scholarly journals THE ROLE OF THE STATE IN THE ISLAMIC ECONOMIC SYSTEM: A REVIEW OF ABBAS MIRAKHOR'S THOUGHT

Author(s):  
Havis Aravik ◽  
Achmad Irwan Hamzani ◽  
Nur Khasanah

Islamic economy is a progressive and dynamic economy. Various new theories have been raised as an offer for the development of Islamic economics, one of which was carried out by Abbas Mirakhor. This article discusses the main principles of the economic system to the role of the state; an offer of Abbas Mirakhor to Islamic economics. To know more deeply the Islamic economic thoughts offered by Abbas Mirakhor, from the main principles of the economic system to the role of the state in the economy. This article uses a type of qualitative research using library research. The results of this study indicate that Abbas is a practitioner of Islamic economics and finance who has a good reputation in the world, both Islam and the West and is considered a reformer in the Islamic economy, and is part of the Iqtishad school of thought. In the field of the Islamic economic system, Mirakhor argues that the main principle of the Islamic economic system requires distribution in two mechanisms, namely freedom, and justice, without which prosperity will not be realized. Therefore, there is a need for a hermeneutical approach to answering various problems that occur in the Islamic economic system. In the context of the state, according to Mirakhor, the state has a very significant role in the welfare of society, especially through its productive policies. The state must also be present in realizing justice amid society.

2019 ◽  
Vol 5 (2) ◽  
pp. 135
Author(s):  
Khairuddin Wahid

If the teachings of neoclassical economic systems minimize the role of the state in the market, and conversely the teaching of socialist economic systems maximizes the role of the State in the market, Islamic economic systems teach that markets, countries and individuals are in balance (iqtiṣād / equilibrium). This means that for Islamic economic systems, the State is in a unified system. However, Islamic economic systems guarantee a free market mechanism, where sellers and buyers are free to compete fairly in terms of equity. To guarantee the sustainability of this market fairly, from the outset the Messenger of Allah saw attention to the market by conducting an investigation into the market. This sunna is preserved by friends and the Islamic world, which in turn is transformed into an institution of ratio. After observing the objectives, principles, and characteristics of Islamic economic systems, it turns out that the existence of this market watchdog is a necessity, as a logical consequence of the Islamic economic system it self.


2016 ◽  
Vol 1 (1) ◽  
Author(s):  
Muhammad Kambali

The economic crisis that convolved the world economy a few years ago is the result of a series of government policies in the economic field. Starting from the Subprime Mortgage in America, the crisis eventually spreads across all sectors of the economy. As analysts say that the explosion of the current economic crisis is caused by the trend of low interest rates that are applied by the Fed. The trend of low interest rates will give rise to expectation of market to future economic situation. It is characterized by the overflow of capital expansion in all sectors, especially in property sector. Today, along with the growing mobility of capital from one country to another as part of unavoidable economic liberalization, mobility of capital, on the one hand, has spawned some of the imbalances in the life of a State. The powerlessness can not be separated from economic ideology and system on state role in the economy. Capitalism with its laissez faire brings the concept of state minimal role in the economy. In the empirical facts, it is broken by the crisis situation in 1930 and today's financial crisis. Socialism tends to carry the central role of the State in the economy through the centralistic planning system. The fall of the Soviet Union in the 1980s brought the world to a choice whether reconstructing capitalism or socialism as Fukuyama and Gidden said. On the other hand, as the new system, the economic system of Islam brings the concept of the role of the State in the economy on the basis of universal values of Islam, such as justice in the economy which is reflected in the mechanism of the prohibition of riba (usury), just income distribution and redistribution of income through zakat and social security. This article is an exposure of the State's role in the economy which is studied through the perspective of today’s economic system. The systems are capitalism, socialism, and Islam. The article not only explores conceptual framework, but also also contains an empirical framework mapping and how the conceptual framework is operated. At the end, from the two mapping (conceptual and empirical), author draws a reflection of how the State should play a role in the economic field. Keywords: Capitalism, Socialism, Islam, Economic Role of State


