Pakistan Institute of Development Economics, Islamabad

Nature and Methodology of Islamic Economics: An Appraisal [with Comments]

Author(s): Ziaul Haque, Rafiq Ahmad and Rafiq Ahmed
Source: The Pakistan Development Review, Vol. 31, No. 4, Papers and Proceedings PART II
Eighth Annual General Meeting of the Pakistan Society of Development Economists Islamabad,
January 7-9, 1992 (Winter 1992), pp. 1065-1075
Published by: Pakistan Institute of Development Economics, Islamabad
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The Pakistan DevelopmentReview
31:4 Part II (Winter 1992) pp. 1065-1075

Nature and Methodologyof Islamic Economics:

An Appraisal
ZlAUL HAQUE

INTRODUCTION
Islamiceconomics emerged as a disciplineseparatefrom thegeneralscience
ofeconomics inthewakeofthepoliticalprocessofIslamisation ofthePakistani
societyandeconomy 1977-88.
during
In formulatingitsfundamental principles, Islamiceconomicsseeksto fuse
Islamicreligionwitheconomicscience;thatis, it triesto combinethestudyof
economicphenomenon ofordinary businessoflifewithreligious beliefs,ethical
norms, moral rules
ideals, and laws, thus putatively believingthatthe socialscience
of economicsis a seculardisciplinewhichdoes not concernitselfwithvalue
judgements, andthatIslamiceconomics is a plausiblealternative
to moderneco-
nomicssinceit is based on thevalues,normsand principles of Islam.[Ahmed
(1981),p. xiv;Chapra(1985),pp. 19-29).]

SCOPE OF THE PAPER

Thescopeofthispaperislimited.
Thetreatment oftheproblems discussedis
We do notintendtoassessthequality
notmeanttobe exhaustive. oftheliterature
between
nordo wewanttodiscusstherelationship
onIslamiceconomics, econom-
[Haque(1991)].Thepurpose
whichhasbeendealtwithseparately
icsandreligion
Ziaul Haque is Chief of Research at the Pakistan Instituteof Development Economics,
Islamabad.
Author'sNote: This is a shortenedversionof the paper whichwas presentedat the Eighth
Annual General Meetingof the PakistanSocietyof DevelopmentEconomists,January7-10, 1992,
Islamabad.
I am Gratefulto Prof. Syed Nawab Haider Naqvi, Dr A. R. Kemal, Dr Arshad Zaman,
Dr Muhammad Hussain, and Dr Rafiq Ahmad for their useful commentsand suggestionsto
improvethe paper. The paper containsmyown viewpoints,interpretations and statements.They
do not reflectthe officialpolicyor opinion of the PIDE. For the mistakes,errorsand incomplete
answers the sole responsibilityis mine.

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1066 Ziaul Haque

ofthispaperismodest: weshallexamine thenature, definition,subject-matterand

methodology ofIslamiceconomics andcompareitwiththescientific methodology
ofmodern economics.
As weshalldiscussinthispaper,thereseemstobe a tension, contradictionor
discrepancy in the term Islamic economics both on the intellectualand practical
planesbecauseitendeavours tofusematters ofreligious faithandreligious ethics
withtheeconomic problems oftheordinary business oflife.Religious faithimplies
absolutecertainty offinaltruths whereaseconomicstatements, con-
propositions,
jecturesandhypotheses aretentative, alwaysopentotestsandcriticism. Therefore
progress of economics from its classicalroots since the times of Adam Smith
(1720-1790) to itsneo-classical (or Keynesian, Marxian or radical)developments
waspossibleonlybecauseitsresults acquiredscientific onlysincetheywere
validity
refutableorfalsifiable andnotbecausetheywerefinalandimmutable.
The contention ofthispaperis thattheIslamisation oftheeconomy was a
motivated
politically schemeoftheruling elitesofPakistan toperpetuate theirrule
and hegemony overthe largemassesof Pakistan;and Islamiceconomicswas
developed as animplicit ideology toforestall anysocialandeconomic changeinthe
semi-feudal socio-economic orderand thususe religionto obfuscatethe real
economic problems ofthepeople.
Thereisnoconsensus ofopinionamongtheIslamiceconomists onthedefini-
tionofIslamiceconomics. Eventheclassifications ofitssubjects appeartobe vague
[Siddiqi(1978);Khan(1983);Khan(1983)].UnderthemainheadingofIslamic
economics theIslamicbibliographers includesubjectsofreligion, law,philosophy
andhistory. ThisshowsthatIslamiceconomics, moreorless,resembles thedisci-
plineofscholastic economics whichemergedduringthemedievalperiodunder
medieval/feudal socio-economic conditions. Forthescholastic Doctorsofmedieval
times,likethe Greek philosophers, economics wasnotan independent andauton-
omoussubjectbuta branchof moralphilosophy or moraltheology. Theyap-
proached the economic problems of theirtimes from an ethical and legalpointof
less
view.Theywere concerned withthemechanism andoperation oftheeconomic
system. [Roover(1955),pp. 162-163].

