Notes - Business and Religion - The Intersection of Faith and Finance

November 23, 2024

Chapter 1: In the Lord's Way: The Spiritual Foundations of Church Financial Self-Reliance

Overview of Chapter 1

This chapter, written by Bishop Gérald Caussé, the Presiding Bishop of The Church of Jesus Christ of Latter-day Saints, focuses on the spiritual principles that guide the Church's approach to financial management. Bishop Caussé, responsible for the Church's temporal affairs, outlines four key principles derived from Church history and revelations received by the Prophet Joseph Smith.

Principle 1: Tithing

The law of tithing, as revealed in Doctrine and Covenants 119:3–4, serves as the foundation for the Church’s financial management. Leaders have consistently emphasized that tithing is not merely a financial obligation but a spiritual principle that brings blessings to both the giver and the receiver. Historically, Church publications and leaders have stressed the importance of tithing even in times of financial hardship, like the period following the Saints’ arrival in the Salt Lake Valley.

Principle 2: The Lord’s Storehouse

This principle, rooted in the scriptural account of Joseph in Egypt, emphasizes that the Church's financial resources are not simply its own but belong to the Lord. This understanding underscores the sacred nature of tithing funds and the responsibility of Church leaders to use them wisely and prudently. A significant historical example of this principle is the practice of the First Presidency, the Quorum of the Twelve Apostles, and the Presiding Bishopric meeting annually to carefully allocate tithing funds for the following year.

Principle 3: Provident Living

Drawing on the experience of the Saints during their migration West in 1846–47, this principle highlights the importance of preparation and self-reliance. The Saints were counseled to gather enough supplies and prepare for challenges they might encounter during their journey. This historical event, along with modern-day prophecies of calamities, has shaped the Church's emphasis on provident living, encouraging members to establish home storage and build financial reserves.

Principle 4: In the Lord’s Own Way

This principle emphasizes that the Church's approach to financial management should not rely solely on human wisdom but should be guided by divine inspiration and the power of the priesthood. This concept is illustrated by an anecdote shared by Bishop Caussé, in which he was instructed by President Boyd K. Packer to read the second chapter of 1 Corinthians, prompting him to reflect on the importance of accessing God's power in fulfilling his responsibilities.

Chapter 2: Financing Faith: Latter-day Saints and Banking in the 1830s and 1840s

Introduction

Sharon Ann Murphy, a history professor at Providence College, presented the second keynote address at the symposium. She is an expert in banking history and provides an outside perspective on how trends in American society influenced Latter-day Saint finances. This chapter discusses the Kirtland Safety Society, a financial institution started by members of the Church of Jesus Christ of Latter-day Saints in Kirtland, Ohio.

Banking in the 1830s

Murphy first explains the banking climate in the United States in the 1830s. She describes a bank as a financial intermediary that facilitates the exchange of money between creditors and borrowers by issuing banknotes that promise to pay back gold or silver on demand. This system, known as fractional-reserve banking, assumes that only a portion of banknotes will be redeemed at any given time. Murphy points out that the banking system in the early United States was confusing due to the lack of a national bank and the variety of currencies in circulation.

Kirtland Safety Society

Murphy then discusses the creation of the Kirtland Safety Society. She explains that the Kirtland Safety Society began as a way for Church leaders to address the financial needs of the growing community in Kirtland. The organization initially intended to operate as a joint-stock company, but when the Ohio legislature refused to grant it a charter, it reorganized as an "anti-bank". Church leaders likely saw this "anti-bank" as a loophole around the restrictive banking laws of the time.

Public Perception and Challenges

Newspapers of the time printed conflicting reports on the Kirtland Safety Society, with some stating that the Society had stopped redeeming its banknotes while others claimed that it was still redeeming them with gold and silver. This conflicting information could hardly inspire public confidence. Ohio newspapers began to caution people against taking the Society's banknotes.

Contributing Factors to the Failure of the Kirtland Safety Society

Murphy provides a nuanced view of the factors that led to the failure of the Kirtland Safety Society:

• The Panic of 1837. The economic crisis known as the Panic of 1837 affected many financial institutions in the United States and placed enormous pressure on the Kirtland Safety Society.
• Opposition from Non-Mormons. The Society faced significant opposition from non-Mormons who were suspicious of the Church and its leaders.
• Inexperience and Lack of Public Confidence. The lack of experience of Church leaders in managing a financial institution also contributed to the failure of the Kirtland Safety Society.

