ISLAMIC ECONOMIC AND CAPITALIST ECONOMY

ISLAMIC ECONOMICS AND CAPITALIST ECONOMY

PART I

PRELIMINARY

Speaking about the economy of conventional and sharia economy certainly are endless and we are not going to find a deal in it, because the economics of conventional and Islamic economic thought has its own paradigm that want to be taken from both. Departing from it it is necessary to us as a student to study aspects inherent in conventional economics and Islamic economic order to assess both the economic system of the economy. I wrote this article is based on the source of which can be accounted for either in the form of books, modules, and so forth. As in this paper that will be discussed is the fundamental difference of the Islamic economic system and the economic system of conventional and Islamic economics in my opinion why it should be upheld.

CHAPTER II

DISCUSSION

Before we discuss the differences between Islamic and conventional economics, it is necessary to know the nature of the economy itself. According to experts the general economy, the economy is defined as the knowledge of the events and issues related to the human effort to both individuals and groups to meet needs that are not restricted by limited resources. According to economic experts who've won the Nobel Prize in economics Prof. Paul A. Samuelson, economics is defined as the study of individuals and / or communities in making decisions with or without the use of money that is used to produce goods and / or services with limited resources to be consumed both present and future.

Based on some of the above definition, we can take the essence that the economy is very closely related to the human effort in meeting their needs. But there is one interesting thing that the limited resources. We need to know that which is not limited to human beings is not a requirement but a human desire. Therefore, to satisfy human desire is not limited to that necessary means of satisfying needs. Means of satisfying the requirement in this case is the source of power, Islam does not recognize the limited resources because in the Qur'an there is a verse which says that Allah swt. have created something with a perfect level. In connection with the unlimited desire, Islam teaches us that the consumption principle in Islam one of them is prohibited from doing israf (exaggerated). In economic theory itself also expressed satisfaction that someone in eating something progressively decline until the point it will be 0. Therefore, it should be underlined that needs to be regulated is human behavior itself.

After knowing the general economic sense, which is our next question is what is it ?? Islamic economics. Islamic Economics is defined as the study of human endeavor in mengalokasian and managing resources to achieve a power-sunber 'Falah' based on the principles and values ​​contained in the teachings of Al-Quran and As-Sunnah. Based on such understanding, there are a few things in common with the general economic definition of economics concerned with the study or science of pliers discusses human effort in managing existing resources. The difference is that when the general economy was no guiding undertake economic activities in the economy, while it has its own rules that can be used as guidelines. Maybe this is the basis for the beginning of distinguishing between conventional economics that embraces the general economy but it has its own paradigm with Islamic economics.

Next we will discuss about the general differences between Islamic and Conventional economics can be explained in the following table:

Islamic Economics and Economics Conventional

Religious social man but of social man

Tackling the problem with determining the priority handling problems according to individual wishes

Alternative options needs guided by Islamic values ​​of alternative options guided by the needs of individual interests / selfish

Exchange system is guided by Islamic ethics exchange guided by market forces

Based on the above table explained that Islamic economics does not only study the social individual but also their religious talent. Differences arise in respect of Islamic economics in which the selection is controlled by the basic values ​​of Islam while the conventional economy is controlled by the interests of the individual.

When we divide the conventional economic system into 2 types of capitalism and socialism. Capitalism is an economic system that is clearly marked by the reign of money or capital owned by a person while socialism is an economic system that is clearly marked by the reign of the government in economic activities that remove control of the factors of production to private property. As for the differences between the economic systems of capitalism and socialism with Islamic economic system can be explained by the table below:

Islamic Economics Capitalist Economy

Sourced from the Qur'an, As-Sunnah, and ijtihad comes from the mind and human experience
Holistic world view secular world view

Individual ownership of the money / capital is subject to individual holdings relative to capital / money is absolute

The market mechanism works by beneficiaries of market mechanisms allowed to work alone
Business competition law is controlled by the business competition is free and childbirth monopoly

Welfare carnal, spiritual, and reasonable welfare is jasadiah

The profit motive is recognized through lawful ways that the profit motive is recognized without any restrictions that apply

The government is active as a supervisor, controller, and a fair referee in economic activity the government as a passive spectator neutral in economic activity

Enforcement of the income distribution income distribution Unknown evenly
Islamic Economics Socialist Economy

Sourced from the Qur'an, As-Sunnah, and ijtihad derived from the philosophy of the human mind and experience

Holistic world view secular world view extreme or atheists

Individual ownership of the money / capital are relative Limiting even abolish individual ownership of capital

The market mechanism works by beneficiaries of Economy is run through central planning by the state

Competition in the business is controlled by law does not apply the price mechanism but adapted to the use of goods for the community

Welfare carnal, spiritual, and sense the State acting as the owner, controller, and chief ruler economy

The profit motive is recognized in ways that halal not recognize the profit motive

The government is active as a supervisor, controller, and a fair referee in economic activity The government took over all economic activities

Entry Equalizing income distribution of income and individual income

1.    Based on the above table, we can see a clear difference between conventional economics is as follows:

Economy of Islam have guidelines / reference in economic activity that comes from divine revelation and thought Mujtahids whereas conventional economics based on the thinker who based on their personal paradigms each according to his wishes, in conventional economics judge that religion including sharia law there is no relationship with economic activity.

