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It acknowledges a micro-actual scarcity stemming from misdistribution of resources and from greed and gluttony. Hence, one encounters in the Quran the overwhelming emphasis on social justice and rules against waste, accumulation of wealth, and extravagance. The third concept refers to the real scarcity arising from the fact of finite conditions of man on this plane of existence. The physical conditions of man impose a finite constraint. “Man is finite, mortal and aging, limited in time and space.”26 Becoming aware of these constraints as well as of the potentialities of the human state, human consciousness, once awakened, not only allows humans to grasp potentialities but also permits the human realization of them and the ability to transcend the limits of their physical existence to imagine what is and what could be. Humans, thus, realize that their physical existential constraints impose limits on how much of their potentialities they can actualize; they must then “choose between the alternatives grasped by transcending consciousness.”27 The third notion of scarcity dealt with in the Quran is this “existential scarcity” arising from the finite conditions of humans on this physical plane of existence. The Quran's constant reminder of limitations of time on this earth and the rapidity of its passage is symbolized by the question humans are asked on their transition to the next level of existence. They are asked, “How long did you spend on the earth?” and their answer is “A day or part of the day!” (Quran 18:19). Similarly the Quran clearly and repeatedly reminds humans about the natural aging process that erodes their physical and mental abilities (Quran 68:36; 70:16). The existential scarcity caused by the finite conditions of existence of humans on the earth “leads to an allocation problem of scarce means to alternative ends…the resources which are ultimately scarce are life, time and energy because of human finitude, aging and mortality.”28

      Thus there can be scarcity because some humans are selfish, hoard, and do not share with others who are less fortunate, because some humans have excessive wants, or because some humans are lazy and do not work hard enough. Thus scarcity can be a factor only at the local level because some people are taking more than their fair share of resources. While self-interest is fully recognized in Islam, it must be subservient to social interest. Human wants and preferences cannot be accepted as a given but must be shaped to reflect Allah's (swt) intentions for humankind. Conventional economics assumes that humans have unlimited wants and takes this as a given; Islam abhors greed and selfishness and sees them as traits that must be changed. Conventional economics assumes unlimited wants and emphasizes economic growth and material output for human happiness; Islam emphasizes the spiritual. Humans who live in regions with high per capita incomes are not any happier than those in poorer regions, because those living in rich areas invariably focus on their relative material position and, more generally, wealth does not by itself bring happiness. The sharing of material output with the less fortunate is of spiritual importance and brings about inner joy to those who share and should not be seen as charity. It instead supports the unity of humanity and protects the rights of those who for reasons beyond their own control are deprived. Allah's (swt) bounty to humankind has other important dimensions. Allah (swt) is the Ultimate Owner of His Own Creation that is intended for all humankind of all generations. These gifts, such as all depletable resources, water, land, and the environment, generally must be managed in trust so that the rights of all humans of this and future generations are preserved.

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      1

      Published in London by Macmillan in 1936.

      2

      Smith (2006, pp. 186–198).

      3

      For the U.S. data cited here, see G. William Anderson, “Who Rules America?” (http://www2.ucsc.edu/whorulesamerica/power/wealth.html). For Organisation for Economic Co-operation and Development (OECD) data, see “Growing Unequal? Income Distribution and Poverty in OECD Countries” (

1

Published in London by Macmillan in 1936.

2

Smith (2006, pp. 186–198).

3

For the U.S. data cited here, see G. William Anderson, “Who Rules America?” (http://www2.ucsc.edu/whorulesamerica/power/wealth.html). For Organisation for Economic Co-operation and Development (OECD) data, see “Growing Unequal? Income Distribution and Poverty in OECD Countries” (http://www2.ucsc.edu/whorulesamerica/power/wealth.html).

4

Kindleberger (2011).

5

Ul-Haq (1995, p. 3).

6

Ul-Haq (1995, pp. 46–66).

7

Sen (1999, p. xv).

8

Ibid., p. xii.

9

Ibid., pp. xii–xiii.

10

Akerlof and Shiller (2009, p. ix).

11

Akerlof and Shiller (2009, pp. xi, 4–5).

12

For a detailed discussion of these points, see Mirakhor (2010).

13

Mirakhor (2003).

14

Schumpeter (1954, pp. 73–74).

15

Udovitch (1970).

16

Chapra (2010, p. 10).

17

Chapra (2010, pp. 11–21).

18

Ibid., p. 11.

19

The book was first published in or about 1945 in Egypt but did not become available in the rest of the Muslim world until the 1950s. It was translated into English much later by John B. Hardie as Social Justice in Islam (Lahore: Islamic Book Services, n.d.).

20

For a recent rendition of Maulana Mawdudi's ideas on Islam and economics, see Ahmad (2011). This book competently culls and integrates Mawdudi's ideas from various pamphlets, speeches, sermons, and writings.

21

See also an enlightening essay by perhaps the most brilliant student of Al Sadr, Ammar Abu Raheef, in Al–Hassani and Mirakhor (2003).

22

Monzer Kahf, “Definition and Methodology of Islamic Economics Based on the Views of Imam al Sadr,” paper presented in the International Conference on Imam Sadr's Economic Thoughts, Qum, Islamic Republic of Iran, May 2006.

23

This book was published first in 1960 and Iqtisaduna in 1961. There is a parallel with Adam Smith who wrote his ethico-philosophical work, The Theory of Moral Sentiments, long before his more famous

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