Economy and Grace: A Defense of Human Capital

Luther develops his idea of the grace of God in tandem with his idea of economy, and a society characterized by ethical and social values such as love of neighbor and caring for the weak and poor. Hence, the reformer's search for a gracious God is developed along with his criticism of the current indulgence doctrine and the emerging oeconomia moderna. Thus, building on a simul gratia et oeconomia, Luther's reformation theology can be perceived as the intersection of an economy of grace and a horizontal social economy (works of love) in quotidian life that together constitute human capital.