Recently, some theological ethicists have criticized modern economics for offering a rival theology that undermines an appreciation for creation and God’s gifts. In their view, through the logic of opportunity cost, economics substitutes a tragic world of scarcity for God’s abundance....

When external effects are important, markets will be inefficient, and economists have considered several broad classes of economic instruments to correct these inefficiencies. However, the standard economic analysis has tended to neglect important distinctions and interactions between the...