Chapter 3: Consecration and Controversy: Ezra Thayer, Leman Copley, and Early Conflicts over Consecrated Properties

Ezra Thayer and the First Attempt at Consecration

• Ezra Thayer joined the Church on May 15, 1831, and shortly thereafter received a revelation directed to him, in which he was commanded to consecrate his property to the Church.
• Days after the revelation, Thayer was ordained to the High Priesthood and called to serve a mission to Missouri.
• As part of his consecration, Thayer purchased land with Frederick G. Williams and Joseph Smith Sr. for the purpose of settling Church members in Thompson, Ohio.
• Before leaving for Missouri, Thayer asked for a "writing" or legal document that acknowledged his contribution.
• This request exposed a limited understanding of the law of consecration, which requires relinquishing ownership of property to the Church, thereby forfeiting any future claim.
• Thayer's request for a deed to consecrated land highlighted the tension between personal property rights and communal ownership in the early Church.

Leman Copley and the Second Attempt at Consecration

• Leman Copley was a wealthy landowner in Thompson who allowed newly converted Saints to settle on his property.
• In June 1831, a revelation instructed Copley to allow Saints to live on his farm as long as they followed Church principles, but did not initially require him to consecrate his land.
• However, shortly thereafter, another revelation commanded Copley to consecrate his farm to the Church to help support incoming members.
• The revelation highlighted the principle of communal ownership, emphasizing that those who consecrated their property would be provided for by the Church.

Challenges to Consecration

• Copley resisted the commandment and ultimately withdrew from the Church, refusing to give up his farm.
• Copley's resistance stemmed from the clash between his desire to maintain individual ownership and the communal principles of the Church.
• These experiences with Thayer and Copley demonstrated the challenges of implementing the law of consecration.
• Church leaders learned from these early attempts and realized the need for clear legal titles to consecrated land, which influenced the development of future economic practices.

Chapter 4: Zion’s Co-operative Mercantile Institution: The Rise and Demise of the Great Retail Experiment

Initial Goals and Early Operations

• The initial goal of ZCMI (Zion's Co-operative Mercantile Institution) was to combat poverty and ensure community benefits. At the April 1869 General Conference, Brigham Young urged bishops to prioritize shares for poor members, allowing them to invest small amounts like five or twenty-five dollars rather than allowing wealthy members to control the majority of the shares.
• This vision aimed to empower less affluent individuals and promote a more equitable distribution of wealth within the community.

A Unique Blend of Religion and Economics

• While ZCMI's constitution outlined a traditional corporate structure, its bylaws revealed a distinct religious dimension.
  • The organization sought to operate in harmony with God's laws and prioritize community welfare.
  • This fusion of religious principles and economic practices underscored the organization's commitment to integrating faith and daily life.

Evolution and Challenges

• ZCMI expanded rapidly after its establishment in 1868, opening branch stores across Utah and extending its reach into neighboring territories like Arizona and Idaho.
• However, the organization also faced challenges.
  • Competition from non-Mormon merchants posed a significant threat, as these businesses often received backing from national wholesale houses.
  • This competition underscored the complex relationship between the Mormon community and the broader economic landscape.

Transformation and Legacy

• By the early twentieth century, ZCMI had transitioned from a cooperative to a conventional department store chain.
  • This shift reflected the changing economic climate and the organization's adaptation to new market realities.
• Despite its eventual sale and absorption into national chains, ZCMI left a lasting impact on the Intermountain West.
  • The organization's legacy includes its contributions to the development of retail practices and its role in shaping community identity.

Parallels to Welfare Practices

• ZCMI's cooperative spirit and emphasis on community well-being foreshadowed the Church's later welfare program.
  • This program, established during the Great Depression, sought to provide for the needy and promote self-reliance.
  • ZCMI can be seen as an early experiment in social and economic principles that would continue to inform the Church's approach to community welfare.

Chapter 5: Striving for Cooperation and Economic Improvement: The Straw-Braiding Home Industry

Introduction

This chapter, written by Patricia Lemmon Spilsbury, examines the straw-braiding home industry that allowed British families to emigrate to America and join the Saints in the nineteenth century. The chapter highlights the importance of women's economic contributions to family and community life, especially during times of hardship.

Straw Braiding and Emigration

The chapter begins by explaining how two British families used the straw-braiding industry to finance their emigration to America to join the Saints. They sold bundles of straw and also braided it into hats for sale. The process of preparing the straw required readily available materials, making it an accessible source of income.

