Updated: July 23, 2025
In today’s episode of The Catholic Money Show, we continue our deep dive into Rerum Novarum, Pope Leo XIII’s landmark encyclical on capital and labor. Part 3 explores one of the most controversial and important questions in both faith and finance:
What role should the government play in the economy?
Spoiler: the Church doesn’t endorse socialism or unchecked capitalism. It carves out a third way—one rooted in the dignity of the human person, the principle of subsidiarity, and the common good.
In This Episode:
- What Rerum Novarum teaches about the government’s proper relationship to labor and capital
- Why private property is a right, and how government must protect it
- How subsidiarity applies to economic systems
- Why the State must intervene only when needed, but not stay completely hands-off
- The dangers of both oppressive socialism and laissez-faire capitalism
- What this means for Catholic voters, business owners, and everyday families
💬 Quote of the Episode:
“The State must not absorb the individual or the family; both should be left to discharge their duties as freely as possible.”
— Pope Leo XIII, Rerum Novarum
🔍 Resources & Links:
- 📖 Read Rerum Novarum at Vatican.va
- 💬 Submit a question or voice memo: walletwin.com/voicemail
- 📰 Join our weekly newsletter for Catholic money tips: walletwin.com/weekly
- 📲 Follow us on Instagram: @walletwin
📚 Catch Up on the Series:
- Part 1: Why a 133-Year-Old Encyclical Still Matters Today
- Part 2: What Does the Church Say About Class Warfare?
- You’re here: Part 3
Closing Thought
In a culture constantly swinging between extremes, the Church gives us timeless principles rooted in truth and dignity. As Catholic families, voters, workers, and business owners, understanding Rerum Novarum gives us the tools to live faithfully in a modern economy.
More parts of this series coming soon—stay tuned!
