Problems

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edleh
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Problems

Post by edleh »

By Hamid S. Aziz

Islam is a complete self-consistent system in which all parts are inter-dependent and reinforce each other. Therefore, many Muslims are not content with practicing their religion within the existing Secular systems of life, but desire to re-establish an Islamic Civilization. This presents several inter-linked problems that may be classified as (1) Problems with Muslims themselves. (2) Problems about the World we are living in. (3) Problems of relationship between Muslims and the World.

(1) The main problems with Muslims which keeps them weak and backwards but are inter-dependent is (a) sectarianism (b) the shortage of high quality Muslim leaders (c) deviation from, and corruption of, Islam and due to inadequate knowledge, misunderstanding, introduction into Islam of extraneous malpractice, traditionalism, dogmatism and ritualism without understanding, emotional Sloganism and imitation. (d) The existence of corrupt and often tyrannical leaders of their own, some of whom have interests linked with the West and are, therefore, agents for them. The intelligentsia in Islamic countries which dominates the economic, political and cultural systems, is educated in the Western style, adopt Western ways and loose contact with Islam and the rest of the Muslim population who are then left to the guidance and education of rather ignorant, unintelligent, immoral and often vicious religious leaders.

It is impossible that a nation can revive without harnessing psychological energy by the regeneration of perception and motives through the revival of high value systems, morality and goals. A more sophisticated and modern presentation of Islam and a better religious education is necessary in which the moral and spiritual elements are emphasized instead of dogma and ritualism. A solution to sectarianism would be the recognition that a Muslim by definition is one who tries to submit to Allah, that it is every Muslims duty to make his own studies and efforts and come to his own understanding, but also with the aid of the knowledge and experience of others; that none possesses total knowledge, but all are at different stages on the way, and that Allah will be the judge not a self-appointed authority.

(2) The Western world dominates world affairs owing to three interdependent advantages;-(a) technology (b) organization (c) education, including scientific research.

The organization has the following characteristics:- (i) The number of people in any community who possess the enterprise and vigour, can think and innovate is very small and they tend to go to places where opportunities are greater. In the West an organization has been formed where these few people have harnessed the potentialities of the rest of the population so that they act like the limbs of these few. These few can train and force the others into activities that they would not do by themselves. (ii) This has been done by harnessing those very human characteristics that are regarded as vices by religions, namely greed, lust, pride, vanity, envy, aggression and sloth. These, of course, are also the causes of the crimes. (iii) This creates incentives, competition and conditions, which encourages the development of enterprise and mental effort and channels human psychic energy in a particular direction. It creates imposed cooperation and continuous change, growth and expansion in technology, organization and education. But this produces three problems:- It prevents any further development of the typically human qualities of consciousness, conscience and social responsibility and will (or self-control); it disrupts the social system owing to the fact that self-centredness replaces the family ties and formal order and authority has to be imposed instead; and it puts pressure on the environment and its resources and disturbs the ecological balance.

Islam is against all three characteristics and Muslims have not been able to create an organization based on the opposite principles of human vicegerency, virtue and harmony.



(3) Muslims have not kept up with the progress imposed on the world by the West in technology, organization and education. If Muslims are to catch up the follow will be necessary:- (a) The re-establishment of a proper understanding of Islam in the light of modern developments in the philosophy, sciences, technology, economic and political systems. (b) The establishment of those features of Islam which offer solutions to current problems. (c) The creation of solutions compatible with Islam for the new problems which have arisen in the last few centuries and which are likely to arise in the future. These problems can be classified as (i) psychological, (ii) socio-political and (iii) economic, but they are inter-dependent.

(i) The psychological problems are connected with the following:- Human beings like all other life forms have an inherent genetic nature, G, formed over a long history of interaction with the world. But they also have enhanced awareness and memory, M. As a result of this they learn from their physical, social and cultural environments. Educational systems have been created to enhance this factor. The cultural factor has become increasingly more important than the genetic. The result is that it becomes possible for the acquired factor M to contradict and suppress, distort, channel or enhance the inherent factor G. Delusions can form and inner psychological conflicts and deep frustrations can result. Human beings also have a greater power of processing the data of experience, P. This means that the efforts they make form a third aspect of their nature which is becoming gradually even more important, at least among a section of the people. This factor can either aid, modify, enhance or counteract either of the other two factors.

