ISLAMIC HISTORY OF ECONOMIC THOUGHT

ISLAMIC HISTORY OF ECONOMIC THOUGHT

CHAPTER I

Islam and the development of economic thought

A. Islam as a living systemIn Islam, the main principle in human life is God Almighty. Meanwhile, humans are creatures of Allah in creating the most perfect in form, that in carrying out assigned leadership in the face of the earth in order devotion to the almighty creator.

B. Position sense in Islam and its influence on the development of knowledge ilmIntellect is the power of thinking exists in the human soul, namely the power gain knowledge by observing the nature around.Reason has a very important position in the religious teachings of Islam to seek and develop science.

C. History of Islamic economic thought.The history of economic thought Islam is divided into three phases.1. The first phase / phase of the economic fundamentals of Islam (H/ke-11 the 5th century AD)Pioneers in this phase is the jurist who focus on what is handed down by Sharia, then the Sufi encourage mutually beneficial partnership, then the philosophers to keep relying on Sharia in thinking
The Islamic economic thinkers of the famous are as follows:

a. Zaid ibn ali (80-120 H/699-738 M)He argued that the sale of goods on credit at a price higher than the cash price is valid stu transksi form and can be justified as long as transksi was based on the principle of mutual benefit between both parties.

b. Abu harifah (80-150 H/699-767 M)One contract is an agreement that popular greetings.One of his stu policy is to eliminate ambiguities and disagreements in matters of transactions.

c. Abu Yusuf (113-182 H/731-798 M)Islamic economic thought which he emphasized is the emphasis on the responsibility of the ruler.

d. Muhammad ibn Hasan al-syaibani (132-189 H/750-804 M)Secar general view - view of the economy he stated in his work Islam tend to be associated with the behavior of a Muslim individual.

e. Ibn miskawih (d. 421 H/1030 M)One view he is about the exchange and the role of money, then humans are social beings who must help each other.

2. The second phase / phase bright (Century 11-15 M

 The Islamic economic thinkers of the famous are as follows:

a. Al-Ghazali (451-505 H/1055-1111 M)

The main focus of his attention lies in the community, the foundation of morals and how they see themselves should bring him in accordance with Islamic Shari'a, he also discusses the various POINTS related to economic behavior of individuals within the context of community life.
In economic transactions, the focus of his attention fixed on justice that DAPT only materialize if all contract based on the willingness of all parties agree, the absence of coercion, fraud, or ignorance of one stu-related parties.

In general, the view - his view is normative, he was also fully aware of the role between demand and supply determine the price preformance.

b. Al-Maqrizi (845 H/1441 M)

He made a special study of money and rising prices - prices in a state of starvation periodic drought.
He identified three causes of food scarcity events naturally by rain failure, namely: corruption and poor administration, the tax burden is too heavy for the tenants and increase the currency supply of money.

3. The third Fae / stagnation phase (1446 H/1932 M)

Known for its stagnation phase since this phase is the phase of the closed doors of ijtihad (independent judgment)
In this phase JURISTS just writing notes - notes of his predecessors and issued a fatwa in accordance with standard rules for each - individual schools, and calling for a return to al-quran and hadith as our way of life.
As for the characters - in this phase thinker among others represented by: WaliAllah Shah (d. 1176 H/1762 M) Jamaludin Al-afghanis (d. 1135 H/1897 M) Muhammad Abduh (w.1320 H/1905 M) and Muhammad Iqbal (d. 1375 H/1938 M)