Debt Read online

  I do think Nietzsche helps us in another way as well: to understand the concept of redemption. Niezsche’s account of “primeval times” might be absurd, but his description of Christianity—of how a sense of debt is transformed into an abiding sense of guilt, and guilt to self-loathing, and self-loathing to self-torture—all of this does ring very true.

  Why, for instance, do we refer to Christ as the “redeemer”? The primary meaning of “redemption” is to buy something back, or to recover something that had been given up in security for a loan; to acquire something by paying off a debt. It is rather striking to think that the very core of the Christian message, salvation itself, the sacrifice of God’s own son to rescue humanity from eternal damnation, should be framed in the language of a financial transaction.

  Nietzsche might have been starting from the same assumptions as Adam Smith, but clearly the early Christians weren’t. The roots of this thinking lie deeper than Smith’s with his nation of shopkeepers. The authors of the Brahmanas were not alone in borrowing the language of the marketplace as a way of thinking about the human condition. Indeed, to one degree or another, all the major world religions do this.

  The reason is that all of them—from Zoroastrianism to Islam—arose amidst intense arguments about the role of money and the market in human life, and particularly about what these institutions meant for fundamental questions of what human beings owed to one another. The question of debt, and arguments about debt, ran through every aspect of the political life of the time. These arguments were set amidst revolts, petitions, reformist movements. Some such movements gained allies in the temples and palaces. Others were brutally suppressed. Most of the terms, slogans, and specific issues being debated, though, have been lost to history. We just don’t know what a political debate in a Syrian tavern in 750 bc was likely to be about. As a result, we have spent thousands of years contemplating sacred texts full of political allusions that would have been instantly recognizable to any reader at the time when they were written, but whose meaning we now can only guess at.14

  One of the unusual things about the Bible is that it preserves some bits of this larger context. To return to the notion of redemption: the Hebrew words padah and goal, both translated as “redemption,” could be used for buying back anything one had sold to someone else, particularly the recovery of ancestral land, or to recovering some object held by creditors in way of a pledge.15 The example foremost in the minds of prophets and theologians seems to have been the last: the redemption of pledges, and especially, of family members held as debt-pawns. It would seem that the economy of the Hebrew kingdoms, by the time of the prophets, was already beginning to develop the same kind of debt crises that had long been common in Mesopotamia: especially in years of bad harvests, the poor became indebted to rich neighbors or to wealthy moneylenders in the towns, they would begin to lose title to their fields and to become tenants on what had been their own land, and their sons and daughters would be removed to serve as servants in their creditors’ households, or even sold abroad as slaves.16 The earlier prophets contain allusions to such crises, but the book of Nehemiah, written in Persian times, is the most explicit:17

  Some also there were that said, “We have mortgaged our lands, vineyards, and houses, that we might buy corn, because of the dearth.”

  There were also those that said, “We have borrowed money for the king’s tribute, and that upon our lands and vineyards.

  “Yet now our flesh is as the flesh of our brethren, our children as their children: and, lo, we bring into bondage our sons and our daughters to be servants, and some of our daughters are brought unto bondage already: neither is it in our power to redeem them; for other men have our lands and vineyards.”

  And I was very angry when I heard their cry and these words.

  Then I consulted with myself, and I rebuked the nobles, and the rulers, and said unto them, “Ye exact usury, every one of his brother.” And I set a great assembly against them.18

  Nehemiah was a Jew born in Babylon, a former cup-bearer to the Persian emperor. In 444 bc, he managed to talk the Great King into appointing him governor of his native Judaea. He also received permission to rebuild the Temple in Jerusalem that had been destroyed by Nebuchadnezzar more than two centuries earlier. In the course of rebuilding, sacred texts were recovered and restored; in a sense, this was the moment of the creation of what we now consider Judaism.

  The problem was that Nehemiah quickly found himself confronted with a social crisis. All around him, impoverished peasants were unable to pay their taxes; creditors were carrying off the children of the poor. His first response was to issue a classic Babylonian-style “clean slate” edict—having himself been born in Babylon, he was clearly familiar with the general principle. All non-commercial debts were to be forgiven. Maximum interest rates were set. At the same time, though, Nehemiah managed to locate, revise, and reissue much older Jewish laws, now preserved in Exodus, Deuteronomy, and Leviticus, which in certain ways went even further, by institutionalizing the principle.19 The most famous of these is the Law of Jubilee: a law that stipulated that all debts would be automatically cancelled “in the Sabbath year” (that is, after seven years had passed), and that all who languished in bondage owing to such debts would be released.20

  “Freedom,” in the Bible, as in Mesopotamia, came to refer above all to release from the effects of debt. Over time, the history of the Jewish people itself came to be interpreted in this light: the liberation from bondage in Egypt was God’s first, paradigmatic act of redemption; the historical tribulations of the Jews (defeat, conquest, exile) were seen as misfortunes that would eventually lead to a final redemption with the coming of the Messiah—though this could only be accomplished, prophets such as Jeremiah warned them, after the Jewish people truly repented of their sins (carrying each other off into bondage, whoring after false gods, the violation of commandments).21 In this light, the adoption of the term by Christians is hardly surprising. Redemption was a release from one’s burden of sin and guilt, and the end of history would be that moment when all slates are wiped clean and all debts finally lifted when a great blast from angelic trumpets will announce the final Jubilee.