2016 ◽  
Vol 1 (1) ◽  
pp. 16-35
Author(s):  
Muhammad Kambali

The economic crisis that convolved the world economy a few years ago is the result of a series of government policies in the economic field. Starting from the Subprime Mortgage in America, the crisis eventually spreads across all sectors of the economy. As analysts say that the explosion of the current economic crisis is caused by the trend of low interest rates that are applied by the Fed. The trend of low interest rates will give rise to expectation of market to future economic situation. It is characterized by the overflow of capital expansion in all sectors, especially in property sector. Today, along with the growing mobility of capital from one country to another as part of unavoidable economic liberalization, mobility of capital, on the one hand, has spawned some of the imbalances in the life of a State. The powerlessness can not be separated from economic ideology and system on state role in the economy. Capitalism with its laissez faire brings the concept of state minimal role in the economy. In the empirical facts, it is broken by the crisis situation in 1930 and today's financial crisis. Socialism tends to carry the central role of the State in the economy through the centralistic planning system. The fall of the Soviet Union in the 1980s brought the world to a choice whether reconstructing capitalism or socialism as Fukuyama and Gidden said. On the other hand, as the new system, the economic system of Islam brings the concept of the role of the State in the economy on the basis of universal values ​​of Islam, such as justice in the economy which is reflected in the mechanism of the prohibition of riba (usury), just income distribution and redistribution of income through zakat and social security. This article is an exposure of the State's role in the economy which is studied through the perspective of today’s economic system. The systems are capitalism, socialism, and Islam. The article not only explores conceptual framework, but also also contains an empirical framework mapping and how the conceptual framework is operated. At the end, from the two mapping (conceptual and empirical), author draws a reflection of how the State should play a role in the economic field.


2020 ◽  
Vol 7 (7) ◽  
Author(s):  
Rezky Panji Perdana Martua Hasibuan ◽  
Anisa Ashari

AbstractCorona Virus Disease 2019 or known as Covid-19 has been declared as a pandemic established by World Health Organization (WHO). In addition to causing health emergencies, the presence of this virus also has implications for several sectors such as finance that have an unstable economy. Based on this the role of the state is needed to ensure its prevention and treatment. Indonesia as a state of law must actually guarantee the certainty and protection of its citizens through the handling set forth in a regulation and the establishment of central and regional synergy. This study will comprehensively examine the situation of the covid-19 pandemic in Indonesia and the role of the state in handling this pandemic both at the central and regional levels, even through handling in the perspective of emergency state law. This research uses a normative juridical research type through the legislation approach and obtained through library research as a reference source. The results of this study are to explain and explain the role and effort of the state in carrying out the handling of a pandemic as a manifestation of the purpose of the state's presence to protect the entire Indonesian nation. Keyword : The Role of the State, Corona Virus Disease 2019, Regulation, Emergency State Law


2014 ◽  
Vol 6 (1) ◽  
pp. 23-52
Author(s):  
Ali Rama ◽  
Makhlani Makhlani

The Similarities of Indonesian Economy Constitution to Islamic Economy. This study invistigates the similarities between the constitution of the Indonesian economy and Islamic economic system. It finds that the constitution of Indonesian economy have in common with the Islamic economic system, especially at the basic values, basic principles and instrumentals. The main similarities lie in the principle of economic activities based on the principles of solidarity and togatherness and the role of the state in the allocation of economic resources for economic prosperity and welfare of the whole people. Another important similarity is the presence of high concern towards the needy and neglected children through various economic policy instruments such as social security and social protection programs. Therefore, it is no longger relevant to polarize between the Indonesian economic constitution or Pancasila economic system and Islamic economic system  DOI:10.15408/aiq.v6i1.1367


