1) Full Employment

 Fully utilized and only frictional unemployment exists.

 Use all available factor of production efficiency to
maximum output.
 Full employment.

3) Stability of the
General Price Level. 2) Economic Growth

 Represents  Economy
overall average experience
price level of increase its
goods and national income
services in over a period time.
economy.  Measuring by
 Also represent calculating full
rate of inflation production per
in economy. capita.
CONVENTIONAL
 If overall price  Living standard
PERSPECTIVE
level increase, measured by total
rate of inflation is amount of goods
positive. and services that
individual in
economy enjoy.

5) Balance of payment 4) An equal distribution of

Equilibrium income.

 Balance of payment  Distribution income is

concern with payment. unequal if higher
 Refers to the difference income group is to rich
between total value of and lower income group
good and service is to poor.
exported and imported.  Will create social
 A surplus over year can friction and problems.
lead to inflation.
 Country experiencing
deficit over few years can
lead to debts problem.
2) Universal Education 1) Social Justice

 All that exists in the

Universe belong to Allah.
 Man’s claim’s to superiority
 Islam insist on a powerful
over all creations is based
built in income-
on this superior knowledge.
redistribution mechanism.
 Every child, irrespective of
 Social justice is rooted in
his birth must receive an
Man’s faith.
equal opportunity to
 In Islam, happiness come
education.
not from the possession of
 Universal education must
material goods but from
be subsidized so that
contentment and gratitude.
education is available to all
people.

ISLAMIC
PERSPECTIVE

4) Maximizing Employment 3) Optimum rate of Economic

 Not to attain full employment
at the cost of economic
efficiency
Growth.
 Growth in an Islamic
economy is comprehensive
and include moral, spiritual,
and material aspect of
man’s life.
 Man is the centre of all
economic activity.