For the past few years, my wife and I have enjoyed getting to know a husband and wife from Cuba studying music here at Baylor. Growing up amid persecution and poverty, they still developed a strong passion for the Lord and a calling to live that out through their music. They also are admittedly surprised at the ignorance of soft-hearted Western students they see on television or meet in person when it comes to economic life under communism.
During a dinner together with us, they shared about some Christian friends of theirs back home. Both were dentists, but they decided to give up dentistry to become a taxi driver (the husband) and a street vendor (the wife). Why? First, because the corrupt health system resulted in constant pressure to lie, cheat, and perform poorly. Second, they could make more money to support their families in these other jobs.
Of course, my own experience living in former communist countries and studying communist countries has made me aware of these problems both with communism and even softer forms of authoritarian socialism (sometimes mistakenly labeled “democratic”). Thus, it always surprises me to find uninformed Christian students and faculty who develop a deep care for the poor based on the Bible’s extensive teaching on the subject, but who then support economic approaches that actually produce more poverty (for the level of such sentiments in the U.S., see here, here, and here). I realize they want to support what sounds kind-hearted, moral, and helpful in theory, but they do not spend any time actually studying or learning about the results in reality. If they did, they would realize that caring for the poor requires that you support economic freedom. The two go together.
The Importance of Economic Structures
I remember as a graduate student I attended a mentoring conference sponsored by Evangelicals for Social Action. During the conference, I sat next to a man who had just come home from spending his life invested in development work in the then optimistically named “developing world.” I asked him some questions about the work, hoping to hear some redemptive stories about what they had accomplished. Instead, I was surprised to hear more discouragement than anything else. He concluded that much of their work was undermined by the political and economic structures within a country. Indeed, I have seen even the small efforts, such as well-intentioned child sponsorship programs, shut down and devastated by these larger issues. I have talked to Christians in other parts of the world who would love to start a business to support their families, but the system simply makes it impossible.
Once you start learning more about and traveling around the world, you realize how important those structures are. It also helps to talk to people who grew up under all kinds of different systems. Christians should recognize and study what economic systems help the poor the most. After all, it is an empirical question with an empirical answer.
The Growth of Economic Freedom and the Decline of Extreme Poverty
You would not know it based on some doomsayers, but we have made tremendous progress in helping move the destitute poor around the world out of extreme poverty. This is true whether one looks largely at economic poverty (or see here) or whether one looks at broader measures of human flourishing.
This decline in extreme poverty over the past four decades in particular has been driven by the expansion of economic freedom (of which there are various measures[1]). Today, we have enough experience with country-to-country comparisons to understand how greater economic freedom helps the poor (and society as a whole) more than economic systems with less freedom. Here, for example, is the recent annual report on economic freedom from the Fraser Institute, a think tank based in Canada (the report was compiled by American, Canadian, and English economists).
The findings are not at all surprising to anyone with a passing familiarity with economic freedom and the economic success or failure of various nations. For example, the recent success stories of Panama ($20,564 per capita) Chile ($20,240 per capita) and the Dominican Republic ($12,406 per capita) score high (27th, 26th, and 47th, respectively), but Venezuela, formerly one of the wealthiest countries in Latin America but now a socialist basket case despite its extensive oil reserves, is ranked 165th and has a GDP per capita of $4,140).
The report notes the following:
- The standard of living in the most economically free nations is far higher than in the least free. In comparing the economically freest 25 percent of countries with the least free, we find:
- Average incomes are 6.2 times greater;
- The bottom 10% of incomes are 7.8 times greater;
- People tend to work seven fewer hours each week;
- People live about 17 years longer;
- Far fewer children die in infancy;
- People are more satisfied with their lives;
- Governments are less corrupt; and
- Environments are cleaner.
The evidence is substantial and increasing: if you care about the poor, you should support greater degrees of economic freedom (with the appropriate rule of law to curb fallen government control of businesses, fallen businesses, and fallen business people).
Unfortunately, I also see posters on X who make claims about the problems with the degree of freedom found in the American economic system and how it exacerbates poverty. The problem is that such claims are not true. As one recent Wall Street Journal article about a widely shared American Enterprise Institute (AEI) study noted, “In 2024, about 19% of American families were considered ‘poor or near poor,’ according to the AEI report, down from about 30% in 1979.” Christians should rejoice in this development and hope other countries follow this lead.
