PAPER

ECONOMY IN ISLAM
DESIGNED TO FULFILL DUTIES
COURSE: ISLAMIC STUDY
SUPERVISORY LECTURER: Dr. Zulkifli , M.A

BY:
1. BHASWARA 11220140000023
2. NURUL FAADHILATI IDRIS 11220140000027

CLASS A
ENGLISH EDUCATION DEPARTMENT
FACULTY OF TARBIYAH AND TEACHER SCIENCES
 ECONOMY IN ISLAM
A. DEFINITION
The definition of Islamic Economics is a system knowledge highlighted knowledge _ problem

economy . Same as draft economy conventional other . Only course , deep system economy this , Islamic

values become foundation and basis in every activity . A number of expert define economy Islam as

something studying science _ behavior man in effort for Fulfill needs with tool fulfillment limited needs _

in sharia framework . However , definition the contain weakness because produce concept that is not

compatible and not universal.

Because of definition the push somebody trapped in a priori judgment is correct _ _ or fixed error

must accepted .1 More definition _ complete must accommodate a number precondition that is

characteristics from view life islamic . Condition main is enter sharia values in knowledge economy .

Knowledge economy Islam is knowledge sure social _ just no free from moral values . Moral values are _

aspect normative must _ entered in analysis phenomenon economy as well as in taking sharia - framed

decisions .

a. Muhammad Abdul Manan Islamic economics is a social science which studies the economics
problems of a people imbued with the values of Islam. 2So, according to Abdul Manan science
economy Islam is knowledge knowledge learning social _ problems economy society inspired by
Islamic values .

b. M.Umer _ Chapra Islamic economics was defined as that branch which helps realize human
well-being through and allocation and distribution of scarce resources that is inconfinnity with
Islamic teaching without unduly curbing Individual freedom or creating continued
macroeconomic and ecological imbalances. So, according Chapra Islamic economics is a helpful
knowledge _ effort realization happiness man through allocation and distribution source limited
power that is _ in corridor that refers to Islamic teachings without give freedom individual or
without behavior macro sustainable and unsustainable economy _ imbalance environment 3

1
Center for Islamic Economic Studies and Development (P3EI), Islamic Economics, (Jakarta: PT Raja Grafindo
Persada, 2011), h. 14
2
Muhammad Abdul Manan, Islamic Economics, Theory and Practice, (India: Idarah Adabiyah, 1980), p. 3.
3
Mustafa Edwin Nasution et al, Exclusive Introduction to Islamic Economics, (Jakarta: Kencana, 2006), h. 16

2
 c. According to Syed Nawab Haider Naqvi, science Islamic economics , in short is study about
behavior representative Muslim economy in Public Muslim modern .4

Based on description above , can _ concluded that Islamic economics is something branch

knowledge working knowledge _ for looking , analyzing , and finally complete problems economy with

Islamic ways . _

According to Abdul Mannan, science Islamic economics is not only learn individual social but also

humans with talent religious man that alone . 5 Sharia Economics _ is studying science _ activity or

behavior man in a manner actual and empirical , both in production , distribution and _ consumption

based on Islamic Shari'at which originates from the Qur'an and As -Sunnah as well as the Ijma' of the

scholars with destination for reach the happiness of the world and the hereafter . 6

activity economy often To do various form agreement . Agreement is binder Among giving birth _

rights and obligations . For arrange connection Among pregnant individual _ element fulfillment rights

and obligations in period long time , deep mandatory sharia principles for made in a manner written yang

called contract . economy in Islam. There are several law that becomes base thought and determination

draft economy in Islam. A number of base the Islamic law among them is as following :

a. Al- Qur'an Al- Qur'an give provisions law partial muamalat _ big shaped rules general ; except

that even a small amount . For example , in QS Al-Baqarah verse 188 available ban eat treasure with the

way it doesn't valid , including through _ bribe that is as following :

Nor they ate Your money between you vanity And they dangled with it to me the

rulers to eat a team From funds People By sinning And you are You know

4
Syed Nawab Haider Naqvi, Initiating Islamic Economics, trans. M. Saiful Anam and Muhammad Ufuqul Mubin,
(Yogyakarta: Student Library, 2009), p. 28
5
Muhammad Abdul Mannan, Islamic Economic Theory and Practice, (Yogyakarta: PT. Dana Bhakti Wakaf, 1997),
p. 20-22.
6
Abdul Mannan, Sharia Economic Law in the Perspective of the Authority of the Religious Courts, (Jakarta:
Kencana Prenada Media Group), h. 29.

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 "And don't you eat treasure in between you with the path of vanity , and ( not to be ) you bribe with
treasure that to the judges, with mean for you could eat part other people 's property with Street sin ,
though you know ”

In QS An- Nisa verse 29 exists provision that trading on base like willing is one _ form Halal

muamalat that is as following :

Oh my Whose Believe no they ate your money among you vanity Except that be

trade About complacency Of you or not kill you yourselves ۗ that Allah It was with you

merciful

" O you who believe ! Don't you each other eating property your neighbor by false path ( no _ true ),
except in trade that takes place above base love same like in between you _ And don't you kill yourself _
Really , God is great Affectionate to you "

B. PRINCIPLES OF ISLAMIC ECONOMY

1. Prohibition Maysir

Maysir is type transaction the game in it there is requirements form taking a number Theory from

the loser by the winner . Simply put , terms this could understood as gambling or bet . Besides

prohibited , action this is also included in category sins big . Prohibition maisi it means no allow

exists shape activity _ like gambling in activity economy .

