Economic System In Islam

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INTRODUCTION: Economics is the way in which society allocates its scarce resources among alternative uses and the consequences of these decisions. The area of the inquiry deal with a varied range of topics such as international trade, domestic and international financial systems ,labor market analysis, and the study of les developed economy. Broadly speaking the goal of economics to anayltically about social issues and ,as such, provide a solid foundation for not only further study and careers of in economics, but also for careers in law ,public service, business and related fields. There are many economic systems like capitalist economic system, socialist economic system, communist econony system and .Every economic system have some characteristics, polices, rules and…show more content…
.Islam accept the right to private property and accept the right to maximize profits, but rights are not unbridled and unconditional rather are some prohibitions. ISLAMIC ECONOMICS SYSTEM: PROHIBITION AND CONSIDERATION: DIVINE PROHIBTIONS: Islam has prohibites some economic activities that are not allowed at any time at any place.(interest,gambling,hoarding ect.) GOVT. RESTRICTIONS: Islam allows Govt. to intervene where it feels appropriate, but these restrictions are temporary as per the need of time. MORAL CONSIDERATIONS AND RESTRICTION: Life in this world is temporary and there is an eternal life after words. one has to make this worldly life a way to get the maximum benefit in the hereafter. FACTORS OF PRODUCTION IN ISLAMIC ECONOMIC SYSTEM: .In Islam there three factors of production. 1.Land 2.labor 3.Entrepreneur .Entrepreneur and capital is a single factor of production. .As interest in HARAM hence the risk of profit and loss is with the capital. .Anyone investing capital must also take risk of the investment. RIGHT TO WEALTH IN

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