Islamic Economics

Religion would soon overcome the crisis of the civilization of materialist values of life. In this context the Islamic economy will be the subject of study. Consumerism and craze for ornaments and property are some of the vices that go to precurse hatred and violence in living. Islamic economics in its economic philosophy would root out these vices. Its mechanism is in interest-free loans. If interest disappears in the economy its morphology will be qualitatively different. It would be a convulsive change.<br />Righteous values of living and the preference for eternal bliss have been underpinned in Holy Quran. Accordingly output and employment will be calibrated. Irreversible trend would be experienced in market prices in free competition. Islamic economy will be a civilization of downward moving prices. Increasing purchasing power of money is the clue to cure the vices of interest. Other legislative prescriptions in the policy will cause disappearance of interest. Theorization of savings investments gainful employment of all citizens in the workforce has to overcome the conventional analysis. Thus Islam realized is the consummation of peace for mankind.</p>