Usury : $b a scriptural, ethical and economic viewElliott, Calvin
Religion
Usury : $b a scriptural, ethical and economic view
Elliott, Calvin
Usury
There were among the Greeks at various times thoughtful men, who
violently opposed the taking of increase. Solon, of aristocratic
blood, but with strong sympathies for the oppressed classes, led a
Nehemiah-like reformation. Solon was wise and patriotic. His name is a
synonym for unselfish devotion to the public good. He was given
authority in Greece in times of great financial distress. Debts were
increasing. Mortgage stones were erected at the borders of each tract
of land, giving the name of the creditor and the amount of his claim.
The interest could not be paid. Interest taking had concentrated the
wealth and power of the state in a few hands. The farmer lost all hope
and was only a laborer on the farm he once owned. The debtor who had
no farm to work for his creditor was yet in a worse condition; he was
the mere slave of his creditor and could be sold by him. The free
farmers were fast disappearing. The most of them were struggling with
miserable poverty. Solon at once came to the relief of this suffering
class. He released those who were enslaved and brought back those who
had been sold abroad. The great work of Solon for this oppressed class
has caused his name to be revered by all who have studied the history
of his times.
Plato opposed usury, but he does not give extended reasons. Also the
philosopher, Aristotle. His name is yet illustrious in the departments
of natural and moral science and economics. With regard to usury he
said: "Of all modes of accumulation, the worst and most unnatural is
interest. This is the utmost corruption of artificial degeneracy;
standing in the same relation to commerce that commerce does to
economy. By commerce money is perverted from the purpose of exchange
to that of gain; still this gain is occasioned by the mutual transfer
of different objects; but interest, by transferring merely the same
object from one hand to another generates money from money, and the
product thus generated is called offspring (toxos) as being precisely
the same nature as that from which it proceeds."
Rome: In the early ages of Rome there were no laws regulating the
loans of money. The practice was common and was one of the most
frequent subjects of popular complaint. In the celebrated secession of
the lower classes of the people to Mons Sacer, when civil strife and
fraternal bloodshed was threatened, the loudest outcry was against the
oppression of exhorbitant interest exacted by wealthy citizens of
those who were obliged to borrow. The common rate was twelve per cent.
per annum. This is inferred from the fact that six per cent. was
called half interest and three per cent. one-fourth interest.
The early records of Rome prove conclusively the odium attached to the
business of money-lending for profit. In the codification of laws in
the fifth century B.C. the rate of usury was fixed at one per cent.
per month. This limitation of usury was enacted after a long and
bitter contest between the rich lenders and the poorer classes.
Public-domain text, read in full here on John Shaqi.
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