IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/41438.html
   My bibliography  Save this paper

An analytical study of al-Ghazali’s thought on money and interest

Author

Listed:
  • Islahi, Abdul Azim

Abstract

The present paper concentrates to study an important aspect of al-Ghazali economic thought, money and interest, and with rigorous analysis it attempts to explore its relevance and application in the modern period. Al-Ghazali recognizes money as one of the most important inventions in conduct of the economic affairs. He offers a rather sophisticated discourse as to the evolution of money and its various functions. He explains how money overcomes the problems of barter system such as lack of a common denominator, indivisibility of good and the problem of double coincidence of wants. These ideas of al-Ghazali are almost identical to those found in contemporary texts. He condemns those who hoard money or convert them into other objects. He discusses the harmful effect of counterfeiting and currency debasement. However, he allows for the possibility of representative or token money.

Suggested Citation

  • Islahi, Abdul Azim, 2001. "An analytical study of al-Ghazali’s thought on money and interest," MPRA Paper 41438, University Library of Munich, Germany, revised 2001.
    • Handle: RePEc:pra:mprapa:41438
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/41438/1/MPRA_paper_41438.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Islahi, Abdul Azim, 1982. "Economic thought of Ibn al-Qayyim (1292–1350)," MPRA Paper 41369, University Library of Munich, Germany, revised 1984.
    2. Islahi, Abdul Azim & Ghazanfar, Shaikh Mohammad, 1998. "Economic Thought of al-Ghazali," MPRA Paper 53465, University Library of Munich, Germany, revised 2011.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Islahi, Abdul Azim, 2005. "Contributions of Muslim Scholars to the History of Economic Thought and Analysis upto 15th Century," MPRA Paper 53462, University Library of Munich, Germany.
    2. Abdul Azim Islahi, 2014. "History of Islamic Economic Thought," Books, Edward Elgar Publishing, number 16105.
    3. Abdul Azim Islahi, 2005. "Contributions of Muslim Scholars to Economic Thought and Analysis مساهمات علماء المسلمين في الفكر والتحليل الاقتصادي," Books published by the Islamic Economics Institute, KAAU., King Abdulaziz University, Islamic Economics Institute., edition 1, number 38, July.
    4. Ghassan, Hassan B., 2016. "Re-examining the equation of exchange according to Shariah rationale money," MPRA Paper 91666, University Library of Munich, Germany, revised Jul 2018.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mervyn K. Lewis, 2014. "Principles of Islamic corporate governance," Chapters, in: M. Kabir Hassan & Mervyn K. Lewis (ed.), Handbook on Islam and Economic Life, chapter 13, pages iii-iii, Edward Elgar Publishing.
    2. Islahi, Abdul Azim, 2005. "Contributions of Muslim Scholars to the History of Economic Thought and Analysis upto 15th Century," MPRA Paper 53462, University Library of Munich, Germany.
    3. Jaelani, Aan, 2017. "Economic philosophy of al-Mawardi: Review of economic behaviour in Islamic economic," MPRA Paper 84488, University Library of Munich, Germany, revised 18 Jan 2018.
    4. Jaelani, Aan, 2015. "Kontribusi Sarjana Muslim bagi Peradaban Eropa: Melacak Akar Sejarah dan Perkembangan Ekonomi [Muslim Scholars Contribution for European Civilization: The Roots of History and Economic Development ," MPRA Paper 69672, University Library of Munich, Germany, revised 10 Dec 2015.