  If so, “redemption” is no longer about buying something back. It’s really more a matter of destroying the entire system of accounting. In many Middle Eastern cities, this was literally true: one of the common acts during debt cancelation was the ceremonial destruction of the tablets on which financial records had been kept, an act to be repeated, much less officially, in just about every major peasant revolt in history.22

  This leads to another problem: What is possible in the meantime, before that final redemption comes? In one of his more disturbing parables, the Parable of the Unforgiving Servant, Jesus seemed to be explicitly playing with the problem:

  Therefore, the kingdom of heaven is like a king who wanted to settle accounts with his servants. As he began the settlement, a man who owed him ten thousand talents was brought to him. Since he was not able to pay, the master ordered that he and his wife and his children and all that he had be sold to repay the debt.

  The servant fell on his knees before him. “Be patient with me,” he begged, “and I will pay back everything.” The servant’s master took pity on him, canceled the debt, and let him go.

  But when that servant went out, he found one of his fellow servants who owed him a hundred denarii. He grabbed him and began to choke him. “Pay back what you owe me!” he demanded.

  His fellow servant fell to his knees and begged him, “Be patient with me, and I will pay you back.”

  But he refused. Instead, he went off and had the man thrown into prison until he could pay the debt. When the other servants saw what had happened, they were greatly distressed and went and told their master everything that had happened.

  Then the master called the servant in. “You wicked servant,” he said, “I canceled all that debt of yours because you begged me to. Shouldn’t you have had mercy on you
r fellow servant just as I had on you?” In anger his master turned him over to the jailers to be tortured, until he should pay back all he owed.23

  This is quite an extraordinary text. On one level it’s a joke; in others, it could hardly be more serious.

  We begin with the king wishing to “settle accounts” with his servants. The premise is absurd. Kings, like gods, can’t really enter into relations of exchange with their subjects, since no parity is possible. And this is a king who clearly is God. Certainly there can be no final settling of accounts.

  So at best we are dealing with an act of whimsy on the king’s part. The absurdity of the premise is hammered home by the sum the first man brought before him is said to owe. In ancient Judaea, to say someone owes a creditor “ten thousand talents” would be like now saying someone owes “a hundred billion dollars.” The number is a joke, too; it simply stands in for “a sum no human being could ever, conceivably, repay.”24

  Faced with infinite, existential debt, the servant can only tell obvious lies: “a hundred billion? Sure, I’m good for it! Just give me a little more time.” Then, suddenly, apparently just as arbitrarily, the Lord forgives him.

  Yet, it turns out, the amnesty has a condition he is not aware of. It is incumbent on his being willing to act in an analogous way to other humans—in this particular case, another servant who owes him (to translate again into contemporary terms), maybe a thousand bucks. Failing the test, the human is cast into hell for all eternity, or “until he should pay back all he owed,” which in this case comes down to the same thing.

  The parable has long been a challenge to theologians. It’s normally interpreted as a comment on the endless bounty of God’s grace and how little He demands of us in comparison—and thus, by implication, as a way of suggesting that torturing us in hell for all eternity is not as unreasonable as it might seem. Certainly, the unforgiving servant is a genuinely odious character. Still, what is even more striking to me is the tacit suggestion that forgiveness, in this world, is ultimately impossible. Christians practically say as much every time they recite the Lord’s Prayer, and ask God to “forgive us our debts, as we also forgive our debtors.”25 It repeats the story of the parable almost exactly, and the implications are similarly dire. After all, most Christians reciting the prayer are aware that they do not generally forgive their debtors. Why then should God forgive them their sins?26

  What’s more, there is the lingering suggestion that we really couldn’t live up to those standards, even if we tried. One of the things that makes the Jesus of the New Testament such a tantalizing character is that it’s never clear what he’s telling us. Everything can be read two ways. When he calls on his followers to forgive all debts, refuse to cast the first stone, turn the other cheek, love their enemies, to hand over their possessions to the poor—is he really expecting them to do this? Or are such demands just a way of throwing in their faces that, since we are clearly not prepared to act this way, we are all sinners whose salvation can only come in another world—a position that can be (and has been) used to justify almost anything? This is a vision of human life as inherently corrupt, but it also frames even spiritual affairs in commercial terms: with calculations of sin, penance, and absolution, the Devil and St. Peter with their rival ledger books, usually accompanied by the creeping feeling that it’s all a charade because the very fact that we are reduced to playing such a game of tabulating sins reveals us to be fundamentally unworthy of forgiveness.