DEFINITION OF ISLAMIC ECONOMICS

WhatdoesIslamiceconomics meanandwhatdoesitstudy? Howis itdefined
to demarcate itsboundaries,
limitsand scope?Whatis an Islamiceconomy? In
otherwords,whatis an 'Islamic'economicphenomenon or 'Islamic'reality
and
howis itdifferentfroma non-Islamiceconomicphenomenon? Thereis unfortu-
natelyno clear-cut
andunambiguous ofIslamiceconomics
definition availablein

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 Natureand Methodology
of IslamicEconomics 1067

theextantliterature.
This ambiguityin the definitionis perhaps due to the reason that many
concepts,notions,ideas, practices,customsand institutions
like riba,mudaraba,
zakat9ushretc.,whichoriginatedin earlymedievaltimes,are subjectto different
interpretations.
Let us now see how Islamic economics is definedby Islamic economists.
[Mannan(1986),p. 18] definesIslamiceconomicsas a "social sciencewhichstudies
the economicproblemsof a people imbuedwiththevalues of Islam". Values are
highermoralprinciples,or standardsand normsofbehaviour.Theyare ideals like
equality,freedom,goodness,justice, courage, patience, honestyetc. which are
abstracttermswithdifferent meaningsand connotationsin different societies,
periods and places. "Values of Islam" is thereforea vague phraseologywhich
requirescleardefinition Islamis a theologicaltermin thesense
and interpretation.
of humansubmissionto the DivineWill.What does Islam mean in referenceto a
specificeconomicor politicalsystemof a givensociety?Values are ethicalterms.
Thereis theproblemofpreferenceofone value overtheotherin a givensociety.Is
efficiencymore importantthanequity?Must freedombe preferredto economic
equality and justice? Is rationalitya value? Which type of rationalityis to be
preferred?
Accordingto [Hasanuz Zaman (1984), p. 52)]: "Islamic economics is the
knowledgeand applicationof injunctionsand rules of the Shariah thatprevent
injusticein the acquisitionand disposal of materialresourcesin orderto provide
satisfactionto humanbeingsand enable themto performtheirobligationto Allah
and the society".He definesShariahin termsof broad rules/values and laws. He
explainsthat "the which
principles prevent injusticeare containedin theShariah.
The Shariahcomprisestwothings:injunctionsand rules.The firstsignify the do's
and dont'sintheQuranand theSunnahwhilethesecond are thoseset ofprinciples
whichtheFuqaha have derivedfromthefirst(injunctions)",(ibid.)
The broad moralvalues or principlesemanatefromthe Quran and the Sun-
nah of the Holy Prophet(peace be upon him) whereasthe specificlaws or rules
derivedby thejurists(Fuqaha) are theirown conclusions.These Juristshad ap-
pliedShariah-valueson theircontemporary societieswiththeirspecificmethodol-
ogies.How thelaws and conclusionsderivedbytheJurists ofmedievaltimesunder
thefeudalsocio-economicconditionsare applicableto theeconomicconditionsof
modernindustrialsocieties,Hasanuz Zaman does notexplain.Feudal societyand
the modernindustrialsocietyhave different modes of production,social forma-
tions,social structures,economic categories, and institutions.
For example,inter-
pretationsof thetermsofriba,zakat,etc.willvaryfromfeudalto moderntimesas