2. Prohibition Gharar

Gharar that is uncertainty in resulting transactions _ from no fulfillment internal sharia provisions

transaction the . Impact from containing transactions _ gharar is exists tyranny over one _ transacting

parties _ so that Thing this prohibited in islamic . Example sell buy gharar is when things that are sold

not yet available . For example , buy child cow in the stomach without want parent too. Prohibition

gharar basically _ is ban for To do fraud . It means every activity economy no allowed for

deceive others for profit self themselves and harm others.

3. Prohibition Illegal goods

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 It means is in system economy Islam no allow for To do transaction or get goods with the way it

doesn't good or prohibited in islamic .

4. Prohibition Zalim

Prohibition tyrannical means all type activity economy no allow exists things with _ on purpose

conducted for harm others. because _ it , deep implementing transactions _ economy Islam should

conducted with method for result in order a profit could divided in a manner fair without harmful one

party .

5. Prohibition endeavor

Prohibition endeavor it means in economy Islam no allowed for To do hoarding needed items _

Public for profitable self themselves and harm others.

6. Prohibition Riba

Usury is determination flower or exaggerate amount loan moment return based on percentage certain

from amount loan principal charged _ to borrower . Prohibition usury means in every transaction

economy no allowed for apply costs addition . However , p this could avoided if the giver , give it in a

manner sincere .

C. THE PURPOSE OF ISLAMIC ECONOMY

Application economy Islam have destination for :

D. ADVANTAGES OF ISLAMIC ECONOMY

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 System economy Islam actually counted new compared with system economy others who have

implemented in Western countries. System economy this Becomes alternative from system economy

other . Following this is advantages from system economy Islamic :

 Prioritizing Morals and Ethics

Because it's based on Shari'a Islamic , then system economy Islam this prioritize morals and
ethics as people Muslim in To do activity economy . So there is governing norms _ activity economy like
sell buy so no Becomes wrong thing in the eye islamic . With thus , ethics we are in the eye Islam will
good if follow norm the .

 Freed Decision Making

It means is Islam will give freedom to his people for take various type definite decision _
permanent based score Islamic . Freedom that will maximizing action somebody in taking decision in
Thing activity economy without exists coercion from anyone .

 Principle Justice in the Distribution Process

Justice is one _ principles applied _ in system economy islamic . So Islamic will give limitation
so that the distribution process permanent fair and equitable so that no raises social status gap .

 System Safe Entry

It means is system income to the economy Islam based on producing activities _ profit . Because ,
purpose system economy Islam this is remove system flowers to avoid from usury .

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  Giving Guarantee Social

Islamic economy give guarantee social to society by way give rights source force , like state -
controlled wealth .

E. FORM OF ISLAMIC ECONOMIC COOPERATION

In implementation , there is a number of form possible collaboration _ done to avoid from conflicting

things _ with economy Islam , among others are :

 Mudharabah

Mudharabah it means is cooperation Among two split party where capital is 100 percent owned
by financiers , meanwhile the other party will move as manager something effort .
Even though it's 100 percent capital owned by financier , however later permanent profit will divided
equally _ with deal before cooperation walk . Whereas when occur loss in effort such , the owner of the
capital will responsible answer .

 Musyarakah

Musyarakah is the cooperation is carried out with how to get business capital from two split party
. So musyarakah this more flexible and inclined more easy because profit make a loss will felt together
and will borne together in accordance with agreement that has been agreed upon at the outset agreement .

 Al Muzara'ah

Al Muzara'ah is collaboration carried out at least two split party for manage something land
agriculture . So the division is owner land and workers to be work land agriculture . Then when later
already season harvest , then division in accordance with percentage already _ agreed since early .

 Al Musaqah

Al Musaqah also form related cooperation _ with land agriculture . The difference with Al
Muzara'ah is in form cooperation this worker land only responsible answer for maintain plants and no get
results harvest from land . However , si worker land this will given compensation by the owner land in
accordance with agreement certain .

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 F. ISLAMIC AND CONVENTIONAL ECONOMY DIFFERENCES
Islamic economics and economics conventional can say have enough difference _ significant . Because of

the economy Islam more prioritize sharia profitable islam _ two split party in the process of production ,

distribution , until consumption . Whereas conventional more prioritize interest personal . Inside _

economy Islam justice is obligatory , meanwhile _ _ in conventional justice characteristic coincidence .

Besides that's the principle economy on economy Islam based on sharia Islam where Thing that based on

revelation from Allah SWT, meanwhile economy conventional tend no have the foundation used

guidelines in activity economics , so potentially happening profit one party just .

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