Islamic economics is based on the principles and norms for human welfare derived from Islamic sources. Fundamentally different from the secular defined system, it offers a comprehensive and coherent alternative to conventional, or Western, economics. There are many similarities and much common ground between Islamic economics and Western economics - for example, the question of allocation and distribution of resources, the fulfillment of material needs and the importance of the market mechanism. Islamic finance does not seek to abolish private property, nor does it attempt to prevent the individual from serving his own self-interest.
The emphasis of Islamic economics, however, is a concentration on human brotherhood and social economic justice. While it recognizes the role of the market in the efficient allocation of resources, it does not find competition to be a sufficient safeguard of social interests. Moreover, based on a religious world view, Islamic economics incorporates a belief in ‘the day of the hereafter’, something which renders a great many of the theories of traditional Western economics unacceptable.
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