Pius XI gets it right (for a graph or two anyway):
14. Let Us explain briefly the nature and meaning of this lordship of Christ. It consists, We need scarcely say, in a threefold power which is essential to lordship. This is sufficiently clear from the scriptural testimony already adduced concerning the universal dominion of our Redeemer, and moreover it is a dogma of faith that Jesus Christ was given to man, not only as our Redeemer, but also as a law-giver, to whom obedience is due. Not only do the gospels tell us that he made laws, but they present him to us in the act of making them. Those who keep them show their love for their Divine Master, and he promises that they shall remain in his love. He claimed judicial power as received from his Father, when the Jews accused him of breaking the Sabbath by the miraculous cure of a sick man. “For neither doth the Father judge any man; but hath given all judgment to the Son.” In this power is included the right of rewarding and punishing all men living, for this right is inseparable from that of judging. Executive power, too, belongs to Christ, for all must obey his commands; none may escape them, nor the sanctions he has imposed.
15. This kingdom is spiritual and is concerned with spiritual things. That this is so the above quotations from Scripture amply prove, and Christ by his own action confirms it. On many occasions, when the Jews and even the Apostles wrongly supposed that the Messiah would restore the liberties and the kingdom of Israel, he repelled and denied such a suggestion. When the populace thronged around him in admiration and would have acclaimed him King, he shrank from the honor and sought safety in flight. Before the Roman magistrate he declared that his kingdom was not of this world. The gospels present this kingdom as one which men prepare to enter by penance, and cannot actually enter except by faith and by baptism, which, though an external rite, signifies and produces an interior regeneration. This kingdom is opposed to none other than to that of Satan and to the power of darkness. It demands of its subjects a spirit of detachment from riches and earthly things, and a spirit of gentleness. They must hunger and thirst after justice, and more than this, they must deny themselves and carry the cross.
But then he falls back into the things-go-better-with-Christ meme:
20. If the kingdom of Christ, then, receives, as it should, all nations under its way, there seems no reason why we should despair of seeing that peace which the King of Peace came to bring on earth – he who came to reconcile all things, who came not to be ministered unto but to minister, who, though Lord of all, gave himself to us as a model of humility, and with his principal law united the precept of charity; who said also: “My yoke is sweet and my burden light.” Oh, what happiness would be Ours if all men, individuals, families, and nations, would but let themselves be governed by Christ! “Then at length,” to use the words addressed by our predecessor, Pope Leo XIII, twenty-five years ago to the bishops of the Universal Church, “then at length will many evils be cured; then will the law regain its former authority; peace with all its blessings be restored. Men will sheathe their swords and lay down their arms when all freely acknowledge and obey the authority of Christ, and every tongue confesses that the Lord Jesus Christ is in the glory of God the Father.”
21. That these blessings may be abundant and lasting in Christian society, it is necessary that the kingship of our Savior should be as widely as possible recognized and understood, and to the end nothing would serve better than the institution of a special feast in honor of the Kingship of Christ. For people are instructed in the truths of faith, and brought to appreciate the inner joys of religion far more effectually by the annual celebration of our sacred mysteries than by any official pronouncement of the teaching of the Church. Such pronouncements usually reach only a few and the more learned among the faithful; feasts reach them all; the former speak but once, the latter speak every year – in fact, forever. The church’s teaching affects the mind primarily; her feasts affect both mind and heart, and have a salutary effect upon the whole of man’s nature. Man is composed of body and soul, and he needs these external festivities so that the sacred rites, in all their beauty and variety, may stimulate him to drink more deeply of the fountain of God’s teaching, that he may make it a part of himself, and use it with profit for his spiritual life.
If we applied these parts of the encyclical to the current work of reforming the Vatican Bank, I mean, the Institute on Religious Works, we might recognize the truth of graphs 14 and 15 and see the holes in 20 and 21. In a recent interview with John Allen, George Cardinal Pell admitted that the techniques of modern bureaucratic structures administered by lay people (even secular lay people) may do a better job of overseeing a financial institution than church officers:
Cynics say they’ve seen previous waves of supposed financial reform in the Vatican come and go, and nothing much ever changes. What makes this different?
Nobody in living memory has seen anything like this before. What’s so new are the structural reforms. We’ve now got different focuses of authority and checks and balances. We’re also injecting some of the top financial people from around the world into the leadership of these different agencies, and they won’t stay on these boards if the businesses aren’t run properly.
We’ve never seen such an injection of lay leadership into the senior ranks of the Church as we’re seeing now with finances. That’s extremely healthy, because it’s an area in which we clerics don’t necessarily have any expertise.
Going forward, you won’t be able to change the system back to what it was before simply by changing one person. A whole network of institutions is being set up, with more to come.
The lesson may be, then, that Christ’s spiritual rule is different from his secular rule and that the church operates differently from society. Only Constantine echoing David makes us think Christians hold the key to running the world (and look how well Israel and the Holy Roman Empire turned out).