Economics 101: The Hedge of the Law – The Law of God and Public Policy

Economics 101: The Hedge of the Law
The Law of God and Public Policy

God’s Law hedges an economy against covetousness and deceit.

“You shall not steal; you shall not deal falsely; and you shall not lie to one another.” Leviticus 19:1

“If ever you take your neighbor’s cloak in pledge, you shall return it to him before the sun goes down, for that is his only covering, and it is his cloak for his body; in what else shall he sleep? And if he cries to me, I will hear, for I am compassionate.” Exodus 22:26, 27

In the Law of God covetous and deceitful practices are consistently discouraged. Borrowing, lending, and making pledges in ancient Israel were not uncommon practices, but they appear to have been carefully engaged, with a view to justice in all its forms. God understands the weaknesses of men and our tendency to covetousness and self-love. His Law was designed to erect a hedge against such failings and frailties, so that the economy of His people could function for justice and neighbor-love. Any borrower would expect to pay back his loan—or if he borrowed goods, to return them in full—with perhaps, but not necessarily, some interest as well. If he could not, he might be subjected to some form of restorative or even retributive justice.

Those who played fast and loose with the truth would also find themselves subject to the judgment of local rulers when their false pledges were shown to have come up short of what they promised.

It was also lawful in ancient Israel for a lender to take an item in pledge, in order to secure his loan against default by the borrower. Typically, we would imagine, the value of the pledge would be in line with the amount of the loan. This would keep borrowers from getting over their heads in debt, and it would assure lenders that the value of their loan, at least, would be returned to them, come what may.

However, the Lord expected justice to prevail in all such arrangements. The lender could actually possess the borrower’s pledge, if he chose. However, if the pledge were necessary to the lender’s well-being—such as a sleeping cloak—it would have to be available to him as needed. No one was allowed to take as a pledge the borrower’s means of earning a living or providing for himself and his family (Deut. 24:6). God expected lenders to act with compassion toward borrowers, and borrowers to act with integrity toward lenders.

Visit our website, www.ailbe.org, and sign up to receive our thrice-weekly devotional, Crosfigell, featuring writers from the period of the Celtic Revival and T. M.’s reflections on Scripture and the Celtic Christian tradition. Does the Law of God still apply today? Order a copy of T. M.’s book, The Ground for Christian Ethics, and study the question for yourself.

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In the Gates is a devotional series on the Law of God by Rev. T. M. Moore, editor of the Worldview Church. He serves as dean of the Centurions Program of the Wilberforce Forum and principal of The Fellowship of Ailbe, a spiritual fellowship in the Celtic Christian tradition. He is the author or editor of twenty books, and has contributed chapters to four others. His essays, reviews, articles, papers, and poetry have appeared in dozens of national and international journals, and on a wide range of websites. His most recent books are The Ailbe Psalter and The Ground for Christian Ethics (Waxed Tablet).

Scripture quotations in this article are from The Holy Bible, English Standard Version, (c) copyright 2001, 2007 by Crossway Bibles, a division of Good News Publishers. Used by permission. All rights reserved.