Women's Economic Roles

The chapter emphasizes the vital economic role of women in the Latter-day Saint community, both in Utah and during the gathering to the American West. The demanding circumstances required contributions from all community members, including men, women, and children. Women often took on full responsibility for providing for their families, especially during high mortality rates and mission calls that took men away from home. Historian Carol Cornwall Madsen's observation is quoted, highlighting how women in Nauvoo adapted to economic challenges by using their domestic skills to support their families.

The Straw-Braiding Industry

The chapter provides a detailed account of the straw-braiding industry, explaining the processes and materials involved. It also discusses the industry's history and significance in various cultures, referencing historical sources like the British Museum and writings on ancient Egypt. The chapter also mentions the work of historians like Thomas Dublin and Laurel Thatcher Ulrich, who have written about the transformation of women's work and the importance of domestic skills in historical contexts.

Examples of Straw Braiding in Latter-day Saint Communities

The chapter presents examples of Latter-day Saint women who engaged in straw braiding, highlighting their contributions to their families and communities. It mentions specific individuals and families, like Hamilton Gardner and the Austin family, drawing on sources like "History of Lehi" and publications by the Daughters of Utah Pioneers.

Relief Society and Economic Initiatives

The chapter discusses the Relief Society's involvement in promoting economic self-sufficiency among women. It references publications in the "Woman's Exponent," a periodical for Latter-day Saint women, that encouraged straw braiding and other home industries. The chapter also provides examples of Relief Society reports and initiatives aimed at supporting women's economic endeavors.

Chapter 6: The Last Best West: The Politics of Cooperation Among Latter-day Saints in Southern Alberta

Introduction

Chapter 6 of "Business and Religion: The Intersection of Faith and Finance" focuses on the unique blend of religious and economic motivations that shaped the Latter-day Saint communities in Southern Alberta, Canada. The chapter highlights the role of cooperation in their economic practices and political views, drawing parallels with the broader agrarian movement in the region.

Escaping Persecution, Embracing the Frontier

The chapter begins by explaining that the Latter-day Saint settlements in Alberta were, in part, a response to the persecution they faced in the United States for their practice of plural marriage. Driven by their desire for religious freedom and economic opportunity, these settlers were drawn to the vast, open prairies of Canada. Upon arriving in Alberta, they were met with a social environment that valued independence and challenged established hierarchies.

Henry Wise Wood and the UFA

The chapter introduces Henry Wise Wood, a prominent figure in the United Farmers of Alberta (UFA). Wood's leadership was deeply influenced by his progressive evangelical Protestant beliefs, which emphasized social cooperation as a path towards individual and societal moral perfection. His vision resonated with the Latter-day Saints, who were already predisposed to communitarian economic models.

Cooperation in Practice: Economic Ventures

The chapter provides examples of cooperative economic ventures undertaken by the Latter-day Saint communities in Alberta. These included:

• Cooperative stores: These stores aimed to provide goods and services to the community at fair prices, challenging the exploitative practices of some non-Mormon merchants.
• Grain Growers' Grain Company: This organization sought to give farmers more control over the sale and distribution of their grain.
• United Grain Growers: Building upon the Grain Growers' Grain Company, this cooperative aimed to provide farmers with greater economic independence and bargaining power.

These ventures reflect the Latter-day Saints' commitment to collective economic action, principles rooted in their religious beliefs and reinforced by the agrarian ideology prevalent in Alberta.

Political Engagement and Shared Values

The chapter illustrates how the Latter-day Saints' embrace of cooperation extended to the political sphere. They found common ground with the UFA, particularly in its advocacy for policies that supported farmers and rural communities. This alliance contributed to the UFA's electoral success, showcasing the shared values and goals of the two groups.

Navigating Tensions and Adapting to Change

Despite their shared commitment to cooperation, the chapter acknowledges that there were also points of tension between the Latter-day Saints and the broader UFA movement. The UFA's secular ideology sometimes clashed with the religious beliefs of the Latter-day Saints. Yet, the chapter emphasizes the Latter-day Saints' ability to adapt and navigate these differences, ultimately contributing to the unique cultural and political landscape of Alberta.

