Earlier this summer, our friends at Common Good Magazine published an article offering “5 Ways to Practice Economic Wisdom,” with practical suggestions like saving money and supporting local businesses. This list was exciting and encouraging to me because learning to apply economic wisdom is something IFWE is working to equip Christians with every day.
At IFWE, we’re blessed to work alongside a network of thoughtful, biblically grounded Christian economists and finance experts who see economic decision-making not just as dollars and cents, but as an aspect of our ability to create and reflect God’s image. So, building on the conversation Common Good Magazine started, we asked our network: What does it really look like to practice economic wisdom? How can we apply the “economic way of thinking,” as Dr. Anne Bradley often puts it, to our everyday decisions?
The result is this round-up of insights—simple, profound tips grounded in both Scripture and sound economics. We hope these ideas help you live out your faith more fully through your work, your stewardship, and your everyday economic decisions.
Understanding Trade-Offs
Dr. Joy Buchanan, associate professor of quantitative analysis and economics at Samford University, helps us understand how Christianity’s view of virtue can be understood through the economic concept of trade-offs:
Christians are sometimes dismissed for telling people to not do what feels best in the moment. This is often interpreted as a bummer. However, another way to think about Christian virtue is through the economic lens of tradeoffs and what behavioral economists call “time preference.” The Apostle Paul put it this way in Romans 8:18, “I consider that our present sufferings are not worth comparing with the glory that will be revealed in us.”
Similarly, Economists are sometimes called dismal for pointing out that nothing is free, or stated in formal terms, supply curves slope up. The promise of Christianity is actually greater happiness, just not yet. If conforming to Christian virtue is not feeling fun at the moment, then consider whether you are doing something good for yourself in the same way that you should save a portion of your paycheck to watch it grow in the stock market for retirement. If you are a numbers person, then that metaphor might be helpful.
Actions Speak Louder than Words
Dr. Victor Claar, associate professor of economics at Florida Gulf Coast University, summarized two key insights from the book he co-authored with Dr. Robin J. Klay, Economics in Christian Perspective. The first helps us understand how our behavior reveals what’s in our hearts:
The nature of a person’s true values is usually expressed through actions, not mere words. We say that “talk is cheap” because it is. You can claim that your health is important, but if you avoid the gym and make poor dietary decisions, those actions reveal your true self. You can claim that technological advances corrupt human nature, but if you spend all your time on LinkedIn, you reveal that you must not really be that concerned. Over time, people will discern what you value most highly from observing your actions. Economists call this idea “revealed preference.” Be known for your fruits, not merely for cheap talk.
Understanding the Value (Cost) of Work
The second insight from Dr. Claar helps us understand the real value of our work:
People are precious, valuable resources—more precious than any of God’s other creatures. We are crafted in his likeness and charged with extending his created order through our own creativity. And when we are doing one job, there is necessarily some other activity we are not doing instead (e.g., staying at home with loved ones, going to school, working at a different job, etc.).
Finding mere busywork for people is not an appropriate use of their creativity, talent, effort, or ingenuity. So be skeptical when a lobbyist or politician touts the “job creation benefits” of some policy proposal. Instead, society should be more concerned with channeling individuals into their most highly valued uses, just like any other limited resource. The price system (wages) delivers clearer information about where people are needed more than planners do, despite their best intentions.
Invest with Intention
George Barbar, Senior Managing Director and Head of Regional Development and Strategy at Mesirow, reminds us that it’s not sufficient to simply live within our means (although that’s an important step). He explains that being intentional with our extra funds is key to long-term financial health and wise stewardship:
Spending less than you earn forces you to prioritize needs over wants, which builds discipline and contentment. Investing the difference and intentionally stewarding the margin, whether in assets, education, business ventures, or generosity, creates growth and prepares you for future opportunities and challenges. It teaches delayed gratification, which is a key ingredient of wisdom and discernment.
Proverbs 21:20 (ESV) says, “Precious treasure and oil are in a wise man’s dwelling, but a foolish man devours it.” This verse is a call to economic self-control and biblical stewardship. It’s not just about accumulating wealth; it’s about wise management of what God has entrusted to us. In a culture that encourages constant consumption, this verse encourages contentment, discernment, and generosity, which are fruits of wise financial habits.
Economic wisdom isn’t just about making money; it’s about aligning our financial habits with God’s design. By spending less than we earn, we cultivate discipline, gratitude, and the capacity to generously invest in things that matter: our families, churches, and communities.
Counting the Cost
Dr. Art Carden, the Margaret Gage Bush distinguished professor of economics at Samford University, gives us a good rule of thumb for valuing our time:
Nothing is “free,” and the best estimate of the value of the next hour of your time is what you earn. If you earn $80,000 per year for 40 hours per week, 50 weeks per year, then $40 is a good estimate of what an hour of your time is worth. If you have to make a decision about how to spend the next hour of your life, you can simply decide what is worth $40 or more to you.
If you’re a student, the best place to look to value your time is the BLS Occupational Outlook Handbook. Your time is worth whatever someone in the job you want gets paid.
As these experts have shown us, practicing economic wisdom isn’t just about managing money. It’s about making thoughtful, faithful choices every day. We hope these ideas have given you some new ways to apply economic thinking as you faithfully steward what God has entrusted to you.