For instance, Argentina’s leader, Javier Milei, has sought to change his country’s horrible record on economic freedom over the past few years. The results have been encouraging when it comes to the percentage of the poor. The national poverty rate fell from 52.9% in the first half of 2024 to 28.2% in the second half of 2025. Of course, things could go south in Argentina in a moment. As economists will tell you, Argentina remains an economic outlier on many fronts. Nonetheless, Christians should acknowledge the role that expanding economic freedom (again with appropriate limits for the fallenness of economic actors) plays in helping people out of poverty. Unfortunately, they have not always done so.
Political Disappointment with Evangelical Leaders on the Left regarding Authoritarian Socialists and Economic Freedom
I had the privilege of getting to know both Ron Sider, a former professor at Eastern University and founder of Evangelicals for Social Action, and Vernon Grounds, former President of Denver Seminary. Vernon, in particular, was gracious enough to allow me to join a small book group of Denver Seminary professors at a time when I needed that kind of intellectual fellowship. Both men loved the Lord, did incredible work for the Kingdom, and cared deeply about the poor.
Yet, I will never understand how they allowed their political sympathies to lead them to a hopeful assessment of Nicaragua’s President Daniel Ortega during a 1982 visit to Nicaragua. At the time, Sider naively wrote in the Theological Students Fellowship Bulletin, “That the present government favors socialism is clear and public, but so do the British Labor Party and the West German Social Democrats. Socialism is not the same as Marxism-Leninism.” He then bragged about all the Catholic followers of liberation theology in the government. Sider also downplayed concerns about the demise of religious freedom based on his interview with Daniel Ortega.
In our interview with Daniel Ortega, leader of the government, I said many American Christians were afraid, because of the history of other revolutions, that religious liberty would eventually be restricted. I asked why he thought the Nicaraguan revolution would be different from many other modern revolutions. In a lengthy reply, he said that if the Nicaraguan revolution had occurred at the time of the Cuban revolution, something similar might have happened. At that time, the church was a willing tool of the Somoza dictatorship. But a strong Catholic movement of concern for social justice subsequently emerged, and large numbers of Catholics (and some Protestants) participated over many years in the overthrow of Somoza.
History has demonstrated that those “many American Christians” were right and Sider’s optimism about Ortega was misguided. A little over four decades later, here is what the 2026 International Religious Freedom Report has to say about Nicaragua:
The Nicaraguan regime continues to enforce a total crackdown on religious organizations. The government wrongfully detains worshipers, arbitrarily dissolves religious organizations and seizes their property, and expels religious leaders from the country. Clergy and lay leaders are imprisoned for their religious activity or religious freedom advocacy, have died in custody, and the government has escalated its use of transnational repression against Nicaraguan religious leaders and worshippers abroad.
Just this week, Ortega canceled elections in Nicaragua. The evangelical political left’s dalliance with authoritarian socialists, in the name of helping the poor, has been shown over the last century to have been a disaster for religious freedom and helping the poor. To this day, Nicaragua has the second lowest GDP per capita in the Western Hemisphere at $3559 (only ahead of Haiti) with the third highest rate of income inequality.
Grounds and Sider were hopeful but also historically naïve (which is sad since Sider was a historian). They wanted to believe that this time “democratic socialism” and the reduction of economic freedom in Nicaragua would have different results. In the past century, it has never had different results. It took the lifting of strict economic restrictions in “communist” countries such as China (although still ranked 108th in economic freedom) and Vietnam (still 104th) to bring perhaps 800 million out of poverty.
Evangelicals should always remember that political mistakes and a lack of foresight occur not only among the people in the pews and megachurch pastors but also among respected academic leaders. I find this especially true with regard to determining what economic structures and policies are best for helping the poor. To paraphrase the Who, we should get on our knees and pray that we won’t be fooled again.
[1] For a couple of such measures see https://economicfreedom.heritage.org/pages/all-country-scores and https://www.fraserinstitute.org/studies/economic-freedom-world-2025-annual-report






















Wise post. It is frustrating that our universities (both secular and faith-based) seem to produce students who don’t look at the evidence are caught up in ideologically attractive approaches like socialism, despite all its obvious problems. Many on both sides, the political left and right, seem to get caught up in these binary debates and groups, instead of finding nuanced positions. But from our Christian framework of fallenness, it’s entirely predictable, and should make us all humble and always willing to reconsider our positions.
Perry,
Although you identify some important historical truths, you omit many others. You surely agree that the US embargo of Cuba (blocking the entry of food and medicine) reduced its economic freedom and contributed to its poverty. Nicaragua’s economic well-being suffered under Ortega, in part, due to the military attacks against it by the US. The sins of national leaders can be found on both the right and left. We should denounce authoritarian, dictatorial governments wherever they appear.