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1068 Ziaul Haque

theoveralleconomicconditionsand economiccontentshaveradicallychanged.
The Quran and thePropheticSunnahcontainbroad moralprinciples,norms
and ideals,buttheFiqh,jurisprudenceis theproductofhumanintellectual/specu-
lativeactivity;it constituteda methodology to derivelaws and rulesfora medieval
society.It was largelybased on the method of deductiveanalogy(Qiyas) according
to whichthe validityor legalityof a certainmedievalinstitution or conceptwas
derivedfromthe precedentof a parallel institution or concept.In thisway,the
Fuqaha tendedto rationaliseand legitimisemanymedievalinstitutions. For exam-
ple,theylegitimised themedievalinstitution oimuzaraa (crop-sharing) on thebasis
of the parallel institutionof mudaraba (sleepingpartnership, or profit-sharing).
[Haque (1985), pp. 160,195].The modernindustrialsocietycame intobeingafter
thedecay and fallof the feudalsociety.The rulesand practices,laws and regula-
tionsofa feudalsocietyare notrelevantto a modernindustrialsociety.
[Khan (1984), p. 55] saysthatIslamiceconomics"aims at thestudyofhuman
falah achievedbyorganising theresourcesofearthon thebasis ofcooperationand
For
participation. [Arif(1985), p. 97] "Islamiceconomicsis thestudyof Muslim's
behaviourwho organisestheresourceswhichare a trust,to achievefalah".
These definitions ofAkramKhan and MuhammadArifinterpret theQuranic
wordfalah inthesense ofeconomicwelfareor materialprosperity. This meaningis
opposed to theQuranicmeaning,whichis actually'spiritual'successor non-mate-
rialwell-beingof a Muslim(literallyone who submitshis willto theWill of God).
Falah is thusa religious/theologicalterminthesense ofsalvation(in theHereafter)
and attainment ofParadise.It cannotbe reducedto thesenseofordinary economic
and materialgain, profitor prosperity, in
the sense whichmoderneconomics
impliesas maximisation of utilitiesand profits.This bringsus to the concept of
homo Islamicus or 'muslimman' whichthe Islamic economistssubstituteforthe
conceptofhomo economicus,or 'economicman' oftheneo-classicaleconomists.
The ideal 'muslimman', accordingto the Quran, is a God-fearing,devout,
morallyrighteous,selfless,humble,truthful, just, good, sincere and altruistic
humanbeingwho,in hissubmissionto theDivineWill,bargainsmaterialthingsof
thisephemeralworldfortheParadise,fortheHereafter,forthehighervaluesand
principlesforwhichhe strugglesthroughout hisearthlylife.
On the contrary, the concept of homo economicus,or 'economic man' of
modern(neo-classical)economics,is theproductofthemovementof theEnlight-
enment.He is a maximiserof advantages,satisfactions, gains and profits. This
abstract'economic man' is a 'bargain-hunter', motivatedby self-interest.He is
actually an ideal typewho possesses rationally ordered preferences and perfect
information. This 'economicman' is an economicagentin theinstrumental sense;

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 Natureand Methodology
of IslamicEconomics 1069

thatis,he allocatesscarceeconomicresourcesformultiple endsina rational

way
in orderto realisehis materialgains.To maximise gainsand satisfactions
is a
normalrationalbehaviour ofcalculation.
Thisconceptofrationalbehaviour has
nowbeenextended from economicstotheothersocialsciences.[Hargreaves-Heap
also
(1987),pp.54-55], [Martin Hollis(1975),p. 54].