Chapter 7: The Mail, the Trail, and the War: The Brigham Young Express and Carrying Company

The Founding of the Brigham Young Express and Carrying Company

• In 1856, Brigham Young sought faster and more secure communication with Church leaders in the Eastern United States and Europe.
• Young founded the Brigham Young Express and Carrying Company as a private, for-profit entity and encouraged Latter-day Saint merchants and Church leaders to purchase stock in the company.
• Young viewed the express company as a way to increase revenue and profits for the Church and its members, as opposed to enriching “ostentatious, proud and epicurean gentiles.”

Goals of the Express Company

• The Brigham Young Express and Carrying Company aimed to transport mail, passengers, and freight between Salt Lake City and the Missouri River.
• The company planned to charge 25 cents per letter, significantly less than the prevailing rate of $1 per half-ounce letter, and to reduce freight costs to 12.5 cents per pound.

Mail Contract and Conflict

• Young believed that a mail contract from the U.S. government would legitimize the company and provide much-needed revenue.
• However, the mail contract was awarded to Hiram Kimball, a non-Mormon, which angered Young.
• Young’s pursuit of the mail contract coincided with rising tensions between the U.S. government and the Latter-day Saints in Utah, ultimately contributing to the outbreak of the Utah War in 1857.

Impact of the Utah War

• The Utah War disrupted the operations of the express company and exacerbated tensions between the Latter-day Saints and the U.S. government.
• Despite the challenges, the Brigham Young Express and Carrying Company briefly transported mail between Salt Lake City and the Missouri River.
• The company ceased operations in 1861 after the completion of the transcontinental telegraph line and the outbreak of the American Civil War.

Legacy of the Express Company

• While the Brigham Young Express and Carrying Company had a relatively short lifespan, it represented Young’s vision for economic independence and efficient communication for the Latter-day Saints.
• The company's focus on providing faster and more affordable mail and transportation services foreshadowed the eventual arrival of the transcontinental railroad and telegraph, which dramatically transformed communication and transportation in the American West.
• The mail-and-war episode led to increased distrust between the Latter-day Saints in Utah and outside entrepreneurs, with the Latter-day Saints resisting outside influence and control over their local industries.
• The eventual completion of the transcontinental railroad and telegraph fulfilled Young’s vision for efficient communication and transportation, facilitating the arrival of new settlers, businesses, and ideas to Utah Territory.

Insights and Explanations

• Brigham Young’s entrepreneurial spirit and desire for economic independence for the Latter-day Saints are evident in his founding of the Brigham Young Express and Carrying Company. He sought to create a viable business that would benefit the Church and its members, reducing their reliance on non-Mormon businesses and individuals.
• The mail contract controversy and the subsequent Utah War highlight the complex relationship between the Latter-day Saints and the U.S. government during this period. Young’s efforts to secure the mail contract were perceived as a challenge to federal authority, further fueling existing tensions and suspicions.
• The ultimate demise of the express company underscores the rapid technological advancements of the mid-nineteenth century, with the transcontinental telegraph and railroad ultimately eclipsing the need for stagecoach-based mail and transportation services. Despite its short existence, the Brigham Young Express and Carrying Company played a significant role in shaping the economic and political landscape of Utah Territory during a pivotal period in its history.

Chapter 8: Off-the-Books Warfare: Financing the Utah War's Standing Army of Israel

Overview of Chapter 8

Chapter 8 of "Business and Religion: The Intersection of Faith and Finance", authored by William P. MacKinnon, examines the financing of the Standing Army of Israel during the Utah War (1857-1858). The chapter challenges the perception of Brigham Young as a meticulous financial manager, arguing that record-keeping often lacked a clear purpose and highlighting the use of force and intimidation in acquiring resources for the war effort.

Brigham Young's Approach to Financial Management

The sources depict Brigham Young as a prolific record keeper. Upon his death, his estate included a vast collection of financial ledgers documenting a wide range of Church, business, and personal activities. This meticulous record-keeping led some contemporaries to view him as a skilled financial manager. However, the chapter argues that Young’s record-keeping was more focused on documenting transactions than on strategic financial planning.

Financing the Standing Army of Israel

The chapter highlights the lack of formal budgets, financial analyses, or feasibility studies for the Standing Army of Israel. It states that Young's primary concern was ensuring that transactions were recorded, even in cases of questionable morality, as exemplified by the murder of ammunition trader Richard E. Yates. The chapter describes how Young directed the acquisition of resources for the Standing Army through both voluntary donations and the forceful seizure of goods from US Army contractors and travelers.