2018 ◽  
Vol 1 (1) ◽  
pp. 17
Author(s):  
Zuwardi Zuwardi

The purpose of this research is to 􀏔ind out and explain the Socialist Economics, Tan Malaka, according to Islamic economics. This type of research was library research by using content analysis. The results showed that in the perspective of Islamic economics, the Socialist Economics, Tan Malaka has similarities in terms of objectives and goals. The form of the equation among others is the equality ofconcepts of justice, prosperity and welfare which are the goal of the economic system. This equation was also seen in the form of abolition of slavery and oppression.Beside the spirit of brotherhood, and mutual help or assistance proposed by Tan Malakawere also owned by Islamic economics. The role of the State in socialist economic policy Tan Malaka is also owned by Islamic economics. The prominent difference in Tan Malaka's socialist economy in terms of Islamic economics lies in the ways or instruments he uses such as zakat, infak, shadaqoh, waqf, banning ribs and so forth. In addition, differences are also seen in the philosophical foundations and rules that support the economic system.


2017 ◽  
Vol 35 (1) ◽  
pp. 27-46
Author(s):  
Anna Jarosz-Nojszewska

Abstract As Poland regained independence in 1918, it immediately had to deal with the question of how to shape its political and economic system. One important but at the same time controversial issue was the level of the state’s involvement in the economic life of the country and the measures used. In numerous debates among economists, the dominant topics included problems in the industry - in particular issues such as statism, monopolization, policy towards cartels and, in the later period, economic planning. The article presents the course of the discussion on the role of the state in the economy that took place in Poland in the years 1918-1939, as well as a review of arguments put forward by the proponents and opponents of state’s economic interventionism. For the purpose of this article, three groups that were most active in the debate were selected: the Kraków School, the Leviathan organization and the First Economic Brigade.


2019 ◽  
Vol 11 (1) ◽  
pp. 65-80
Author(s):  
Sukamto

Since the enactment of Law No. 13 of 2003 concerning Employment, outsourcing labor is a reference for employers to add and reduce their employees. Employers feel safe in the context of efficiency in production costs (cost of production) if the outsourced worker is a worker services company, then the person responsible for the outsourced worker is a worker service company. In practice, outsourcing workers often receive unfair treatment in remuneration. In the Islamic economic system justice is upheld and becomes the main foundation in every economic activity. To realize justice, Islam presents the role of the state as a referee who maintains hunting regulations. This includes the obligation of employers to voluntarily return 'surplus value' to their workers. The state must make a forced effort if employers do not want to run it voluntarily. On the other hand, this combination of syirkah-ijarah in the outsourcing labor contract makes workers no longer a separate entity from the means of production as in capitalism. On the contrary, the concept does not make workers the absolute ruler of the means of production.


2019 ◽  
Vol 1 (2) ◽  
pp. 133-152
Author(s):  
Dedi Junaedi ◽  
Faisal Salistia

 The purpose of this study is to actualize and revitalize fiscal concepts or sources of revenue in Indonesia in a perspective review of Islamic economic thought. The method used is the study of literature and qualitative descriptive analysis of thoughts that have developed in the history of Islamic economic thought as well as its adaptation, actualization, revitalization and contextualization efforts to formulate more stable, blessing and sustainable sources of Indonesia's APBN revenue. The results of the study can be briefly formulated that in general fiscal policy discusses the role of the state in the function of allocation, distribution and stabilization of the national economy. In the allocation function, the state determines what state financial resources are used for; the distribution function regulates how state policies manage the budget (expenditure) to create a mechanism of equitable economic distribution in society; and the function of stabilization is how the state creates a stable and sturdy economy that supports the economic wheels. The budget deficit - as experienced by many countries, including Indonesia - is a signal of the importance of managing a country's fiscal policy. The history of the glory of Islam has provided valuable lessons on how Islamic economic development was once a solution that delivered prosperity and prosperity to all its people. Various sources of revenue ranging from zakat, ghanimah, fai, kharaj, fai, ushr, khumus, nawaib, amwal fadla, special taxes, import duties, import duties, grants, gifts, expiation, and several other financial sanctions have been moved to become a source of state revenue very big one. If you are willing and willing to make efforts to adapt, re-actualize and revitalize the sources of revenue, a similar succession can be applied at the present time by any country, including Indonesia. Keywords: budget, Islamic economics, financial, fiscal, tax, zakat


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