Economic Thought, Foundational Problems of Mainstream Economics and the Alternative of Islamic Economics

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Published: Jul 27, 2020
DOI: https://doi.org/10.18196/ijief.3226
Keywords:
Economic thought, Islamic economics, Islamic banking and finance, Alternative economic thought, Integration of knowledge, Islamisation of knowledge, Mainstream economics, Islah and tajdid, Universal appeal, Heterodox economics, Foundations.

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Jasmin Omercic
International Islamic University Malaysia
Mohamed Aslam Bin Mohamed Haneef
International Islamic University Malaysia
Mustafa Omar Mohammed
International Islamic University Malaysia

Abstract

Economic thought always permeated human living. Economic thought and the development of economics as a discipline in the last few centuries made it central to the world order. However, the foundational problems that mainstream economics suffers from led to uncounted crises and issues within the same order that created it. A physicalist ontology, rationalist epistemology, axiological futility, and methodological deficiency are the problems of philosophical foundations of mainstream economics we reviewed in this paper. The methodology of this paper is qualitative and generally adopts the library research and critical content analysis methods to review and respond to identified foundational problems. Muslims islah and tajdid responses to the West and mainstream economics problems and issues found shape in Islamisation of Knowledge (IOK) and Islamic Economics (IE). The recent shift to Integration of Knowledge (IoK) universalizes the appeal and revives the zeal for IE development in light of IoK based on IOK in this paper. A thorough analysis of IOK, IoK, and IE responses to the West and mainstream economics enabled us to appraise it as the alternative and solution to the foundational problems. The paper clarified the way for future research in IE in light of IoK and directed the academia and industry towards economic reasoning based on robust foundations.

Article Details

How to Cite
Omercic, J., Bin Mohamed Haneef, M. A., & Omar Mohammed, M. (2020). Economic Thought, Foundational Problems of Mainstream Economics and the Alternative of Islamic Economics. International Journal of Islamic Economics and Finance (IJIEF), 3(2), 171–198. https://doi.org/10.18196/ijief.3226
Issue
Vol. 3 No. 2 (2020): IJIEF Vol 3 (2), July 2020
Section
Articles

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Author Biographies

Jasmin Omercic, International Islamic University Malaysia

Jasmin Omercic is a PhD Candidate in Economics at the Department of Economics, Kulliyyah of Economics and Management Sciences (KENMS), International Islamic University Malaysia (IIUM). He holds a Masters in Economics from the same department and university. His Bachelor’s Degree was in Political Science (International Relations, Public Administration, and Political Thought) from Department of Political Science, IIUM. In addition to that, he has done a partial minor in Islamic Studies and a minor in Economics at IIUM as well. Jasmin obtained a Diploma of Islamic Studies from Behram Bey Madrasah in Tuzla, Bosnia and Herzegovina. Areas of focus and research that captivate his interests are alternative economic systems, ethical and moral economics, Islamic and conventional economics, banking and finance, Western and Islamic economic thought and philosophy, waqf and waqf-like institutions (foundations, endowments, philanthropies), NGO’s, economic institutions and systems, economic policymaking, Islamic and Western political thought, Islamic history and contemporary studies and civilization, revivalist and renewal movements in the Islamic world, Islamic law, schools of Islamic law, objectives of Islamic law, etc. Besides academic and scholarly interests, during his stay in Malaysia, he participated in multiple co-curricular activities, conferences, as participants, committee, manager, organizer, and presenter. He is a professional certified trainer from Malaysian Institute of Management (MIM) and a MIM affiliate member. Jasmin is an interdisciplinary engaging and sociable personality as the educational background reveals and multi-lingual. Besides Bosnian as his native language, he speaks English, German, intermediate Arabic.

Mohamed Aslam Bin Mohamed Haneef, International Islamic University Malaysia

Professor Dr. Mohamed Aslam Mohamed Haneef, is currently attached to the Department of Economics, International Islamic University Malaysia (IIUM). His Ph.D thesis entitled a??Intellectual Parameters of Contemporary Islamic Economic Thought and Policya?? won the Ismail Faruqi Award for Academic Excellence in IIUM (1996). He teaches Economics and Islamic Economics at both the undergraduate and graduate levels, including to MBA students. He was Head of the Economics Department, IIUM from June 1996-September 1999, Fulbright visiting scholar at the Center for Muslim-Christian Understanding, George town University, USA from September-October 1996 and held a Commonwealth Fellowship at the Oxford Centre for Islamic Studies (1999-2000). He has published books and articles and conducted research in various areas of Economics, Development Studies and Islamic Economics. His current research interests are in socio-economic impact of awqaf and Islamic Economics and Finance Human Capital Development. He is also actively involved in numerous public and private executive training programmes, specializing in Islamic economics and contemporary development issues. He was the Editorial Board member for IIUMa??s Journal of Economics and Management Sciences from 1997-2010 and its Chief Editor from July 2005- December 2008. In addition, he has also been the Editorial Board member of Intellectual Discourse since July 2008. He is also appointed as the Executive Committee Member, International Association for Islamic Economics (IAIE), 2012-2014. He has held other posts in IIUM which includes President, Academic Staff Association and is currently the Director of the Centre for Islamic Economics, IIUM.

Mustafa Omar Mohammed, International Islamic University Malaysia

Dr. Mustafa worked as an Assistant Director at the Management Services Division (MSD) for over five years, from January 1994 to September 1999 when he joined KENMS, IIUM. Since then, he has taught several theoretical and quantitative courses at the undergraduate and graduate levels. He won quality academic awards in 2003, 2008, 2009, 2012, 2013 and 2014. He has supervised more than 50 dissertations at Ph.D. and Mastera??s levels and is also a journal editorial board member and reviewer panel to more than 15 academic publications. Dr. Mustafa offers consultancy and translation services. His clients include MIFC, BNM, IBFIM, AIBIM, IFSB and other international organizations. He has also conducted trainings on Islamic economics, banking, finance, and Zakat in various countries, attended by the Board of Directors, investors, academicians, Shari'ah scholars, and practitioners. Dr. Mustafa Omar Mohammed currently serves as an Associate Professor in the Department of Economics, KENMS.

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