Social Choice in an Islamic Economic Framework
In this paper, the decision-making character of shura, the consultativedemocratic concept in an Islamic social order, will be shown to clearly definethe determination of both state variables (socioeconomic variables) and policyvariables and the simulative interactions between them. These variables willthen be shown to configure the consumption, production, and distributionmenus in an Islamic political economy. They will thus be shown as clearlydefined variables that help to formulate the social choice, the social welfarefunction, and the institutional decision-making problems in an Islamic politicoeconomicorder.Shuratic Decision Making in the Perspective ofOrganizational TheoryThe Islamic shuratic (i.e., based on shura) decision-making process isthe centerpiece of organhtional behavior in Islamic institutions. The followingis a technical explanation of this process in light of modem organizationaltheory:’(a) Shura is structured into representative decision makers fromvarious walks of life (“sharees”).(b) “The abstract nature of each individual task” is carried outby ijtihad and the interpretations and implementation of theShari’ah (Islamic law) to various socioeconomic problems ...