The Economizing Problem - and Its Direct Effect on the...

These Short Essays are partial fulfillment of Paper IE1001 of Part 1 of Certified Islamic Finance Professional (CIFP) [DRAFT V0.4] INCEIF Student Name: Mustafa Aydemir Student ID: 1200279 IE1001 Assignment in Islamic Economics - Short Essay No 1 by Mustafa Aydemir - Version 0.4.doc -1- Bismillahirrahmanirrahim The economizing problem - And its direct effect on the economy at large. A short essay from Islamic perspective by Mustafa Aydemir Human beings are greedy by nature and their needs are universally recognized as infinite. A simple prove for this statement is the wish of every person to live forever. The unlimited wants are the main reason that resources are considered insufficient or scarce. This is probably the†¦show more content†¦3 4 Chapra, M. Umer. (1995). Islam and the economic challenge. Leicester, U.K.: Islamic Foundation Abbas Mirakhor (2012). Lecture: Macroeconomic Policies Islamic Finance. Kuala Lumpur, Malaysia: INCEIF IE1001 Assignment in Islamic Economics - Short Essay No 1 by Mustafa Aydemir - Version 0.4.doc -3- In contrary to the secular or capitalist worldview stands the religious or spiritual worldview. It gives tribute and attention to both the spiritual as well as the material aspects of human wellbeing. In fact, the spiritual worldview does not necessarily reject logical reasoning in human improvement, individual freedom or self-interest (Chapra, 1995). This worldview, however, highlights that moral values and good governance are required as restraining factors for freedom and self-interest in the journey of a reaching a civilization where well-being in ensured to all people and to achieve social harmony and family integrity. The direct effects of the economizing problem to a nations wealth are manifold. Well after capitalism had been established in medieval Europe and the west, its consequences in terms of unemployment and mal-distribution of income and wealth became