Use of Force and Intimidation

The sources reveal that Young often resorted to intimidation and threats to acquire necessary supplies. For instance, when Yates refused to sell his ammunition to the Legion, he was killed, and Young’s focus was on inventorying the seized goods rather than addressing the murder. Similar tactics were employed to obtain horses, mules, beef cattle, and other necessities. The chapter argues that this reliance on force and coercion, coupled with Young’s emphasis on record-keeping, ultimately hindered the effective financing and management of the Standing Army.

Legacy of the Utah War's Financing

The chapter concludes that the ad hoc and often forceful methods used to finance the Standing Army of Israel had lasting consequences for the Church. This off-the-books approach sowed distrust between the Latter-day Saints and the US government and reinforced a culture of resistance to external influences.

Key Insights from Chapter 8

• Brigham Young’s record-keeping, while extensive, often lacked a clear financial strategy or purpose.
• The financing of the Standing Army of Israel was characterized by a lack of formal planning and a reliance on forceful acquisition of resources.
• Young’s use of intimidation and violence to obtain supplies had negative consequences for the Church’s reputation and relationships with outsiders.
• The Utah War's financing methods contributed to a growing sense of isolation and distrust between the Latter-day Saints and the US government.

Chapter 9: “We Cannot Sit Down Quietly and See Our Children Starve”: An Economic Portrait of a Nineteenth-Century Polygamous Household in Utah

Introduction

This chapter, written by Sherilyn Farnes, examines the economic experiences of Eliza and Caroline Partridge as plural wives of Amasa Lyman, a prominent leader in The Church of Jesus Christ of Latter-day Saints. The chapter focuses on the financial struggles and complexities of plural marriage in nineteenth-century Utah, challenging common stereotypes and providing a nuanced perspective on the lives of women within this system.

Amasa Lyman's Financial Situation

• Amasa Lyman, despite his high Church position, was not a particularly successful provider.
• This was partly due to his frequent absences from Utah, often traveling to California, where he sometimes experienced financial losses.
• The pressure associated with his Church rank likely influenced his decision to enter plural marriage, even though he may not have had the resources to adequately support multiple wives and children.
• Lyman's financial struggles were a source of stress and hardship for his wives, Eliza and Caroline.

Eliza and Caroline's Experiences

• Both Eliza and Caroline experienced financial hardship as plural wives.
• Eliza's journal entries reveal the difficulties of managing household finances and the challenges of relying on Amasa's unpredictable income.
• She often had to make do with limited resources and find creative ways to provide for her family.
• The division of goods among plural wives was a potential source of conflict and contention.
• Eliza's journal entry describing the distribution of goods sent by Amasa from California suggests a potential for disagreement or criticism, even if subtly expressed.
• Her later comment about living without bread while others in the family had excess suggests inequalities in the allocation of resources.

The Complexities of Plural Marriage

• The chapter highlights the complexities of plural marriage and the varied experiences of women within the system.
• While some plural wives may have enjoyed economic security, others, like Eliza and Caroline, faced significant financial challenges.
• Amasa Lyman's case demonstrates that not all men who entered plural marriage were wealthy or capable providers.
• The chapter emphasizes the importance of considering individual experiences when studying plural marriage, avoiding generalizations and stereotypes.

Chapter 10: Financing the Standing Army of Israel: Brigham Young, the Utah War, and the Limits of Mormon Economics

Introduction

This chapter examines the economic factors surrounding the Standing Army of Israel, a militia organized by Brigham Young during the Utah War (1857–1858). The chapter argues that Brigham Young's leadership style, which emphasized personal management and detailed recordkeeping, had limitations when applied to the complex economic challenges of wartime mobilization.

Brigham Young's Approach to Finances

• Brigham Young kept meticulous records of his personal, Church, and business affairs.
• He left behind hundreds of financial ledgers, documenting a wide range of activities.
• Young's recordkeeping was thorough, but he did not necessarily use the information for financial analysis or planning.
• His emphasis was on recording transactions rather than using them for strategic decision-making.

The Standing Army of Israel

• The Standing Army of Israel was formed in 1857 in response to the perceived threat from the approaching United States Army.
• The militia was intended to defend the Mormon settlements in Utah Territory.
• Brigham Young appointed Daniel H. Wells as commander and instructed him to acquire supplies, including arms and ammunition.

