IDEAS home Printed from https://ideas.repec.org/p/ris/irtiwp/1435_008.html
   My bibliography  Save this paper

Between Free Market and State Capitalism: How Islamic Economics System Shape the Future Global Economy?

Author

Listed:
  • Ismail, Abdul Ghafar

    (The Islamic Research and Teaching Institute (IRTI))

Abstract

Free market economy is proposed to deliver on the promises of improving the standards of living of most citizens. However, the economic crisis that happen repeatedly failed to produce what was promised. Then, state capitalism has to step in. The state capitalism also fails in the sense that the free market economy with rules/policy in favour of rich countries or state capitalism provide more people worst-off than benefits. The question arises on how the Islamic economic system could shape the free markets and the future of the global economy. Therefore, our aim in this paper is to find out the answer(s) on how Islamic economics system shape the future global economy could. Our analysis shows that Islam has its own economic system. The free market could be developed by taking the free market of Rasulullah (saw) and free market in holding wealth. The government policy directed towards no interest and creating a welfare system is welcome.

Suggested Citation

  • Ismail, Abdul Ghafar, 2014. "Between Free Market and State Capitalism: How Islamic Economics System Shape the Future Global Economy?," Working Papers 1435-8, The Islamic Research and Teaching Institute (IRTI).
    • Handle: RePEc:ris:irtiwp:1435_008
    as

    Download full text from publisher

    File URL: http://www.irti.org/English/Research/Documents/321.pdf
    File Function: Full text
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Orhan Oguz & Ahmed Tabakoglu, 1991. "An Historical Approach to Islamic Pricing Policy: A Research on the Ottoman Price System and its Application منهج تاريخي لبحث سياسة سعرية إسلامية بحث في نظام الأسعار في الدولة العثمانية وتطبيقاته," Journal of King Abdulaziz University: Islamic Economics, King Abdulaziz University, Islamic Economics Institute., vol. 3(1), pages 63-79, January.
    2. Bayu Possumah & Abdul Ismail & Shahida Shahimi, 2013. "Bringing Work Back in Islamic Ethics," Journal of Business Ethics, Springer, vol. 112(2), pages 257-270, January.
    3. Ismail, Abdul Ghafar & Zaenal, Muhammad Hasbi & Shafiai, Hakimi, 2015. "Philanthrophy in Islam: A promise to Welfare Economics System," Working Papers 1435-3, The Islamic Research and Teaching Institute (IRTI).
    4. Abdul Ghafar Ismail & Bayu Taufiq Possumah & Mohd Akil Muhamed Ali, 2018. "What you sell is what you lend? Revealing complexity of riba in loan contract," European Journal of Law and Economics, Springer, vol. 45(3), pages 591-609, June.
    Full references (including those not matched with items on IDEAS)

    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. 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).
    2. Doaa Althalathini & Haya Al-Dajani & Nikolaos Apostolopoulos, 2022. "The Impact of Islamic Feminism in Empowering Women’s Entrepreneurship in Conflict Zones: Evidence from Afghanistan, Iraq and Palestine," Journal of Business Ethics, Springer, vol. 178(1), pages 39-55, June.
    3. Hayfaa Tlaiss, 2015. "How Islamic Business Ethics Impact Women Entrepreneurs: Insights from Four Arab Middle Eastern Countries," Journal of Business Ethics, Springer, vol. 129(4), pages 859-877, July.
    4. Kumar, Satish & Sahoo, Saumyaranjan & Lim, Weng Marc & Dana, Léo-Paul, 2022. "Religion as a social shaping force in entrepreneurship and business: Insights from a technology-empowered systematic literature review," Technological Forecasting and Social Change, Elsevier, vol. 175(C).
    5. Ali Gümüsay, 2015. "Entrepreneurship from an Islamic Perspective," Journal of Business Ethics, Springer, vol. 130(1), pages 199-208, August.
    6. Noor Lela Ahmad & Habib Ahmed & Wan Salmuni Wan Mustaffa, 2017. "The Significance of Islamic Ethics to Quality Accounting Practice," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 7(10), pages 693-703, October.
    7. Younis, Heba & Dimitratos, Pavlos & Elbanna, Said, 2022. "International entrepreneurial SMEs in the muslim world: The role of religion in the GCC countries," International Business Review, Elsevier, vol. 31(5).
    8. Filiz AGAOGLU, 2014. "Religious Perspective Of Business Ethics Principles In Turkey And Romania: A Cross Country Comparison," SEA - Practical Application of Science, Romanian Foundation for Business Intelligence, Editorial Department, issue 3, pages 11-22, April.
    9. Hayfaa A. Tlaiss & Maura McAdam, 2021. "Unexpected Lives: The Intersection of Islam and Arab Women’s Entrepreneurship," Journal of Business Ethics, Springer, vol. 171(2), pages 253-272, June.
    10. Shamette Hepburn, 2020. "Effect of Religiosity and Spirituality on Employees Prosocial Behavior With the Mediatory Role of Humanism and Ethics," International Journal of Social Work, Macrothink Institute, vol. 7(2), pages 17-36, December.
    11. Christopher Richardson & Shaizatulaqma Kamalul Ariffin, 2019. "A Leap of Faith? Managerial Religiosity And Market Entry Decisions," Management International Review, Springer, vol. 59(2), pages 277-305, April.
    12. Yusuf Sidani & Akram Al Ariss, 2015. "New Conceptual Foundations for Islamic Business Ethics: The Contributions of Abu-Hamid Al-Ghazali," Journal of Business Ethics, Springer, vol. 129(4), pages 847-857, July.

    More about this item

    Keywords

    free market; state capitalism; economic thought; economic system;
    All these keywords.

    JEL classification:

    • B11 - Schools of Economic Thought and Methodology - - History of Economic Thought through 1925 - - - Preclassical (Ancient, Medieval, Mercantilist, Physiocratic)
    • D47 - Microeconomics - - Market Structure, Pricing, and Design - - - Market Design
    • P10 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - General
    • P40 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - General
    • Z12 - Other Special Topics - - Cultural Economics - - - Religion

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:ris:irtiwp:1435_008. 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: Research Division (email available below). General contact details of provider: https://edirc.repec.org/data/irisbsa.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.