Tag Archives: Micro Economics

Economics and Pro-Social Behaviour

Salman Ahmed Shaikh A great number of empirical studies now challenge the position of conceptualising human behaviour only in the framework of a rational, utility-maximizing homo-economicus. Yet, this framework is used for the purpose of simplicity and tractability in situations … Continue reading

Rate this:

Posted in Articles on Islamic Economics | Tagged , , , , , , , , , , , , , , , , | Leave a comment

Limitations of Mainstream Consumer Theory in Economics

Salman Ahmed Shaikh Mathematical tractability has restricted economic analysis of consumer behavior within a confined boundary of certain axioms. Often, these axioms are found to be empirically false. Even more importantly, these axioms and the analytical framework based on them … Continue reading

Rate this:

Posted in Articles on Islamic Economics | Tagged , , , , , , , | Leave a comment

Islamic Economics and Behavioral Studies of Religious Agents

Salman Ahmed Shaikh There are two basic contents of religion, the beliefs and the other is practices. For the belief part, commonly shared history, archeology and science also provides sufficient hints for one to rationally decide and keep the belief … Continue reading

Rate this:

Posted in Articles on Islamic Economics | Tagged , , , , , | Leave a comment

Welfare Function in Islam

Salman Ahmed Shaikh Human welfare in Islam encompasses economic welfare, but comprises much more than that. The achievement of human welfare is sought in both aspects of human life, i.e. worldly life and eternal life hereafter. Hence, the human welfare … Continue reading

Rate this:

Posted in Articles on Islamic Economics | Tagged , , , , , , , , | Leave a comment

Labor Productivity and Technical Progress in Islamic Economic Framework

Salman Ahmed Shaikh Most developing countries have lower labor productivity. Some of the reasons why people are not able to increase their productivity include: lack of education and hence lack of employable skills, poor health and malnutrition. Islam has made … Continue reading

Rate this:

Posted in Articles on Islamic Economics | Tagged , , , , , | Leave a comment

Scope of Islamic Economics

Salman Ahmed Shaikh For recognition as a distinct field in economic inquiry, any school of economic thought has to have a distinction in methodology, offer positive explanation of an economic phenomenon or propose unique policy suggestions on recurrent and important … Continue reading

Rate this:

Posted in Articles on Islamic Economics | Tagged , , , | Leave a comment

Wage Differentials or Discrimination: Islamic Perspective

Salman Ahmed Shaikh It is a fact that income inequality even in developed countries is high and has been increasing despite sustainable growth experienced in growing East Asian countries and also in Europe and North America in general. One of … Continue reading

Rate this:

Posted in Articles on Islamic Economics | Tagged , , , , , , , , | 6 Comments

Circular Flow Model: Islamic Economics Perspective

Salman Ahmed Shaikh As per Islamic principles, within certain bounds, the market forces can operate and will determine which goods should be produced and offered at what price. Through private sector investment and production, resource markets and product markets will … Continue reading

Rate this:

Posted in Articles on Islamic Economics | Tagged , , , , , | 5 Comments

Islamic Economics and Consumer Behavior

Salman Ahmed Shaikh Purpose behind human existence is one the basic questions in philosophy. Centuries ago, pioneer philosophers used to study and discuss ‘why we exist’, but after renaissance in Europe and revolt against Church, social philosophers came to the … Continue reading

Rate this:

Posted in Articles on Islamic Economics | Tagged , , , , , , , , , | 5 Comments

Effects of Islamic Inheritance Laws on Wealth Inequality

Salman Ahmed Shaikh In an interest based financial system, wealth inequality automatically results in income inequality with legal permissibility of risk-less earnings for the lender. Hence, wealth inequality perpetuates and concentration of wealth increases in the society with the passage … Continue reading

Rate this:

Posted in Articles on Islamic Economics | Tagged , , , , , , , , | 10 Comments