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Islam & Contemporary Economic Systems
Muslim Students' Association of the United States and Canada -- reprinted 1973, 1970
- By Dr. Muhammad Abdur Ra'uf

REINTERPRETING THE FAITH?

We hear these dlays an urge for modernizing Islam to face the challenge of the modern world, or a need for reinterpretation of the Qur'an and the Islamic teachings.

Islam, a highly efficient guidance, appeared in the deserts of Arabia through an illiterate man; an evidence that this guidance is not the work of a human being. The foundation was established divinely by God Himself. We know historically as well that this guidance was capable of guiding millions of people, generation after generation, in all parts of the world and in all aspects; sociological, cultural, economic; and yet they functioned efficiently. Now, some forces are attempting to drive us to doubt our faith, so that ultimately our faith can be easily disintergrated. Open confrontation against our faith, they realize, would be unsuccessful. So the only way to shake our faith and confuse our minds is to raise certain questions.

For example, I was visited a couple of days ago by some senior members of a Christian church, who came to discuss with me certain points. They raised the questions which I believe many of you have encountered. As you know, we Muslims believe in the transcendence of God, the Christians said: Your God is transcendent, and unrelated to and separate from the world. Our God is living with us; He is in the world in the form of the Holy Spirit."

This is one instance of the problems we face, and we have to understand them. Actually, when we say: God is transcendent, we mean that God being perfect in His existence, and His existence being wajib or inherent and independent, unlike our own existence or the existence of anything else in the universe. His character is absolutely different, and it could not be in any way similar to ours. We say that God is one and stress this unity not merely in number, but also in attribute. He is unique, there is nothing like Him. But he is also described as knowing, seeing and hearing. Yet His hearing and seeing are in a way that is unlike our hearing and seeing. We say God is transcendent because He could not be in fact in this world, otherwise He would be contained in space. Yet God is not removed from us.

In accordance with bur basic belief, at no time is this world separate or detached from God's knowledge. All the time we know that this whole universe is being operated and sustained by the work and management of God Himself in accordance with His eternal decree. We cannot imagine a world so complex, but at the same time so coherent, so efficient and harmonious, without an intelligent great power behind it; this power is God. God is close to us. He is not with us in a physical sense, but he is with us in His knowledge and awareness.

Again let me mention one more example. We are also asked: "Do you have a movement in the Muslim world for reinterpreting the faith?" There are now in Judaism and in Christianity movements which attempt to reinterpret the Scriptures in order to make them consistent with modern scientific principles. Yes, they may need this badly. This need stems from the corruption of their original genuine teachings. But do we need such reinterpretation?

Take for example the Torah which was revealed to Moses. After him His people disputed about it. They lost the original, and many years later it was rewritten from memory. This made-up version contains things about God Himself with which we cannot agree. For example, the claim that God. fought with a mortal and the belief, attributed to Moses, that the sins of an individual are passed on to his children. There are also many unpalatable statements and shameless accusations of the Prophets. The stories of Jacob and David, e.g., as told in the Old Testament is wholly inconsistent with the image of the good and noble life that we associate with God's Prophets.

This business of reinterpretation sometimes takes on mystifying and arbitrary forms. They claim on the basis of the Old Testament that Abraham was given a promise by God that his seed will be in possession of the territory between the Nile and Euphrates. From this they derive certain oppressive political conclusions in the Interest of a racist group. But did Abraham only produce Isaac; did he not produce Ishmael?  Since he was the father of Ishmael too, an acknowledged truth by the Old Testament, then this Biblical prophecy should obviously apply to the seed of Ishmael too.

ISLAM AND ECONOMICS

Now I come to the subject of economics and the Qur'-an and Hadith. Being not well acquainted with the terminology of this subject, I have to treat it only in general terms.

If we attempt to plan a modern economic system based on the Qur'-an, we have to take account of the needs of the time and the whole framework of our moral teachings relevant to this such as: "Oh you who believe: Squandor not your wealth among yourselves in vanity. Except it be a trade by mutual consent." 4:20. Here of course the verse prohibits earning a living by means which are not legitimate. These means, we are told elsewhere, comprise games of chance, theft, extortion, and so forth. The legitimate means, on the other hand, are such useful things as engaging in agriculture, productive industries and other pursuits useful to oneself and to society. If one cannot be productive in this sense, then he can exchange goods with others. This exchange must, however, be through the mutual acceptance of both parties. This kind of transaction is fully described in the literature of fiqh. The Prophet says, "Sale can only be through mutual acceptance." There can be no coercion in regard to these economic dealings.

Again, there are injunctions against what is called ghabn and gharar, that is, deceiving in business dealings. Once the Prophet saw a salesman with a heap of corn in front of him. The corn appeared clean and dry, but when the Prophet dipped his hand into the heap he found wet corn underneath. Thereupon he reproached the man, who tried to take shelter under the excuse that the wetness was due to rain water. But the Prophet replied that if the wetness was because of the rain why did the dealer hide the wet parts, and expose only the dry parts? The Prophet added: "He who so deceives us is not from amongst us."

Again, the Prophet forbade the sale of al-musarrah (when someone stops milking his cow a day or two preceding its sale in the market in order to give a false impression about the animal's milk-giving capacity.)

Principles like these can provide bases for the experts to derive systems of behavior. In these principles of honesty in business dealings and in the Islamic teaching of hard work and earning of livelihood, guidance can surely be obtained. Within the framework of broad and flexible principles Islam provides an adaptable guidance for the creating of any sensible system.

I recently read a book dealing with the problem of capitalism, communism, and Islam, written by a distinguished Muslim scholar. In this book the author was trying to explain that the Islamic system is somewhat different from the capitalistic system. I would agree that Islam is obviously different from the communistic system. But it is some what difficult to necessarily differentiate the system of Islam from that of capitalism unless you include in the definition of capitalism certain inherent evils. Without these evils, the difference is really very difficult to explain.

However, I would say that we need not use these terms, or maintain that Islam is a capitalistic or communistic or even socialistic system. It is enough to say: "The Islamic system." Islam in fact takes the best that can be formed in each of these systems. For example, in capitalism the basic idea is to provide the individual with the right to possess the results of his own endeavor and give him a stimulus to work and to create. Well, this Islam also recognizes. Communism or socialism on the other hand, emphasizes the need of cooperation and regard for the weaker segment of society. This we know is very much emphasized in Islam.

We also know from the work of the Prophet, and from the practice of the early caliphs, that the state at some stage has the right to intervene for the benefit of the community as a whole. We know for example that 'Umar Ibn al-Khattab did in fact intervene and took away some properties which he believed were not legitimately earned. We know how he dealt with some of his governors when they grew rich in their posts. Therefore, it is not feasible, I believe, to formulate a rigid single system of economy at a given time and say this alone is the system of Islam.

Islam is so flexible that it would permit adaptability at any given time and in any given environment, so long as it does not become inconsistent with its basic moral teachings.

We, however, have to realize the interrelationship the close interdependence beitween the Various aspects of life, both of the individual and society. I mean that society as a whole has an organizational aspect, a cultural aspect, a religious aspect and also an economic aspect, so your system of economy should harmonously fit with the need of all the other aspects of life.

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