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The Scale of Entrepreneurship in Middle Eastern History: Inhibitive Roles of Islamic Institutions

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  • Timur Kuran
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    Abstract

    The historical record belies the claim that Islam impeded entrepreneurship by inculcating conformism and fatalism. However, the diametrically opposed view that Islamic institutions are necessarily supportive of entrepreneurship flies in the face of the historical transformations associated with economic modernization. Islamic institutions that served innovators well in the medieval global economy became dysfunctional as the world made the transition from personal to impersonal exchange. The key problem is that Islamic law failed to stimulate the development of organizational forms conducive to pooling and managing resources on a large scale.

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    Bibliographic Info

    Paper provided by Duke University, Department of Economics in its series Working Papers with number 10-14.

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    Length: 56
    Date of creation: 2010
    Date of revision:
    Handle: RePEc:duk:dukeec:10-14

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    Postal: Department of Economics Duke University 213 Social Sciences Building Box 90097 Durham, NC 27708-0097
    Phone: (919) 660-1800
    Fax: (919) 684-8974
    Web page: http://econ.duke.edu/

    Related research

    Keywords: Entrepreneurship; Middle East; Islam; development; business history;

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    Cited by:
    1. Oscar Gelderblom & Abe de Jong & Joost Jonker, 2012. "The Formative Years of the Modern Corporation: The Dutch East India Company VOC, 1602-1623," Working Papers 0036, Utrecht University, Centre for Global Economic History.

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