Incorporating values in economics through an integrative methodology

Shaikh, Salman Ahmed (2026) Incorporating values in economics through an integrative methodology. The Journal of Muamalat and Islamic Finance Research, 23 (1). pp. 22-42. ISSN 1823-075X E-ISSN 2948-5266

PDF - Published Version Restricted to Repository staff only Download (7MB) | Request a copy

Abstract

To effectively address the issues of environmental and social sustainability, this study makes the case for an economics framework that is driven by values. Religious worldview and revealed knowledge shapes people’s preferences and choices. It also establishes moral standards and guidelines for both individual and collective life. Through financial intermediation and redistribution, religious institutions also have an impact on markets, and exchange outside of them. As a categorical variable, religion is used as an institution in mainstream economics to examine its effects on economic outcomes. However, religiosity as a continuous variable is not incorporated in mainstream economics paradigm. Neoclassical economics can analyse how the faith-conscious agents behave in market segments like Halal food, Halal cosmetics, Halal medicines, Halal financial services, and so forth. However, when analysing the allocation and distribution of economic resources outside of markets, where the motivation goes beyond private self-interest, mainstream economics does not have a suitable and pluralistic paradigm. To maintain the analytical distinction between economic behaviour in markets and non-economic behaviour beyond market, this study advocates for methodological pluralism through an integrative methodology in Islamic economics

Item Type:	Article (Journal)
Uncontrolled Keywords:	Islamic economics, self-interested behaviour, utility maximisation, profit maximisation, marginal analysis
Subjects:	BPH Islamic Economics BPL Islamic education
Kulliyyahs/Centres/Divisions/Institutes (Can select more than one option. Press CONTROL button):	Kulliyyah of Economics and Management Sciences > Department of Economics
Depositing User:	Dr. Salman Ahmed Shaikh
Date Deposited:	23 Jun 2026 12:45
Last Modified:	23 Jun 2026 12:45
Queue Number:	2026-06-Q3731
URI:	http://irep.iium.edu.my/id/eprint/129422

Actions (login required)

View Item