SUBJECT-MATTER OF ISLAMIC ECONOMICS

Islamiceconomists appeartobe moreinterested inmedievalsocio-religious
and ethicalconceptsand institutions, laws and ritualsthanthe real economic
problems oftheirpresent-day societies.The literature so farproducedbythemis
particularly devoted to the study of socialand economic justice,riba,interest-free
banking, mudaraba, profit and loss sharing,justmonetary system, zakatandushr,
etc.
The conceptsand institutions ofriba,mudaraba, muzaraah(crop-sharing),
zakatandushretc.weretheorganicpartsofa pre-capitalist andfeudaleconomic
orderbased on barterand noton a monetary economy in themodernsense.In
medieval timeseconomics wasnotan independent discipline; itwasa handmaid of
religionandtheology, lawandethics. Themedieval mindwasnotonlyreligious but
also legalistic. The Muslimjurists(Fuqaha) of medievaltimeswerethusmore
interested inmatters ofcommutative justiceorjusteconomicexchanges.
Theconceptofcommutative justicegoverned alleconomicactivity, exchange
andsale ofcommodities. According to thisnotion of a
justexchange, commodity
couldbe exchanged foran equivalent commodity in measureand weight.Any
excessor increaseinpayment, chargeor recompense abovethisequivalence was
regarded and
unjust iniquitous.
Ribawastherefore interpreted bythemedieval juristsas an unearned income
charged in loans as well as in sales,thus the
extending concept to all areas of
economic life,inloans,exchange, production, andtradeetc.[Haque (1985),Chap-
ters3-5].
As regardstheinstitution ofmudaraba, it was an ancient,and pre-Islamic
institutionwhichhasnothing todo withIslam.Itwasrelevant toa medievalsociety
wherethemerchant's capital dominated and where money economy, banking and
financialinstitutions, and
wagelabour, joint-stock companies had not come into
being.To institute thisconceptina modern economy is a retrogressive andanach-
ronisticpolicy.[Haque (1985),pp. 177-222].
A profit andlosssharing [PLS]schemewasintroduced inPakistan intheearly
1980s.Thiswassupposedtobe thebasisofinterest-free banking. The profits paid
tothedepositors inthisschemehavebeenfalling gradually because Islamic banks

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1070 Ziaul Hague

competewiththeconventional banksrunon thebasis ofinterest.

In medievaltimeszakat was levied on money(gold and silver),cattle and
agriculturalproductsas industrialcapitalin themodernsense had notyetdevel-
oped. To levyzakat on thebankingaccountsof themiddleand lowerclasses and
exemptall industrialcapital is leadingto unequal distribution of wealthand in-
come. This has further tendedto exacerbatetheeconomiccleavagesbetweenthe
powerfuland richrulingelitesand thepowerlesspoor massesofPakistan.
The methodologiesof moderneconomicsand Islamiceconomicsare differ-
entand evenopposed to each other.Islamiceconomistsin generalapproachtheir
problemsfromreligious,legal and ethical pointsof view,in the frameworkof
medievalisticfixednotionsand categories.Theyare interested, like the medieval
jurists,inwhatoughttobe thanwhatis,inethicaland legalproblemsthanin thereal
problemsofa moderneconomy.
The modernscience of economicsdevelopedgraduallyduringthe last three
centurieswhenfeudalismdeclinedand theMiddle Ages ended.As a social science
itseparatedfromreligionin theperiodoftheEnlightenment duringtheeighteenth
centurywhenthe humanmindfreeditselffromsuperstition and religiousdogma
and interpretedscience and religion,morality, politics,law and economicsinde-
pendentlyfromthe dictatesof the church,and religiousauthorities.As a social
sciencethuseconomicsbecame an autonomousand independentdiscipline.
AlthoughAdam Smithwas nottheonlyfounderofmoderneconomics,yethe
was a great systematiser of this science. Smithgave to economicsa distinctive
analyticalform.In his Wealth of Nations(1776), he gave a descriptionof political
economy(economics) thesense of a studyof theeconomyof a givensociety,a
in
matter-of-factreality,an existingthing,i.e.,whatis, [Smith(1937), p. 397].
This independenttenorof scientific inquiryin economicsseparatefromreli-
gionand othersocial scienceshas been retainedbymoderneconomists.According
to [HenrySidgwick(1987), pp. 58-59],economicshas graduallycome to laymore
emphasison 'whatis' than'whatoughttobe',on beinga sciencethanon beingan art
and thusacquiringthechangein titlefrompoliticaleconomyto 'economicscience'

