Objective: Need for the new economic model has been realized at the international level, as numerous and significant flaws have appeared in both two systems capitalism and socialism, which are becoming a great cause for economic crises in almost every economy of the word, in this regard, this study has been carried out on the redefining Islamic economics as a new model, that how it can take out those problems and flaws which has appeared in both structure. Methodology: Islamic economic system doesn't emphasize only on the economic variables it also considers the social variables which have been neglected by both previously and currently practicing systems (socialism and capitalism).current study is a comparative analysis of all said systems. Findings: It has been also observed that in spite of having great strength to winkle out all the economic problems, without interest how we are able to get the profit and what different types of new loan system that is RIBA free and helpful for getting a good profit. Practical Implication: In Islamic economic system the private property is being debated. Government or state should be involved in the only condition if the market is failed to provide public good and education.
Objective: Need for the new economic model has been realized at the international level, as numerous and significant flaws have appeared in both two systems capitalism and socialism, which are becoming a great cause for economic crises in ...
This article analyzes a typical co-operative inquiry which examines ethical alternative finance models and combines elements of African financial system, Islamic finance and a unique mix of neo-modern economic thoughts. The primary purpose is to see if this combination of humanistic models would achieve poverty reduction via action research. Thus the entire eastern part of renewal was embraced, thereby lodging in a co-operative inquiry where the research owner as it were only becomes a facilitator and ready to listen and to learn from experts in finance; covering financial regulators, a donor agency and representatives of financial institutions across banking, insurance and fund management. In other words, the eastern path of renewal is fully adopted in this study being grounded in narrative method, emerging through hermeneutics or interpretive methodology, navigating in the course of critical theory, and ultimately effecting innovation through co-operative inquiry within the context of established and clearly defined research questions. This exploration deals with the four modes of knowing as they unfolded in the co-operative inquiry. The other aspect of the co-operative inquiry involves those areas of policy, which relate to reaching the primary goals of Islam and a moral Islamic economic system via effective regulation. This is expected to move Islamic financial institutions in the direction of authentic economic development rather than just seeking a bigger market share. The co-operative inquiry, then, involves invoking collective agreement with the group members on those issues that will help achieve sustainable Islamic finance-and-development in Nigeria. A theory is then developed and clearly validated by the rules of co-operative inquiry.
This is expected to move Islamic financial institutions in the direction of authentic economic development rather than just seeking a bigger market share.
The enduring debate on institutional pillars of contemporary political economies has gathered a noticeable momentum in terms of the change, path-dependence, and varieties of capitalism. By taking a methodological standpoint claiming that ’the current structure and the future of contemporary societies can only be understood by using an evolutionary and macro institutional approach that would explain the trajectories of social structures from a systemic perspective’, this book first aims at formulating a novel analytical framework thus, Institutional System Analysis in Political Economy. This framework comprises, inter alia, a model of path-dependent changes, and then attempts to apply it to the case of the Ottoman-Turkish social system. In sum, the book develops an ’interaction-theoretic and evolutionarily-structured approach’ with an aim to better capture the path-dependence and change of political, economic, and cultural action in terms of their intersectional dynamics.
By taking a methodological standpoint claiming that ’the current structure and the future of contemporary societies can only be understood by using an evolutionary and macro institutional approach that would explain the trajectories of ...
A Personal Report on Some Pertinent Questions and the Seminar's Response to Them : Based on Seminar on Monetary and Fiscal Economics of Islam, Islamabad, 6-10 January, 1981
The long history of economic and financial crises shows that pro-cyclicality is an inherent feature of the real and financial sectors of an economy. The main feature of pro-cyclicality is an underestimation or overestimation of the risks to which the banking sector is exposed. The Islamic financial system, is also impacted by procyclicality feature. I chose the title; what we know about the Islamic financial system procyclicality; in order to awaken the academics and the researchers to not only focus on the green side of Islamic finance. We have to check theoretically and empirically the weaknesses and the pain of the Islamic financial system in order to complete the Islamic finance theory. This book suggests three Islamic versions of financial accelerator effect in three different markets, Partnership contract market, Sukuk Market and Organized Tawarruq market. The main pains are the forces that push the Islamic Financial System to be a shock amplifier rather than absorber.
This book suggests three Islamic versions of financial accelerator effect in three different markets, Partnership contract market, Sukuk Market and Organized Tawarruq market.
The paper discusses the design of an efficient and optimal corporate governance structure of a firm within Islamic economic system. The objective of this paper is to identify factors, which will influence corporate governance within an Islamic economic system and to examine if corporate governance model will be 'shareholder'- or 'stakeholder'- centered? The paper argues that the governance model in Islamic economic system is a stakeholder-oriented model where governance structure and process at system and firm level protect rights of stakeholders who are exposed to any risk as a result of firm's activities. Whereas conventional system is struggling with finding convincing arguments to justify stakeholders' participation in governance, the foundation of a stakeholder model is found in Islam's principles of property rights, commitment to explicit and implicit contractual agreements and implementation of an effective incentive system. The paper also discusses the implication of a stakeholder model on depositors, Islamic financial institutions, and regulators.
The paper argues that the governance model in Islamic economic system is a stakeholder-oriented model where governance structure and process at system and firm level protect rights of stakeholders who are exposed to any risk as a result of ...