Lindy, the poverty one finds in communist countries is not simply due to the U.S. opposition to them. Have you ever visited or lived in, and/or studied them? The poverty stems from deep political, moral, religious, familial, and economic disfunction that is then compounded by external pressures (many of which are valid due to the rulers’ authoritarian ways). Christians who believe humans are made in God’s image should not downplay human, political leaders’ or country-agency. Cuban and Nicaraguan leaders must be held responsible for the extreme poverty of their people and the violation of religious and political freedoms (over 1000 in Cuba alone https://www.uscirf.gov/sites/default/files/2026-05/2026%20Cuba%20Country%20Update.pdf)? They are responsible for the good of their people, but they choose to reduce political, religious, and economic freedom to hold on to power instead of addressing their people’s suffering. Yes, all nations are fallen, and the U.S. certainly is, but there are some nations you would still rather live in than others, because they do a better job of protecting religious, economic, and political freedoms and promoting human flourishing, especially compared with other nations.
HI Perry,
Yes, I have spent twenty years of my adult life in various Latin American countries, researching and teaching about their politics and economies. National l eaders (including the Castros and Ortega) are responsible for their actions and how their decisions affect their people.
Nevertheless, you seem reticent to acknowledge that the US embargo against Cuba was a complete failure (it did not remove the Castros) and it did hurt the Cuban economy by hindering free trade. Michael’s comments about applying biblical truths (like human fallenness) across the board would permit us to see more clearly.
Have you lived in or visited current communist communists such as Cuba, Nicaragua, or Venezuela and interviewed the people? That’s different. Also, I’m not reluctant to acknowledge that the past embargo failed to remove the Castros and hurt the economy. Those are obvious facts (of course, the influence of the current embargo is still up in the air). Since you study the region, what do you think Cuban Christians would suggest their leaders do to address the situation? Nicaraguan Christians? Venezuelan Christians?
Hi Perry,
i think we agree that it is important to know how evangelicals living in difficult circumstances really see their options and not try to impose our “solutions” from the outside. I have spent considerable time in Nicaragua and know the evangelical community fairly well. Faced with the options of a decades long dictatorship or the Sandinista revolution, they largely supported the revolution. They are now critical of Ortega and believe he has betrayed the goals of Sandinismo. Athough there are significant differences between Nicaragua and Costa Rica, they do see some valid options in the Costa Rican economic model (tourism, winter vegetables, health care, etc.) The Cuban believers I know prefer small transitions in their economy and politics over a bloody, military takeover.
I highly recommend the new book “Mission, Prophetic Economics, Human Development. Latin American Challenges Moving Forward in the 21st Century” (Regnum) by the Christian Economist H. Fernando Bullon. It deals with all the relevant economic and political data together with a serious attention to Scripture.
Seems like this author has a decent introductory understanding of economic theory. He really went hard at the fallenness that can prevail in (democratic) socialism, which makes sense. Would’ve liked to see him give more attention to the fallenness that can prevail in neoliberal economic structures, which he barely touched on (seems to be a bias there?). All in all I think mostly agree with him, but would’ve liked to see him end up somewhere more imaginative, especially with an article with a title that is so bold.
Lastly, this author seems to neglect to mention that he is clearly talking from a macroeconomic perspective. “You Don’t Truly Care about the Poor Unless You Look at Outcomes” is a bold thing to say to people who might be, for example, hyper-localized and just wanting to make sure that their low-income neighbour has food to get through the day. I certainly agree that from a macro perspective, it’s essential to let outcomes guide our actions (that’s what I wrote my thesis on), but I encourage the author to remember that “outcomes” are irrelevent when you’re sitting around a socioeconomically diverse table, breaking bread with your neighbours because you “truly care about the poor”.
David, I find this comment odd for several reason. The topic I addressed is what economic system will help the poor more. I suggested that the empirical answer is systems that allow for greater economic freedom (you do not offer counter evidence but instead resort to an ad hominin critique). I agree that every economic system is fallen, but addressing the weaknesses of all of them was not the point of the essay. Plus, what exactly a neoliberal economic structure is is not clear from the comment. That word is usually simply jargon code in academia or as this 2018 article noted, “a conceptual trash heap,” and not very helpful. “https://dissentmagazine.org/article/uses-and-abuses-neoliberalism-debate/. Yes, I was taking a macro perspective in this essay, but I would argue that it also applies to micro situations. As I learned when working with the L.A. homeless, if one simply shares a meal with them and is not concerned about their long term flourishing, I would consider the meal helpful but not sufficient.
