Production-Consumption Relationships in Capitalist, Socialist and Islamic Moral Economics: A Comparative Normative Analysis
Abstract
This study examines the production and consumption relationships of Capitalist and Socialist economic systems from a comparative perspective, discussing the structural limitations of these systems in addressing fundamental issues such as social justice, income distribution, and sustainable welfare.
The study proposes a unique conceptualisation called “Iqtisadism”, based on the concept of “Iqtisad” at the heart of Islamic thought. This approach to Iqtisadism offers a normative-theoretical perspective based on the principles of moderation, balance, and justice, rooted in the Qur’an and Sunnah, as the founding elements of the economic system. It re-examines Islamic economics not merely through the prohibition of interest or financial instruments, but as a holistic economic order encompassing production, consumption, and distribution relationships. The homo-islamicus individual model at the heart of economics removes the economic actor from being a subject solely pursuing utility maximisation, defining them instead as a multidimensional actor acting with social responsibility, moral sensitivity and a sense of balance.
In this study Capitalist, Socialist and Iqtisadist systems are compared based on common analytical criteria such as the individual model, understanding of property, purpose of production, consumption limits and legitimacy criteria for economic behaviour. The findings of the analysis show that, in contrast to the market-centred excesses of the Capitalist system and the problems arising from the rigid planning and lack of incentives in the Socialist system, Iqtisadism offers a balancing moral framework. In this context, Iqtisadism offers a human-centred and normative economic perspective that aims to bring together economic activity and moral responsibility in the modern world.
Keywords
References
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Details
Primary Language
English
Subjects
Policy and Administration (Other)
Journal Section
Research Article
Publication Date
October 21, 2026
Submission Date
June 23, 2026
Acceptance Date
September 17, 2026
Published in Issue
Year 2026 Volume: 6 Number: 3