:17 (KJV)
The Bible speaks of it being God’s gift to man that he is able to work and then enjoy the fruits of his labor:
“Every man also to whom God hath given riches and wealth, and hath given him power to eat thereof, and to take his portion, and to rejoice in his labour; this is the gift of God.”
Ecclesiastes 5:19 (KJV)
In Matthew 20:15, Jesus when telling the parable of the land owner and his workers and how he paid them for different amounts of work said “Is it not lawful for me to do what I will with mine own? Is thine eye evil, because I am good?“
God authorizes the government only to takes pay for the salaries of government officials and the necessary functions of government.
“For for this cause pay ye tribute also: for they are God’s ministers, attending continually upon this very thing.”
Romans 13:6 (KJV)
And this is also a tenant of capitalism that the government should only take taxes to pay for the services of government officials and things that government should be doing like building roads, bridges, law enforcement and the military.
The Bible also strongly encourages free will giving for the poor and Jesus Christ talked about giving to the poor in the Gospel of Mark:
“For ye have the poor with you always, and whensoever ye will ye may do them good: but me ye have not always.”
Mark 14:7 (KJV)
Notice two important concepts though that Christ taught about giving to the poor. First, Christ said “ye have the poor with you always”, meaning we will never eliminate poverty in this sin cursed world. Only God can eliminate poverty when he removes sin and makes the world anew. Secondly, Christ reaffirmed that giving to the poor is to be done based on the free will of the giver when he stated “whensoever ye will”.
The Apostle Paul reaffirmed the concept of free will giving both for the poor as well as giving to support local churches when he made the following statement:
“Every man according as he purposeth in his heart, so let him give; not grudgingly, or of necessity: for God loveth a cheerful giver.”
2 Corinthians 9:7 (KJV)
And God builds on this by admonishing those who are rich in this world to be rich in their giving:
“17 Charge them that are rich in this world, that they be not highminded, nor trust in uncertain riches, but in the living God, who giveth us richly all things to enjoy; 18 That they do good, that they be rich in good works, ready to distribute, willing to communicate; 19 Laying up in store for themselves a good foundation against the time to come, that they may lay hold on eternal life.”
1 TImothy 6:17-19 (KJV)
Socialism and Communism trample the God given right of private property. Communism does it to a greater extent than Socialism in that Communism allows no private property as all property is owned by and distributed by the state. But Socialism still violates God’s law by having the government come in and seize a man’s private property and then distributing that property to another.
In essence both Communism and Socialism are the legalized theft of private property by government and the policies of these systems effectively nullify God given private property rights.
God only gave the government power to tax to pay for government officials and the normal functions of government, not for re-distributive purposes.
In God’s design, the poor and those on the lower economic side of the scale are to be cared for by close family or even extended family and only if they don’t have family then they are cared for by the church.
“If any man or woman that believeth have widows, let them relieve them, and let not the church be charged; that it may relieve them that are widows indeed.”
1 Timothy 5:16 (KJV)
Conclusion
There are four ways in God’s order, which is the natural order, that an individual may righteously gain property(including money).
1. By exchanging their direct labor or ideas to others to gain property or by lending out their existing property to others for their use. (Deuteronomy 24:15,1 Timothy 5:18)
2. By receiving such property as the spoils of war. (Deuteronomy 20:14)
3. By receiving an inheritance. (Proverbs 13:22)
4. By receiving a freely given gift. (Hebrews 13:16)
Socialism and Communism violate the natural order and God’s design by forcibly taking one person’s property and then giving it to another which did not earn such property.