luIn any case neitherthe IslamicDevelopment Bank nor the commercial Islamicbanks
since1975in over50 countries"
established observesTimurKuran,"havemuchuse forprofit
andlosssharing.From1975to 1986theportion ofprofitandlosssharingintheIslamicDevelopment
Bank'sportfolio from55 to 1 percent...
fellprogressively [Kuran(1991),p. 398.]
See also: NawazishAH Zaidi, "ProfitratespolicyforPLS depositors". Journalof Islamic
Bankingand Finance.4:4 (Oct-Dec.1987).
ClementHenryMoore,"IslamicBanksand Competitive politicsin the Arab Worldand
Turkey".TheMiddleEast Journal44:2 (Spring1990).
Christine Gieraths,"Pakistan:man participantsand finalfinancialproducts".In Rodney
Wilson(ed) IslamicFinancialMarkets.London:Routledge, 1990.pp. 171-195.

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 Natureand Methodology
of IslamicEconomics 1071

or economics.He defineseconomicscience (a branchof largersocial science)

whichis "mainlyconcernedwiththe social aspect - as distinctfromthe special
technicalaspect- ofsuchhumanactivitiesas are directedtowardstheproduction,
appropriation,and applicationof thematerialmeansof satisfying
humandesires,
so faras suchmeansare capable ofbeingexchanged".

CONCLUSION
The disciplineof Islamic economicshas been developed by Islamic econo-
mistsas separate and independentfromthe generalscience of economics.It is a
logical corollaryof the politicalschemeof Islamisationof the Pakistanieconomy
and societywhichwas initiatedbytherulingelitesofPakistanduring1977-88.The
subjectaims at developingan Islamic economictheorywhichis supposed to be
based on themoralvalues,normsand traditions ofIslam.The disciplineofIslamic
economicswas thusdeveloped as a partof the politicalschemeof Islamisingthe
Pakistanisocietyand economybythe powerfulrulingelitesto preservethe semi-
feudaland neo-colonialsocial and economicconditionsinPakistan.In thispolitical
schemereligiousritualswereused to controlthemasses.
As Islamic economics fuses religionand economics together,this uneasy
juxtaposition ofthetwohas led to contradiction and tensionin theterm,bothat the
intellectual and practicalplanes. Religious faithis based on absolute certainty,
convictionand finality of knowledge,whereaseconomic science,its discoveries,
hypotheses,conjecturesand conclusionsare tentative,and refutable.This is the
mainreason forthe progressand developmentof economicsduringthe last two
hundredyearsfromclassical to neo-classicalphases as a rigorous,scientificand
empiricaldisciplinewhichhas come to emphasise'whatis' morethan"whatoughtto
be' thatis, it deals directlywiththereal economicproblemsof a givensociety,of
existinghumanbeings.
Islamiceconomics,on theotherhand,is moreconcernedwith'whatoughtto
be9withreligio-ethical and religio-legalproblemsand withoutmodedmedieval
categories like riba, and mudaraba,thusneglectingthereal problemsof a modern
economy.
REFERENCES
Ahmed,Khurshid(1981) Studiesin Islamic Economics. Leicester:Islamic Foun-
dation.
Arif,M. (1985) Journalof Researchin Islamic Economics. 2: 2.
Chapra,M. U. (1985) Towardsa JustMonetarySystem.Leicester:Islamic Foun-
dation.