Challenges of Financing the War Effort

• Limited Resources: The Mormon community in Utah was relatively isolated and lacked the financial resources to sustain a prolonged military campaign.
• Lack of Budgeting and Planning: The chapter highlights the absence of formal budgets, cost analyses, or feasibility studies for the war effort.
• Brigham Young’s directives often focused on acquiring supplies without clear consideration of costs or long-term economic implications.
• Confiscation and Looting: The Standing Army frequently resorted to seizing goods and livestock from travelers and US Army contractors, often without compensation.
  • The chapter provides the example of Richard E. Yates, an ammunition trader who was murdered after refusing to sell his supplies to the militia.
  • Young's instructions in the Yates case focused on inventorying the seized goods rather than addressing the ethical and legal implications of the killing.

The Economic Burden on the Community

• Financing the Standing Army placed a significant strain on the Mormon community.
• Individuals and families were expected to donate supplies, livestock, and money.
• The war effort diverted resources from other essential activities and slowed economic development.

Legacy and Lessons Learned

• The chapter concludes that Brigham Young's approach to financing the Utah War had limitations.
• His meticulous recordkeeping did not translate into effective financial planning or resource allocation.
• The reliance on confiscation and looting had damaging long-term consequences, fostering distrust between the Mormon community and outsiders.

Chapter 11: Financing Faith: Latter-day Saints and Banking in the 1830s and 1840s

Introduction

This chapter, written by Sharon Ann Murphy, a professor of history at Providence College, examines the financial ventures of the Latter-day Saint community in the 1830s and 1840s, specifically focusing on their experiences with banking during a turbulent period in American financial history.

Banking in the 1830s

Murphy begins by setting the historical context, describing the complexities of the American banking system in the 1830s. She explains that banks functioned as intermediaries between those with money to lend and those seeking loans. They accomplished this by issuing banknotes, which were essentially promises to pay back the equivalent value in gold or silver on demand. This system, called fractional-reserve banking, operated on the principle that only a fraction of banknotes would be redeemed at any given time.

The absence of a national bank resulted in a diverse and often confusing array of currencies issued by state-chartered banks. Murphy points out that this decentralized system made banking practices highly susceptible to economic fluctuations and public confidence.

The Kirtland Safety Society

Murphy then turns her attention to the establishment of the Kirtland Safety Society, a financial institution founded by members of the Church of Jesus Christ of Latter-day Saints in Kirtland, Ohio. The Society emerged from the community's need to address the financial challenges of a rapidly growing population.

Initially, the Society intended to function as a joint-stock company. However, when the Ohio legislature denied its application for a charter, it was reorganized as an "anti-bank," a strategic move aimed at circumventing the state's restrictive banking laws. Church leaders likely viewed this "anti-bank" structure as a way to provide essential financial services to their community while navigating legal obstacles.

Public Perception and Challenges

The Kirtland Safety Society encountered a wave of negative publicity, fueled by conflicting reports in newspapers across the country. Some publications claimed the Society had suspended payments on its banknotes, while others maintained it continued to redeem them with specie (gold or silver). These contradictory accounts eroded public trust and confidence in the institution.

Local Ohio newspapers advised their readers to exercise caution when accepting the Society's banknotes. This skepticism underscored the challenges the Society faced in establishing legitimacy and gaining public acceptance.

Contributing Factors to the Failure of the Kirtland Safety Society

Murphy argues that the Kirtland Safety Society's demise cannot be attributed to a single cause, but rather a confluence of factors that converged to create a perfect storm.

• The Panic of 1837: The economic crisis, known as the Panic of 1837, sent shockwaves through the American economy and triggered a widespread banking collapse. The Kirtland Safety Society, already grappling with pre-existing challenges, proved unable to withstand the financial pressures of this nationwide panic.
• Opposition from Non-Mormons: The Society faced deep-seated suspicion and hostility from non-Mormon segments of the population. This opposition stemmed from a combination of religious prejudice and distrust of the Church's growing economic influence.
• Inexperience and Lack of Public Confidence: The leadership of the Kirtland Safety Society, largely comprised of Church leaders with limited financial expertise, struggled to navigate the intricacies of banking practices. This lack of experience, coupled with the already fragile public perception of the institution, further contributed to its downfall.

