Lehrbuch Der NationalÖkonomie / Teaching Guide to Economics: Volume V/ Book 2: General Economics III

This is the final work in Pesch's groundbreaking magnum opus. He expands upon the just wage doctrine in discussion since the social encyclical Rerum Novarum (1891). Pesch states that workers should share in the profits of the company, be allowed to organize and work in humane conditions. His work is incorporated into the social encyclical Quadragesimo Anno (1931). Pesch warns against the abuses of capitalism, coming from entrepreneurial income stemming from ownership of capital and land, and the worst extremes of runaway inflation. Pesch demonstrates the need for insurance programs to care for the injured worker and the unemployed and for just treatment of the poor. Pesch designates as distortions in the economic process economic crises, the strike and lockout. He calls on workers and employers to moderate their differences and to establish a community that is a solidaristic system intent on building a better national economy.