Maqasid Foundations of Market Economics

Drawing on received sources of maqasid (Shari'ah's practical objectives), this book demonstrates how the principles of market economics affect how markets and financial institutions actually operate under Shari'ah law. It explains the maqasid economic rationale of precluding interest rates on money capital from legitimate economic exchange. This title explains the exchange economics behind the Shari'ah compliance conditions of Islamic finance. Drawing on received sources of maqasid (Shari'ah's practical objectives), this book demonstrates how the principles of market economics affect how markets and financial institutions actually operate under Shari'ah law. It shows where Islamic economics converges with and differs from conventional economics through the banning of usury and other Shari'ah-prohibited trade practices. It departs from the common conceptual grounds of market behaviour shared by the maqasid approach and the conventional approach to economics. It clearly explains the maqasid economic rationale of precluding interest rates on money capital from legitimate economic exchange. Students can check their progress with learning outcomes, chapter previews, chapter summaries and revision questions.