    5. ., 2014. "Is it necessary to have Islamic economics?," Chapters, in: Morality and Justice in Islamic Economics and Finance, chapter 1, pages 19-40, Edward Elgar Publishing.
    6. Mervyn Lewis, 2010. "An Islamic Economic Perspective on the Global Financial Crisis," Chapters, in: Steven Kates (ed.), Macroeconomic Theory and its Failings, chapter 10, Edward Elgar Publishing.
    7. Mohammad Nejatullah Siddiqi, 2007. "Towards A New Paradigm for Economics: by: Asad Zaman, Comment by: Mohammad Nejatullah Siddiqi نحو نموذج جديد للاقتصاد: بقلم: أسد زمان، تعليق: محمد نجاة الله صدّيقي," Journal of King Abdulaziz University: Islamic Economics, King Abdulaziz University, Islamic Economics Institute., vol. 20(1), pages 55-56, January.
    8. Aan JAELANI, 2016. "Religion, Economy, and State: Economic Thought of al-Mawardi in Adab al-Dunya wa-al-Din," Journal of Economics Library, KSP Journals, vol. 3(3), pages 508-523, September.
    9. Mervyn K. Lewis, 2014. "An Islamic perspective on the global financial crisis and its aftermath," Chapters, in: M. Kabir Hassan & Mervyn K. Lewis (ed.), Handbook on Islam and Economic Life, chapter 31, pages iii-iii, Edward Elgar Publishing.
    10. Islahi, Abdul Azim, 2016. "Al-Asadi and his work al-Taysir: A study of his socio-economic ideas," MPRA Paper 80122, University Library of Munich, Germany, revised 2016.
    11. Ismail, Abdul Ghafar & Zali, Nor Azmidah, 2015. "Ethics in Relation to Islamic Finance Activities," Working Papers 1435-7, The Islamic Research and Teaching Institute (IRTI).
    12. Seif el-Din Ibrahim Tag el-Din, 2021. "Priority of Economic-Fiqh Research Co-authorship أولوية البحث المشترك اقتصادًا وفقهًا," Journal of King Abdulaziz University: Islamic Economics, King Abdulaziz University, Islamic Economics Institute., vol. 34(3), pages 89-99, October.
    13. Zafar Iqbal & Mervyn K. Lewis, 2014. "Zakat and the economy," Chapters, in: M. Kabir Hassan & Mervyn K. Lewis (ed.), Handbook on Islam and Economic Life, chapter 23, pages iii-iii, Edward Elgar Publishing.
    14. aislahi, Abdul Azim, 1989. "Stages of socio-economic development: Shah Wali-Allah's concept of al-irtifaqat," MPRA Paper 29628, University Library of Munich, Germany, revised 1990.
    15. Hadi, Gatot, 2018. "Konsep Riba menurut Ibnu Al-Qayyim al-Jauziyyah," MPRA Paper 87146, University Library of Munich, Germany, revised 03 Jun 2018.
    16. Jaelani, Aan, 2016. "Economic Philosophy of al-Mawardi: Economic Behavior in Adab al-Dunya wa-al-Din and al-Ahkam al-Sulthaniyah," MPRA Paper 70339, University Library of Munich, Germany, revised 27 Mar 2016.
    17. M. Kabir Hassan & Mervyn K. Lewis (ed.), 2014. "Handbook on Islam and Economic Life," Books, Edward Elgar Publishing, number 16009.
    18. Abdul Azim Islahi, 2014. "History of Islamic Economic Thought," Books, Edward Elgar Publishing, number 16105.
    19. Ismail, Abdul Ghafar, 2015. "A Framework for Regulating Islamic Microfinance Institutions," Policy Papers 1435-5, The Islamic Research and Teaching Institute (IRTI).
    20. Gunarso, Gatot Hadi, 2018. "Ibn Qayyim al-Jawziyyah’s Usury Concept," MPRA Paper 87443, University Library of Munich, Germany, revised 16 Jun 2018.

    More about this item

    Keywords

    Nature and Functions of money; Difficulties of barter exchange; Interest (riba); Riba’l-fadl and Riba’l-nasi'ah; Counterfeiting and debasement of money;
    All these keywords.

    JEL classification:

    • B11 - Schools of Economic Thought and Methodology - - History of Economic Thought through 1925 - - - Preclassical (Ancient, Medieval, Mercantilist, Physiocratic)
    • E40 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:41438. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.