Using a contract-theoretic model, Khan compares two financial arrangements: the Fixed Return Scheme (FRS), which mirrors conventional debt, and the Variable Return Scheme (VRS), which represents profit-and-loss sharing (PLS) contracts such as Mudarabah or Musharakah. His analysis assumes a single lender allocating a fixed pool of funds across many independent projects, with symmetric information and costless observability.
September 2025 issue (Vol 5, Issue 9) of Moral Reflections on Economics features
• “Central Bank Digital Currencies Through an Islamic Lens” by Dr. Ilma Khan, Jamia Millia Islamia, India.
• Highlights from Lecture on “Islamic Worldview and Sustainable Development: Limits of Legal Compliance and the Need for Ethics” by Prof. Habib Ahmed, Professor, Durham University, UK.
• “The Role of Integrated Value Mediation in ESG Frameworks: Transforming Circular Agriculture within an Islamic Economic Context” by Davi John J S. Palo.
• Book review of “Islamic Economics: A Short History” by Dr. Ahmed El-Ashker and Prof. Rodney Wilson.
• Research paper in focus on “Relational business model for shared responsibility” by Dr. Josef Wieland and Dr. Jessica Geraldo Schwengber.
• Regular sections of reflections, market news, economic and financial indicators and call for papers.
Prof. Keen provided many reasons to be confident in looking at alternatives to neoclassical. The key takeaways are that money should not be seen as a commodity, private debt creation should be within limits and focused on asset creation, government shall put money in productive capacity, limit imports to the limit of exports or thereabout rather than borrowing in foreign exchange and limiting financial sector share in GDP to allow more share in pie to the workers and firms.
August 2025 issue (Vol 5, Issue 8) of Moral Reflections on Economics features
– “Rethinking the Architecture of Ethical Banking” by Prof. Turalay Kenc, Professor, INCEIF University Malaysia.
– “Reinstating the Family in ESG: A Tawhidic and Maqasidic Recalibration of Global Governance Frameworks” by Prof. Suhaimi Bin Mhd. Sarif, Professor, KENMS, IIUM, Malaysia.
– Towards Understanding Riba by Hifz-ur-Rab.
– Book review of “Debunking Economics” by Prof. Steve Keen.
– Research paper in focus on “Behavioural and Islamic Economics Critique on Mainstream Views on Unemployment” by Dr. Ekrem Yilmaz.
– Reflections on Faith and Science.
– Regular sections of market news, economic and financial indicators and call for papers.
Download at: https://www.islamiceconomicsproject.com/periodicals
Regarding taxation, Islam has laid out clear guidelines: not only is excessive taxation sinful, but even when collecting taxes even from non-Muslims, there should be no element of hardship. For example, Urwah ibn Zubayr narrated that Hisham ibn Hakeem (RA) once saw a tax collector in Homs mistreating some Christian Copts by making them stand under the sun while collecting Jizya. He objected, citing the Prophet Muhammad (PBUH) who said: “Allah will punish those who torment people in this world” (Sunan Abi Dawood 3045).
July 2025 issue (Vol 5, Issue 7) of Moral Reflections on Economics features
– “Islamic Banking Beyond Shariah Compliance ” by Dr. Abidullah, Asst. Prof. Sakarya University
– “Outline of Islamic Fiscal Policy” by Dr. Syed Ahmed Ali, Asst. Prof. AERC, KU
– Note on Remembering Prof. Zubair Hasan
– Highlights of HDI Report by Muhammad Hammad
– Book review of “Economic Development in Islamic Framework” by Prof. Khurshid Ahmad
– Research paper in focus on ESG Practices and Bank Performance by Dr. Faaza Fakhrunnas, Prof. Turalay Kenc, Dr. Zhang Hengchao,
– Reflections on Socio-Cultural Importance of Hajj
– Regular sections of market news, economic and financial indicators and call for papers.
Download at https://www.islamiceconomicsproject.com/periodicals
June 2025 issue (Vol 5, Issue 6) of Moral Reflections on Economics features article “Beyond Integrative Approaches: Methodological Tensions in Islamic Economics” by Aaliah Rafee, highlights of the IFSB Report 2025 by Muhammad Hammad, article on “What is Money” by Muhamed Ahmed, book review of “Economic Thinking of Arab Muslim Writers During the Nineteenth Century” by Prof. Abdul Azim Islahi, research paper in focus on Homo Islamicus and Homo Economicus by Dr. Setiawan and Dr. Sultan, reflections on Khutba-e-Hajjat-ul-Wida and regular sections of market news, economic and financial indicators and call for papers.
In Marxian economics, it is argued that labor creates surplus value in the production process that capitalists extract in the exchange process. Marx said that the capitalist purchases the use value of labor (service) and pays labor something equivalent to the exchange value of labor time. It is barely enough to keep the labor survive. However, when the capitalist sells products created by “labor power,” these products command more exchange value and this excess is known as surplus value. The surplus accumulates and this is exploitation of labor by the capitalists.
May 2025 issue (Vol 5, Issue 5) of Moral Reflections on Economics features
Remembering Prof. Khurshid Ahmad
Labour in Comparative Economic Systems by Salman Ahmed Shaikh
Highlights of Global Energy Review Report 2025 by Muhammad Hammad
Book review of Methodology of Islamic Economics edited by Syed Agil and Aidit Ghazali
Research paper in focus on Monetary Policy and Islamic Banking by Zakaria Savon and Abdellah Yousfi
Reflections on “Control Over Past and Present”
Regular sections of market news, economic and financial indicators and call for papers.
Prof. Khurshid Ahmad passed away on April 13, 2025 at the age of 93 years in Leicester, UK. He was born on March 23, 1932 in Delhi. He was a renowned scholar, academic, economist, prolific writer, policymaker and legislator.
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