Finance and economic development in Islam, historical perspective

Cizakca, Murat (2012): Finance and economic development in Islam, historical perspective.

Abstract

ABSTRACT This article first identifies the basic theoretical characteristics of an Islamic economy as discussed by contemporary Muslim economists. Then inquires whether these characteristics were ever implemented in history. The next question tackled concerns the consequences. The author asks whether an Islamic economy has ever led to sustained economic growth. In view of the powerful evidence, the answer to the question is a resounding and definitive, `yes`. An attempt has also been made to explain the institutional mechanisms by which this success has been achieved. Finally, the question of decline is also tackled followed by policy proposals to remedy the situation.

• Item Type: MPRA Paper
• Language: English
• Keywords: Islamic capitalism, economic development and Islam,Economic decline and Islam
• Subjects: Z - Other Special Topics > Z1 - Cultural Economics ; Economic Sociology ; Economic Anthropology > Z12 - Religion; N - Economic History > N0 - General > N00 - General; N - Economic History > N4 - Government, War, Law, International Relations, and Regulation > N40 - General, International, or Comparative

References

BIBLIOGRAPHY Abu-Lughod, Janet. Before European Hegemony, the World System A.D. 1250-1350 (Oxford: Oxford University Press, 1989).

Ahlmark, Per. “Conclusions from the 20th Century: How War, Mass Murder and Famine Are Related to Democracy and Dictatorship”, Wissenschaftskolleg Jahrbuch, 1998/99, pp. 184-199.

Al-Raysuni, Ahmad. Imam al-Shatibi’s Theory of the Higher Objectives and Intents of Islamic Law (Herndon, VA: International Institute of Islamic Thought, 2006).

Allen, R. C. “Why the Industrial Revolution was British: Commerce, Induced Invention and the Scientific Revolution”, The Economic History Review, vol. 64, no. 2, 2011, pp. 357-384.

Arjomand, Said Amir. “The Constitution of Medina: A Sociolegal Interpretation of Muhammad’s Acts of Foundation of the Umma”, International Journal of Middle Eastern Studies, vol. 41, 2009: 555-575.

Ashtor, E. “The Karimi Merchants”, Journal of the Royal Asiatic Society (new series), 1956, 88: 45-56.

Auda, Jasser. Maqasid al-Shari’ah as Philosophy of Islamic Law (Washington DC: International Institute of Islamic Thought, 2008).

Babacan, Mehmet. “Islamic Philanthropic Institutions and Governance: Evidence from Turkish Experience”, forthcoming.

Baigent, Michael and Richard Leigh. The Inquisition, (New York: Penguin Adult, 2000).

Barkan, Ömer Lütfi. “H. 933-934 Tarihli Bütçe Defteri ve Ekleri”, İstanbul Üniversitesi İktisat Fakültesi Mecmuası, c. 15, no. 1-4, 1953-54.

Bogart, Dan. “Did the Glorious Revolution Contribute to the Transport Revolution? Evidence from Investment in Roads and Rivers”, The Economic History Review, vol. 64, no. 4, 2011, pp. 1073-1112.

Boogert, Maurits H. Van den, “Legal Reflections on the ‘Jurisprudential Shift’ Hypothesis”, Turcica,vol. 41, 2009, pp. 373-382.

Çizakça, Murat. “The Ottoman Government and Economic Life: Taxation, public Finance and Trade Controls”, in Suraiya Faroqhi and Kate Fleet (eds.), Cambridge History of Turkey, vol. 2, (Cambridge: Cambridge University Press, 2012).

Çizakça, Murat. “Long Term Causes of Decline of the Ottoman/Islamic Economies”, in Francesco Ammanati (ed.), Religion and Religious Institutions in the European Economy, 1000-1800 (Florence: Firenze University Press, 2012), pp. 361-377.

Çizakça, Murat. Islamic Capitalism and Finance: Origins, Evolution and the Future (Cheltenham: Edward Elgar, 2011).

Çizakça, Murat. “ Timur Kuran, The Long Divergence: How Islamic Law Held Back the Middle East (Princeton: Princeton University Press, 2011)” review article published in http://eh.net/bookreviews/library, posted: 2011-06-30.

Çizakça, Murat. “Timur Kuran, The Long Divergence: How Islamic Law Held Back the Middle East (Princeton: Princeton University Press, 2011)” review article published in Review of Middle East Studies, vol. 45, no. 1, 2011.

