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Zakat And Inequality: Some Evidence From Pakistan

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  • Geoffrey A. Jehle

Abstract

Zakat is an important form of religiously‐mandated charity under Islam. This paper examines its impact on income inequality in Pakistan. Data from 1987–88 are used to construct two income distributions‐one that would have obtained if zakat had not been given, and one that did obtain when such giving took place. Atkinson‐Kolm‐Sen relative indices of income inequality are computed which show that zakat does reduce measured income inequality in Pakistan. Both intra‐province and inter‐province components of over‐all inequality decline, though the amount of change is small. So give to the kinsman his due, and to the needy, and to the wayfarer. That b best for those who seek Allah's countenance. The Koran

Suggested Citation

  • Geoffrey A. Jehle, 1994. "Zakat And Inequality: Some Evidence From Pakistan," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 40(2), pages 205-216, June.
    • Handle: RePEc:bla:revinw:v:40:y:1994:i:2:p:205-216
    DOI: 10.1111/j.1475-4991.1994.tb00059.x
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    Cited by:

    1. Johnston, David W. & Menon, Nidhiya, 2022. "Income and views on minimum living standards," Journal of Economic Behavior & Organization, Elsevier, vol. 199(C), pages 18-34.
    2. Amjad Naveed & Cong Wang, 2018. "Can religion explain cross-country differences in inequality? A global perspective," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 50(3), pages 481-518, March.
    3. Lambarraa, Fatima & Riener, Gerhard, 2015. "On the norms of charitable giving in Islam: Two field experiments in Morocco," Journal of Economic Behavior & Organization, Elsevier, vol. 118(C), pages 69-84.
    4. Mejda Bouanani & Besma Belhadj, 2019. "Zakat and Poverty Alleviation in Tunisia Using the Fuzzy Approach," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 17(2), pages 421-432, June.
    5. Lambarraa, Fatima & Riener, Gerhard, 2012. "On the norms of charitable giving in Islam: A field experiment," DICE Discussion Papers 59, Heinrich Heine University Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).
    6. Mejda Bouanani & Besma Belhadj, 2020. "Does Zakat reduce poverty? Evidence from Tunisia using the Fuzzy Approach," Metroeconomica, Wiley Blackwell, vol. 71(4), pages 835-850, November.
    7. Rasool, Mohamed & Harun, Mohd & Salleh, Ariffin & Idris, Nor, 2011. "Poverty Measurement in Malaysian Zakat Institutions: A Theoretical Survey," Jurnal Ekonomi Malaysia, Faculty of Economics and Business, Universiti Kebangsaan Malaysia, vol. 45, pages 123-129.
    8. repec:dau:papers:123456789/15015 is not listed on IDEAS
    9. World Bank, 2002. "Poverty Assessment : Poverty in Pakistan - Vulnerabilities, Social Caps, and Rural Dynamics," World Bank Publications - Reports 15335, The World Bank Group.
    10. repec:idn:jimfjn:v:1:y:2016:i:2a:p:1-20 is not listed on IDEAS

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