2.    In the Islamic economic role of the state as a fair referee, that at a certain moment the state can intervene in the economy and sometimes even not allowed to intervene, for example when prices are rising, if prices rise because there are actors who perform engineering market then the government must intervene, while if prices rise due to natural then the government should not interfere in setting the price, as narrated in the hadith of the Prophet related price increases. In conventional economics, capitalists do not recognize the role of government in the economy, the state socialist absolute role in the economy and so there is a balance between the two systems.

3.    In Islamic economics recognizes the profit motive but by lawful ways, in the capitalist economy recognizes the profit motive but there is no particular limitation so it is free as fortified with spirit greedy lust speculation and economic actors, in a capitalist economy does not recognize the profit motive at all so they can not be fair in the economy.

Lastly I will discuss is why we need to uphold Islamic economics, I think there are some underlying need enforcement of Islamic economics at this time, namely:

1.    In line with the passing of history, we find facts showing that conventional economics has failed to overcome the crisis such as the one that occurred in 1998 and 2008. As for the causes of the crisis because the conventional economic principles are actually in Islamic economics prohibited, namely:

a. Riba (interest);

As we know that flowers have become mainstream in the current economy. As a result, we take the example of Indonesia, which owes the IMF about 1000 trillion and still subject to interest a few percent. The fact that happened is the Indonesian state budget can only pay interest on the debt to the IMF is not substantially so in the end is hard repaid. This was the source of the crisis in European countries today, then we can not deny the harm / infamy due to the implementation of the system of interest.

b. Gharar (transaction containing hoax / uncertainty),

c. Gambling (speculation - transactions that are speculative intended to seek profit falsehood, and

d. Risywah (bribery) as well as other matters that are prohibited in Islamic economics.

The fact also proves that when the conventional economy is experiencing a crisis, Islamic economy with good growth significantly example at a time when banks in Indonesia collapse during the crisis, Islamic banks in Indonesia recorded growth.

2.    In conventional economics does not recognize the zakat system in it so there tends to be a social inequality in society between the poor and the rich. While we have seen that Islam has long been set for the people to pay zakat so that the uneven distribution of income can be realized gradually. We too can prove to balance the market if the system zakat applied, ie if the system zakat imposed, the rich would have to set aside earnings untun pay zakat so that the demand for goods of the rich getting reduced so that the demand curve (demand) shifted to the left side, which raises the question whether it is ?? negative implications. The answer is no, because the money set aside the rich man adds to the incomes of the poor so that the demand for goods is increasing which caused the curve to move to the right side so that when the two curves together will create a balance in it.

3.    We as Muslims should thoroughly apply the teaching of Islam in daily life. We know that inside there are 24 hours in a day, if that time is set aside for worship and rest (prayer 5 times, 5 x 10 minutes = 50 minutes, rest 10 hours), then the remaining 13 hours of the time we are struggling with social muamalah. It is impossible that Islam does not regulate the economy because small things just islam regulate such as sleeping, eating, etc. There's no way it feels when the economy is very broad in scope not regulated in Islam. Therefore, we are required to implement Islam in (kaffah) as Allah Ta'ala:

"O ye who believe go, into Islam as a whole, and do not obey the steps of Satan. He is an outright enemy to you. "(Q.S. Al-Baqarah [2]: 208)

For it proper to us as Muslims to uphold sharia economy in order to implement Islam as a whole and shortly syiarkan Islamic religion.

Maybe that's some of the things that underlie our economy to uphold Islam. Apart from these things let us in order to enforce Islamic economics, before we fix ourselves first, improving our attitudes and behavior. Articles written is not intended to negative at all, it is only intended to assess the prevailing economic system today. Whether or not the opinions that I have pointed out, at least not this paper could be a treasury of knowledge that broaden our knowledge. Allah knows best bish Shawaab. Jazakumullah Khairan Katsiiraa.

CHAPTER III

COVER

Murshid Al-Idrisiyyah economic define Islam by using simple sentences, ie all forms of economic activities based on the principles of Islam that is sourced to the Koran and the Sunna As diijtihadi by mursyid. Position mursyid have a fairly urgent perananan included in providing the bulk of thinking about the context of Islamic economics, in accordance with the demands of the times and is also able to disseminate and mobilize people for the Islamic berekonomi uswah (exemplary) and his charisma.
Contemporary Islamic economic thought is the brainchild of economists Muslims in the 20th century AD. If the classical Islamic economic thought is divided into three phases, the contemporary Islamic economic thought is divided into three streams, namely Iqtishādunā flow, flow Mainstream and Alternative flow. Each of the three streams of this mode of thinking is different.

Note:

Translate by Google

Tweet