Chapter 12: The Thousand-Dollar Class: The Church's Economic Elite, 1917–18

The Thousand-Dollar Class

• In 1918, the Presiding Bishopric of the Church of Jesus Christ of Latter-day Saints sent a letter to the 64 members who tithed $1,000 or more during 1917, which would be roughly equivalent to $19,500 in 2017.
• While the Bishopric didn't reveal the amount each person donated, they did list contributors by the amount given.
• The Bishopric cautioned those receiving the letter to remember that some of the most faithful tithe payers could only afford to donate a small amount.
• They also suggested that those who received the letter might consider increasing their donations if they weren't tithing their full income.
• Joseph F. Smith noted in 1899 that it was easier for a poor man to pay tithing than a rich man.
• Receiving these letters put these Latter-day Saints into what was known at the time as the "thousand-dollar class", while 98 percent of tithe payers in 1917 donated $300 or less.

Contributions of the Thousand-Dollar Class

• The contributions from the thousand-dollar class were a significant source of income for the Church, even though the majority of the Church membership contributed a much larger amount collectively.
• The total contributions of the 64 individuals can be confidently estimated.
• Thanks to D. Michael Quinn's research, the 18 highest tithe payers are known to have donated $100,973.
• The last 11 on the list donated roughly $1,000 each, for a total of $11,000.
• 9 others donated between $1,020 and $1,143.
• The other 26 individuals donated between $1,143 and $2,970.
• Using these figures, the total from the thousand-dollar class was more than $151,000, but less than $200,000.
• In 1914, Church leaders reported $1,887,920 in tithing disbursements.
• Assuming similar expenses in 1917, this means that the thousand-dollar class provided 8-10 percent of the Church's revenue from tithing.
• This was a significant amount, although the smaller contributions of other members provided the Church with the bulk of its tithing receipts.

Chapter 13: The Church’s Economic Elite, 1917–18

The Thousand-Dollar Class

• In 1918, the Presiding Bishopric sent letters to 64 Church members who tithed $1,000 or more in 1917. This amount is roughly equivalent to $19,500 in 2017.
• These members represented the Church’s economic elite, known as the “thousand-dollar class.”
• The bishopric stressed that faithfulness in tithing wasn’t determined by the amount donated, emphasizing the importance of even small contributions.
• They also highlighted the principle of tithing one's income "more strictly", suggesting some recipients could consider increasing their donations.
• Joseph F. Smith's observation from 1899 is quoted, noting that wealth can sometimes hinder one's generosity towards God.

Profiles of Notable Contributors

• The chapter examines the lives and economic activities of several prominent members of the thousand-dollar class.
  • Andrew Lars Hyer: A successful farmer and businessman from Cache Valley, Utah. He held leadership positions in various agricultural and business ventures.
  • David Parrish Howells: A mining entrepreneur who made his fortune in the copper industry. He invested in various mining operations, including the Utah Copper Company.
  • Heber Jedediah Grant: A prominent Church leader who later became the seventh President of the Church. He was known for his business acumen and involvement in various enterprises.
  • Charles Wilson Nibley: A successful businessman and Church leader who played a key role in the development of the Utah-Idaho Sugar Company.
  • Jesse William Knight: A mining magnate known for his discovery of the Humbug mine in the Tintic Mining District. He became a philanthropist, supporting various educational and religious causes.
  • John R. Winder: A Church leader and businessman who served as a member of the Presiding Bishopric. He was involved in various economic ventures, including real estate and banking.

Religious Conversion and Economic Success

• The chapter highlights the story of John F. Gammeter, a non-Mormon businessman from Ohio who joined the Church after witnessing the faith and commitment of Latter-day Saints.
• Gammeter's conversion underscores the impact of religious principles on economic behavior.
• His experience demonstrates how faith can inspire individuals to achieve financial success and contribute generously to their religious community.

Significance of Tithing Contributions

• The chapter emphasizes the importance of both large and small tithing contributions for the Church's financial well-being.
• While the thousand-dollar class represented a significant source of income, the collective contributions of the broader membership provided the bulk of tithing revenue.
• The financial stability of the Church depended on the contributions of all its members, regardless of their economic status.

Chapter 14: The Church Security Plan: A Forerunner to the Welfare Program

A Time of Crisis and Response

• During the 1920s and 1930s, The Church of Jesus Christ of Latter-day Saints, like the rest of the nation, faced the dire consequences of the Great Depression.
• The economic turmoil had a significant impact on the Church's membership, leading to widespread unemployment, poverty, and a decline in tithing revenues.
• In response to this crisis, Church leaders, under the direction of President Heber J. Grant, sought ways to provide relief and support to struggling members.