  World religions, as we shall see, are full of this kind of ambivalence. On the one hand they are outcries against the market; on the other, they tend to frame their objections in commercial terms—as if to argue that turning human life into a series of transactions is not a very good deal. What I think even these few examples reveal, though, is how much is being papered over in the conventional accounts of the origins and history of money. There is something almost touchingly naïve in the stories about neighbors swapping potatoes for an extra pair of shoes. When the ancients thought about money, friendly swaps were hardly the first thing that came to mind.

  True, some might have thought about their tab at the local ale-house, or, if they were a merchant or administrator, of storehouses, account books, exotic imported delights. For most, though, what was likely to come to mind was the selling of slaves and ransoming of prisoners, corrupt tax-farmers and the depredations of conquering armies, mortgages and interest, theft and extortion, revenge and punishment, and, above all, the tension between the need for money to create families, to acquire a bride so as to have children, and use of that same money to destroy families—to create debts that lead to the same wife and children being taken away. “Some of our daughters are brought unto bondage already: neither is it in our power to redeem them.” One can only imagine what those words meant, emotionally, to a father in a patriarchal society in which a man’s ability to protect the honor of his family was everything. Yet this is what money meant to the majority of people for most of human history: the terrifying prospect of one’s sons and daughters being carried off to the homes of repulsive strangers to clean their pots and provide the occasional sexual services, to be subject to every conceivable form of violence and abuse, possibly for years, conceivably forever, as their parents waited, helpless, avoiding eye contact with their neighbors, who knew exactly what was happening to those they were supposed to have been able to protect.27 Clearly this was the worst thing that could happen to anyone—which is why, in the parable, it could be treated as interchangeable with being “turned over to the jailors to be tortured” for life. And that’s just from the perspective of the father. One can only imagine how it might have felt to be the daughter. Yet, over the course of human history, untold millions of daughters have known (and in fact many still know) exactly what it’s like.

  One might object that this was just assumed to be in the nature of things: like the imposition of tribute on conquered populations, it might have been resented, but it wasn’t considered a moral issue, a matter of right and wrong. Some things just happen. This has been the most common attitude of peasants to such phenomena throughout human history. What’s striking about the historical record is that in the case of debt crises, this was not how many reacted. Many actually did become indignant. So many, in fact, that most of our contemporary language of social justice, our way of speaking of human bondage and emancipation, continues to echo ancient arguments about debt.

  It’s particularly striking because so many other things do seem to have been accepted as simply in the nature of things. One does not see a similar outcry against caste systems, for example, or for that matter, the institution of slavery.28 Surely slaves and untouchables often experienced at least equal horrors. No doubt many protested their condition. Why was it that the debtors’ protests seemed to carry such greater moral weight? Why were debtors so much more effective in winning the ear of priests, prophets, officials, and social reformers? Why was it that officials like Nehemiah were willing to give such sympathetic consideration to their complaints, to inveigh, to summon great assemblies?

  Some have suggested practical reasons: debt crises destroyed the free peasantry, and it was free peasants who were drafted into ancient armies to fight in wars.29 No doubt this was a factor; clearly it wasn’t the only one. There is no reason to believe that Nehemiah, for instance, in his anger at the usurers, was primarily concerned with his ability to levy troops for the Persian king. It is something more fundamental.

  What makes debt different is that it is premised on an assumption of equality.

  To be a slave, or lower-caste, is to be intrinsically inferior. We are dealing with relations of unadulterated hierarchy. In the case of debt, we are dealing with two individuals who begin as equal parties to a contract. Legally, at least as far as the contract is concerned, they are the same.

  We can add that, in the ancient world, when people who actually were more or less social equals loaned money to one another, the terms appear to have normally been quite generous.
Often no interest was charged, or if it was, it was very low. “And don’t charge me interest,” wrote one wealthy Canaanite to another, in a tablet dated around 1200 bc, “after all, we are both gentlemen.”30 Between close kin, many “loans” were probably, then as now, just gifts that no one seriously expected to recover. Loans between rich and poor were something else again.

  The problem was that, unlike status distinctions like caste or slavery, the line between rich and poor was never precisely drawn. One can imagine the reaction of a farmer who went up to the house of a wealthy cousin, on the assumption that “humans help each other,” and ended up, a year or two later, watching his vineyard seized and his sons and daughters led away. Such behavior could be justified, in legal terms, by insisting that the loan was not a form of mutual aid but a commercial relationship—a contract is a contract. (It also required a certain reliable access to superior force.) But it could only have felt like a terrible betrayal. What’s more, framing it as a breach of contract meant stating that this was, in fact, a moral issue: these two parties ought to be equals, but one had failed to honor the bargain. Psychologically, this can only have made the indignity of the debtor’s condition all the more painful, since it made it possible to say that it was his own turpitude that sealed his daughter’s fate. But that just made the motive all the more compelling to throw back the moral aspersions: “Our flesh is as the flesh of our brethren, our children as their children.” We are all the same people. We have a responsibility to take account of one another’s needs and interests. How then could my brother do this to me?