Catholic social doctrine teaches that there is an intrinsic relationship between morality and economic activity. While there is a clear distinction between the two spheres, such a distinction does not imply that there is a separation between them; rather, there is a reciprocity.
The moral dimension of the economy calls for the recognition that economic well-being and human development are one indivisible goal. Morality is neither opposed to economic life nor neutral within it; instead, it is a factor intrinsic to economic activity. Production of goods in an efficient manner is a duty, but it is not acceptable to achieve economic growth at the expense of human beings, populations or social groups by condemning them to poverty.
The economy’s moral character is seen at its best when such its activity is directed to the common good of all peoples and has as its purpose and object humanity’s overall development within the communities in which people live and work. Thus, economic growth is a good if directed to and in solidarity with human growth and development.
The implication of this is that human happiness is not realized simply in the accumulation of goods and services, but only when these goods and services increase to serve the human needs of the local communities. In this way, the principles of subsidiarity, solidarity, and the universal destination of goods are honored.
For a more thorough discussion of this refer to the Compendium of the Social Doctrine of the Church, nos. 330-335.