Inspiration and Early Initiatives

• The concept of the Church Security Plan emerged from a revelation received by President Grant on August 20, 1931.
• This revelation highlighted the importance of self-reliance and emphasized the Church's responsibility to care for the poor and needy.
• The sources do not include the exact text of this revelation.
• President Grant's address to Church members on October 4, 1931, further articulated the principles and objectives of the plan.
• He called for members to work together in a spirit of cooperation and sacrifice to overcome the economic challenges.

Key Principles and Goals

• The Church Security Plan aimed to promote self-sufficiency and reduce reliance on government assistance.
• Central to the plan was the concept of provident living, encouraging members to live within their means, avoid debt, and establish home storage to prepare for future needs.
• The plan also emphasized employment and work opportunities, aiming to create jobs and provide skills training to help members become financially independent.

Organizational Structure and Implementation

• The Church Security Plan was implemented through a hierarchical structure, with responsibilities delegated to different levels of Church leadership.
• Regional committees were established to coordinate relief efforts and oversee the distribution of resources.
• Local wards were encouraged to develop their own projects and initiatives, tailored to the specific needs of their communities.
• This decentralized approach allowed for flexibility and responsiveness to varying economic conditions.

Practical Applications and Projects

• The Church Security Plan manifested itself in a variety of practical ways:
  • Establishment of storehouses: These facilities gathered and distributed food, clothing, and other essential items to those in need.
  • Agricultural initiatives: The Church encouraged members to cultivate their own gardens and farms, both to provide for themselves and to contribute to the common good.
  • Employment programs: The plan included efforts to create job opportunities, often involving public works projects or the development of local industries.
• These practical applications helped to alleviate immediate suffering while also instilling principles of self-reliance and community cooperation.

A Bridge to the Welfare Program

• The Church Security Plan served as a crucial precursor to the Church's formal welfare program, which was established in 1936.
• Many of the principles, structures, and practices developed during the Security Plan were incorporated into the welfare program.
• This continuity highlights the evolutionary nature of the Church's approach to caring for the poor and needy, adapting and refining its methods in response to changing circumstances.

Chapter 15: In the Lord's Way: The Spiritual Foundations of Church Financial Self-Reliance

Introduction

This chapter, written by Presiding Bishop Gérald Caussé, outlines the spiritual principles guiding the Church's financial management. It emphasizes the importance of stewardship, provident living, and doing things “in the Lord’s own way.”

Stewardship and Divine Guidance

Bishop Caussé begins by highlighting that Church teachings on temporal matters, such as tithing, the law of the fast, and the need for self-reliance, are not just practical advice but commandments rooted in spiritual principles. He states that the Church's financial practices are simply an extension of the principles it teaches its individual members. The chapter emphasizes the Church's unique structure and function, arguing it is not a human organization but one based on spiritual principles revealed through Joseph Smith and Church history.

Four Guiding Principles

The chapter outlines four key principles governing the Church's financial decisions:

1. Revelation: Bishop Caussé explains the process by which the Church receives divine guidance for allocating its funds. He describes the annual council where the First Presidency, Quorum of the Twelve Apostles, and Presiding Bishopric meet to decide how to use tithing and offerings, ensuring a spirit of counseling, revelation, and unity. He emphasizes the responsibility felt by Church leaders to use these sacred funds appropriately and pleasing to the Lord, referencing statements by Elder David A. Bednar and President Gordon B. Hinckley.
2. Self-Reliance: The chapter underscores the importance of self-reliance, citing President Hinckley's counsel to live within one's means, avoid debt, and prepare for the future. Bishop Caussé connects this principle to the Church's financial independence, noting its commitment to avoid debt and curtail programs if necessary. He then lists two specific policies followed by the Church: expenditures not exceeding forecasted revenue and operating budget increases not exceeding anticipated tithing growth.
3. Provident Living: Bishop Caussé uses the example of the Saints gathering at Winter Quarters in 1846-47 to illustrate the principle of provident living. He points to the Lord's counsel to prepare for the journey and help those following behind. He connects this historical event to modern-day counsel for Church members to establish home storage and build financial reserves in preparation for potential calamities and unforeseen circumstances.
4. The Lord's Own Way: This principle is explained through Bishop Caussé's personal experience with President Boyd K. Packer, who asked him to read 1 Corinthians 2, emphasizing the verse about faith standing not in human wisdom but in God's power. The chapter underscores that while the Church utilizes financial analyses and macroeconomic indicators, its ultimate goal is to fulfill the Lord's designs. This requires inspiration and priesthood power, reflecting the principle of doing things in the Lord's own way.