I will end my comments with a few thoughts from your introductory writing. You criticized Sider for being a bad historian. I humbly suggest that bad history can be seen on the left and on the right. You attribute Cuba’s and Nicaragua’s poverty and corruption exclusively to their socialist and communist policies without even mentioning the trade embargo against Cuba that lasted up until now and pushed them in the direction of the USSR/Russia. You mention that some external pressures are “valid”. I ask who determines their validity.
Economic factors need to be balanced by political factors. For example, Chile improved its economic situation in the 1970s and 1980s…, but only via a coup and a long Pinochet dictatorship that killed tens of thousands and eliminated democracy for a long time. Advocating for healthy economic systems is important works, but only in combination with good social and political reforms.
Lindy, I was content to leave this exchange, but if you want to continue it, I would be glad to do so. I think you ask an important question about who determines the validity of actions of nation-states. Of course, God is the ultimate arbiter, but for Christians discerning foreign policy, there are a variety of ways to analyze the actions of nation-states ethically. I hope we would agree that a bad nation-state is one that: 1. undermines the human flourishing of its people, especially in comparison to other nation-states; 2. Undermines the self-determination of the people to determine what the content of that flourishing is. Of course, there is also an additional reason why an outside actor may interfere with a nation-state: 3. They see it as a threat not only to its own people but also to their flourishing. I think both Cuban and Nicaraguan leaders have violated all three of those principles by any measure. You say America “pushed” Cuba and Nicaragua in the direction of the USSR, but that fails to give agency to the leaders. They are not just victims of American aggression. They could choose different behaviors. After all, that is what U.S. politicians were hoping the embargo would accomplish (it didn’t). The leaders are not the victims in this case. The people are.
Regarding Chile, the numbers don’t really bear you out when it comes to Chile’s econ growth (it took off in the 90s and 2000s once democracy returned and not the 70s and 80s). Of course, I would never be an apologist for Pinochet. As the 90s and 2000s attest, Chile could have improved its economic situation by other means (e.g., Poland is a great example of post-dictatorship of the proletariat economic recovery). Also, let’s be honest, the Chilean Left has sometimes fostered destruction instead of creative redemption (e.g., saw the results firsthand during my visit right after the riots, https://christianscholars.com/creating-and-redeeming-institutions-a-christian-approach/).
Finally, I never said Sider was a bad historian (he wasn’t). I said he was “historically naïve.” By that I mean he was naïve about the dangers of Marxist-informed socialism (even if flavored by liberation theology).
I will end my comments with a few thoughts from your introductory writing. You criticized Sider for being a bad historian. I humbly suggest that bad history can be seen on the left and on the right. You attribute Cuba’s and Nicaragua’s poverty and corruption exclusively to their socialist and communist policies without even mentioning the trade embargo against Cuba that lasted up until now and pushed them in the direction of the USSR/Russia. You mention that some external pressures are “valid”. I ask who determines their validity.
The US economic “success” is not necessarily a sign of God’s blessing. Frequently in Scripture, wealth is associated with injustice (Amos, James). Some of America’s wealth was obtained through slave labor and stolen land. This is just to say that outputs and means must be submittee to the evaluation of Scripture.
Lindy, I noticed you added another paragraph at the end of this comment that is different. I’ll just say that my post had nothing to do with American injustices from before 1900. My post was asking what contemporary economic system is best for the poor. It is an empirical question. I think we have plenty of evidence from multiple countries around the world, and not just America, that economic freedom helps the poor. I do not think you have provided any convincing evidence to undermine my case. In fact, I think you have a reflexive response informed by political ideology that does not lead you to account for and consider the evidence I presented. Cuba, Nicaragua, and Venezuela provide plenty of evidence of how not to help the poor.
We can leave our conversation here. i still believe that external factors like the economic embargo on Cuba, and the war against the Sandinista government needs to be included in the conversation in order to have a fuller understanding, as well as ethical questions about external pressure.
What about the Scandinavian social democracies? They seem like nice places to live. What is educational foundations?
They are. And one of the reasons is that they have a high level of economic freedom: Finland (#15), Sweden (35), Norway (#48). Of course, they also have higher tax rates on the poor that then U.S. See for example: https://x.com/profstonge/status/2083225889261650061 That’s how they pay for all those social services.