What is the relationship between markets and morality? While this might seem an odd question to some, there is a long line of thinking that recognizes the strong connection between the two—and there are signs of a renewed interest in the question today. An early example comes from Plato’s The Apology, in which he wrote that “Wealth does not bring goodness, but goodness brings wealth and every other blessing, both to the individual and to the state.”

Two millennia after Plato, the Scottish economist Adam Smith, author of The Wealth of Nations (1776) noted that there were sound economic reasons to examine the impact of religion on the free market, and vice versa. In fact Smith’s classic text on economics was a sequel to his earlier Theory of Moral Sentiments (1759). Smith considered widespread social morality to be essential for the proper functioning of free markets, an insight not given proper attention by Smith’s disciples. In one of the few sustained subsequent studies of the topic the great sociologist Max Weber stressed the importance of understanding the beliefs and commitments that motivate social action. In particular Weber noted what has come to be known as the Protestant Work Ethic, the idea that the rewards from diligent employment signal the blessings of God. Despite the distinguished intellectual pedigree of the markets and morality question, there has not been much research on the issue.

The Foundation has launched a major initiative to help promote an understanding of the relationship between our spiritual commitments and our economic and social circumstances. The goal is to catalyze a new interdisciplinary research field within the social sciences, dubbed spiritual capital. Toward this end, twenty leading scholars gathered in Cambridge, Massachusetts, in the fall of 2003 to lay the foundations for this ground-breaking initiative, including Nobel-prize winning economist Gary Becker of the University of Chicago, Harvard economist and Business Week columnist Robert Barro, and Harvard political scientist Robert Putnam—the “dean” of social capital research best known for his book Bowling Alone.

The concept of spiritual capital draws on new research in economics and other social sciences. This research recognizes how social and economic dynamics are shaped by cultural factors. Scholars have already opened up and delved into areas of human capital and social capital, fields associated with the pioneering work of economist Gary Becker. The specific term “spiritual capital” refers to that aspect of social capital linked with religion and/or spirituality. In the last ten years, Robert Fogel (University of Chicago and 1993 Nobel Laureate in Economics) and others have explored and used the term. In one sense, then, spiritual capital might be seen as a significant subset of social capital. According to Robert Putnam’s influential work on social capital, religion is by far the largest generator of social capital in the United States, contributing to more than half of the social capital in the country.

Spiritual capital research could expand our knowledge by examining religion’s contributions to economic performance and development, by analyzing religious markets, by studying the behavioral basis of social action and more. The challenges of studying spiritual capital are significant, but the opportunities are even greater. New knowledge could broaden and deepen our understanding religion’s role in economic, social and political life.