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1072 ZiaulHague

Haque, Ziaul (1977) Landlord and Peasant in Early Islam: A Study of the
Legal Doctrineof Muzaraah (Share-cropping) Islamabad: Islamic Research
Institute.(Reprintedin 1984.)
Haque, Ziaul (1982) ReviewofStudiesin IslamicEconomics.HamdardIslamicus
5:1.
Haque, Ziaul (1985) Islam and Feudalism: The Economics of Riba, Interest
and Profit.Lahore: Vanguard Books.
Haque, Ziaul (1991) Islamizationof Economyin Pakistan(1977-38): An Essay
on the RelationshipbetweenReligion and Economics. Paper presentedat
theSeventhAnnualGeneralMeetingof thePakistanSocietyof Development
Economists,Islamabad. January1991. The Pakistan DevelopmentReview.
30:4. Winter1991.
Hargreaves-Heap,S. et al. (1987) Economic Man. In The New PalgraveDic-
tionaryof Economics (Vol 2) London: The MacMillan Co.
Hasanuz Zaman, S. M. (1984) Definitionof Islamic Economics. Journalof
Researchin Islamic Economics 1:2.
Hollis, Martinet al. (1975) Rational Economic Man: A PhilosophicalCritique
of Neo-Classical Economics. London: CambridgeUniversityPress.
Khan, Akram M. (1983) Islamic Economics:AnnotatedSources in Englishand
Urdu. Leicester: Islamic Foundation.
Khan, Akram M. (1984) Journalof Researchin Islamic Economic. 1:2. 2.
Khan, Tariqullah (1984) Islamic Economics:A Bibliography. Jeddah.
Khan, Tariqullah (1991) Book-review (on Masudul Alam Chaudhur/sIslamic
Economic Cooperation.New York. St. Martin'sPress, 1989) in Journalof
ComparativeEconomics 15:2 (June 1991).
Laliwala, J. I. (1989) Some Issues in Definitionand Methodology.Journalof
Researchin Islamic Economics I.
Mannan,M. Abdul (1986) IslamicEconomics:Theoryand Practice.Kent:Hodder
and Stoughton.
Roover, RaymondDe (1955) Scholastic Economics: Survivaland Lasting In-
fluence fromthe SixteenthCenturyto Adam Smith. Quarterly Journalof
Economics 69:2.
Siddiqi, Nejatullah M. (1978) Contemporary Literatureon Islamic Economics.
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Sidgwick,H. (1987) Economic Science and Economics. The New Palgrave's
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Nations. New York: The Modern Library.

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 Commentson
"Natureand MethodologyofIslamic Economics:
An Appraisal"

IslamicEconomicsis an emerging disciplineand, althoughthe literature

dealing withit is increasingdaybyday,veryfewauthorshavetriedto crystallise,
classifyandarrange itsthemes ina universally
acceptedstandard form.The author
has made fulluse of thisweaknessbut in theprocesshas made a numberof
sweepingstatements and contentionswhichstudents of Islam,economics, and
man'sintellectual historywillfinddifficult
toendorse.
The articleis fullofrepetitionsbutitsbasicthemesarequitesimpleandcan
be recapitulated as follows:
(i) Islamis merely dealingwiththespiritual
a religion successofitsfollow-
ersintheHereafter andhasnothing todo withlife'smaterial aspect;
(ii) As a religionitis anti-science
because matters ofreligioninvolve subjec-
tivebeliefsand convictions ofabsolutecertainty whereassciencedeals
withtentative andrefutable hypotheses andconjectures;
(iii) Economics is a science andIslam a religion,henceitis contradictory to
fusethemtogether toproducea newdiscipline ofIslamicEconomics;
(iv) Pakistan'sruling elites
have initiatedIslamic Economics as a partofthe
generalschemeofIslamisation forexploiting poor masses to maintain
semi-feudal and neo-colonial socio-economic relations.This process
startedduring 1977-78; and
(v) Thethemesbeingdevelopedintheso-calledIslamicEconomics- riba,
muzaraah, mudaraba, zakat,ushr,etc.- originatedinpre-capitalistmedi-
eval societyand are notrelevant to themodernindustrial socio-eco-
nomicstructure. The Greeks,andlatertheMedievals, didnotconsider
economics as an independent subject but a branch ofmoral philosophy
combined withtheology, lawandethics.Economicswasliberated from
thishotchpotch onlywhenthe age of Enlightenment and rationality
dawnedinEuropeinthe17thand18thcenturies.