Cizakca, Murat. “Esham”, unpublished staff report (Kuala Lumpur: INCEIF, Dec. 1st, 2011).

Çizakça, Murat and Macit Kenanoglu, “Ottoman Merchants and the Jurisprudential Shift” in Suraiya Faroqhi and Giles Veinstein (eds.), Merchants in the Ottoman Empire (Louvain: Collection Turcica XVI, 2008), pp. 195-213.

Cizakca, Murat. “Democracy, Economic Development and Maqasid al-Shariah”, Review of Islamic Economics, vol.11, No.1, 2007.

Çizakça, Murat. “Cross-cultural Borrowing and Comparative Evolution of Institutions between Islamic World and the West”, in S. Cavaciocchi (ed.), Relazioni economiche tra Europa e mondo Islamicho, Secc. XIII-XVIII, (Prato: Istituto di Storia Economica, F. Datini, Serie II, 38, vol. II, 2006), pp. 671-698.

Çizakça, Murat. A History of Philanthropic Foundations: Islamic World from the Seventh Century to the Present (Istanbul: Bogazici University Press, 2000).

Çizakça, Murat. A Comparative Evolution of Business Partnerships: The Islamic World and Europe, with Specific Reference to the Ottoman Archives (Leiden: Brill, 1996).

Çizakça, Murat. "Tax-farming and Financial Decentralization in the Ottoman Economy", The Journal of European Economic History, vol.22, No.2, fall 1993c, pp.219-250.

Genç, Mehmet. “Yed-i Vahid”, Türk Diyanet Vakfı İslam Ansiklopedisi, forthcoming.

Genç, Mehmet. Devlet ve Ekonomi, (İstanbul: Ötüken, 2002).

Goitein, S. D. A Mediterranean Society (Berkeley: University of California Press, 1971), vols. I and II. Hamidullah, Muhammed. Islam Anayasa Hukuku (Istanbul: Beyan, 2005)

Kamali, Mohammad Hashim. Freedom of Expression in Islam (Kuala Lumpur: Ilmiah, 1998).

Kuran, Timur. The Long Divergence, How Islamic Law Held Back the Middle East (Princeton: Princeton University Press, 2011).

Labib, Subhi. Handelsgeschichte Aegyptens im Spaetmittelalter (Wiesbaden: F. Steiner Verlag, 1965).

McCormick, Michael. Origins of the European Economy: Communications and Commerce AD300-900 (Cambridge: Cambridge University Press, 2001).

Mirakhor, Abbas and Idris Samawi Hamid. Islam and Development, the Institutional Framework, (New York: Global Scholarly Publications, 2009).

Pamuk, Sevket. “Ottoman Interventionism in Economic and Monetary Affairs”, in S. Pamuk, The Ottoman Economy and Its Institutions (Farnham: Ashgate Variorum Collected Studies, 2009), ch. 2.

Sayous, André-E. Le Commerce des Europeens a Tunis depuis le XII Siecle jusqu’a la fin de XVIe (Paris: L’Academie des Sciences Coloniales, 1929).

Sezgin, Fuat. Wissenschaft und Technik im Islam, Band I, Einführung in die Geschichte der Arabisch-Islamische Wissenschaften (Frankfurt am Main: Institut für Geschichte der Arabisch-Islamische Wissenschaften an der Johann Wolfgang Goethe Universitaet, 2003).

Shatzmiller, Maya. Labour in the Medieval Islamic World (Leiden: Brill, 1994).

Udovitch, Abraham. Partnership and Profit in Medieval Islam, (Princeton: Princeton University Press, 1970).

Udovitch, Abraham. “At the Origins of the Western Commenda: Islam, Israel, Byzantium?”, Princeton Near East Papers, nos. 9 and 10, 1969.

Wink, Andre. Al-Hind, The Making of the Indo-Islamic World (Leiden: Brill, 1991).

Zaim, Sabahaddin. “Ekonomik Hayatta Müslüman İnsanın Tutum ve Davranışları”, paper submitted at the First World Congress of Islamic Economics convened Mecca in April 5-11th, 1976 in Hüner Şencan (Ed.), İş Hayatında İslam İnsanı, Homo-Islamicus (İstanbul: MÜSİAD, 1994).

Zaman, Arshad. Review Article, Islamic Studies, 49: 2 (2010), pp. 277-289.