ZiaulHaque hasbuiltup hisarticlearoundtheabovethemesand hasgiven

andquotations
severalreferences toprovehispoints.
However,hisgraspoverboth
Islamandmodern economicsseemstobe weak.

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1074 Ahmad
Rafiq

Islamcalls itselfa completesystem of lifeand notmerelya collectionof

religiousriteswhichinanycase arefew.It takesmanas a complete unitanddoes
notdrawdistinction between hisspiritual andmaterial well-being.Much hasbeen
writtenonthisaspectandpractically allseriousscholars ofIslamareunanimous on
thispoint.TheQuranandtheHaditharefullofversesandinstructions regarding
economicaspectsof life,forwhichthe studyof economicsis necessary.For
example,one of thefamousversesof theQurangivesthe policydirection of
circulating wealth among all sectionsof people and not restrictingit to thericher
sections(59.5). Howcouldthisdirection be implemented without understanding
theworking oftheeconomy.
Islamis notanti-science. On thecontrary itrepeatedly asksitsfollowers to
think,investigate and understand. Everybranchofknowledge or system ofideas
andconvictions hasa basicbedrocktostandupon.Islam'sbedrockconsists ofthe
concepts of[f/^ij; ],'^j r],[^Uv],and| >t>y]. Itlays down certainbasic principles
ofsocialandeconomic lifeandleavestheresttohumaninvestigations andrequire-
mentsof changing timesand ages.Thisis theessenceoffiqh.The principle of
movement or( jC>j' isa novelconceptofIslamwhichmakesitdynamic foralltimes
tocome.icjbaVsJleconstruction ofReligious Thought inIslam contains an authori-
tativeexposition ofthisaspectofIslam.Historically speaking, itwastheheyday of
Islamiccivilisationwhichsawtheflourishing ofsciencesandartsofall types. Even
economics wasdevelopedas a separatebranchofknowledge initsownright, like
physics, chemistry, mathematics, politicalscienceandbiology. Fuller'sHistory of
Philosophy and Guillumes Legacyof Islam throw lighton thesedevelopments. Ibn
Khaldun'sfamousthirty-two chapterson economicsneed the attention of the
author whichexplaintheactualworking ofthecontemporary economy.
The author's reference to theunsuitability ofsomeofthemedievalconcepts
to present-day conditions maycontaintruthbutIslamdoes notdebarmodern
economists and policy-makers to devisemoresuitablemeasuresin thelightof
changed conditions. The conceptof [ >£*'] within theframework oforiginal (not
medieval) teachings ofIslamis helpful tomeetthechanging socialrequirements.
As forthescienceofmodern economics, theauthorhimself makesreference
toitspositive andnormative aspects but to suite hisconvenience he considers only
positiveeconomics as therealeconomic science.Thisisnottheviewofa very large
bodyof moderneconomists. Positiveand normative themesare valideconomic
themes.Economics dealswith human beingsand lawsandpositive
its findings give
insightintothewayswhichcanbe adoptedto lessenhumaneconomicsufferings.
The entireframework of development economicsand planningis based upon
policyconsiderations. Thethemes ofcumulative justice(whichtheauthorwrongly

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 Comments 1075

thinksto be an outdatedconcept) is verymuch alive today,as is evidentfrom

worldwidediscussionsof the new worldeconomicorder.The concept of selfish
economicman (as discussedbytheauthor)has to giveplace to a humaneman.
No doubt the authorhas posed some serious questionsto the studentsof
Islamic Economics but he has derivedhis argumentsmainlyfromthe conflict
betweenscience and religionwhichwas rampantin the ChristianMiddle Ages
fromwhich the contemporary Islamic world was free. As for the situationin
the
Pakistan, ruling elitesare considered to be the mainhurdlein the wayof the
implementation ofrevolutionary Islamiceconomicideas.

Rafiq Ahmad
South Asia StudyCentre,
Punjab Univeristy,
Lahore.

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