(ii) The Social problems are connected with the following:- Those who gain power and control over a society are usually those who have greater intelligence, vigour or abilities. This is an advantage to the society in so far as the others are led by them, and benefit and learn from them, and the social system is so arranged that it encourages the multiplication of such people. This is the case among primitive tribes. But the development of the mind, factors M and P, has led to the formation of addictions and fixations (we will call this factor F) and habits and automatism (factor A). Both of these, in fact, produces stupidity, factor S that should not be confused with unintelligence, but refers to motives. The result is the formation of sensuality, egotism, greed, lust, vanity and self-centredness that leads to social irresponsibility. Most of those who acquire power, therefore, use the rest of the society as means to their own self-indulgence, delusions of self-aggrandizement.

(iii) The Economic problems are connected with the following:- Human beings interact with the environment and are inter-dependent with it. The welfare of each depends on the other. But the formation of the factors F, A and S has led to the desire to dominate and exploit the world for illusory purposes. This leads to malfunctions in the environment, within man himself and in the society. It creates waste, pollution, adulteration of food, water and air, and disruption of the ecological system.



The main problem for Muslims in this age appear to be as follows: -

Owing to the fact that populations have increased enormously, but Muslim forgot, ignored or abandoned the spirit of their religion, became habituated to traditions, dogmas and rituals without understanding, failed to fulfill their duties as vicegerents, and to make scientific, technological, organizational and educational progress, they were over taken and dominated by the West. Indeed, the Quran itself promised their replacement :-

"But if ye turn your backs, then I have conveyed to you that wherewith I was sent to you; and my Lord will replace you with another people. Ye cannot frustrate Him at all; verily, my Lord is Guardian over all things!" 11:57 See also 70:40, 76:28

This domination disabled them even further just during those centuries when most the progress was being made. Muslims now find themselves in a world that is quite different from the world as it was when Islam was first founded and the books of law were created to suit the times. At that time mankind was in an agricultural and mainly feudal age. We are now in the third phase of an industrial age where not only Capital but information technology and worldwide communication and transport systems dominate. We are also in an age where population pressure has reduced the size of the family and where industrialization, technology, organization, training and routines have eroded the differences in the roles of the sexes. Whereas things in the past were static over a long period of time, today competition demands research and invention and this creates an ever-increasing acceleration in the rate of change.

It is obvious that new conditions create new problems and that these must be dealt with. Western political systems have institutions that can adapt to these changes, but Muslims have not been able to create any. Western systems, however, deal only with the effects and the immediate economic problems, and tend to ignore the causes of the social and psychological problems that also arise as a result and which have economic, political and environmental consequences. An increasing number of people including Muslims are becoming aware of these, and are no longer satisfied with superficial solutions to human problems. But in Muslim countries, there appear to be two main camps:- There are Modernists, those who have been educated in the Western style, have adopted Western values, have lost touch with their own roots and with their own people, and tend to pursue their own self-interest. Then there are Traditionalists who adhere to the old ideas and institutions and ignore all modern developments. There is an intensifying conflict between these two sections, and the majority of Muslims are trapped between them. Who then is there to write the new Law Books and to adopt and implement them?

As a result of these conflicts and the maladaptation of Muslim countries to the times and the new world environment, there is much agitation and turmoil throughout the Muslim world. There is a revolution in progress and it is hoped that out of it will come a Reformation, a new leadership and new Muslim communities. In the past this always required a new Prophet or religious leader because the problem is basically a spiritual or psychological one. The cultural, social, ethical, political, economic and environmental changes are only consequences of psychological changes, in particular of changes in perception and value systems.

Human beings have a physical, mental and spiritual aspect. Whereas the spiritual aspect is most important, the physical needs are the most urgent. The order of priority according to fact is the reverse of the order of priorities according to values. Herein lies a problem and a conflict within man. Self-preservation and the basic physical needs that ensure this, come first before reproduction and the formation of families and societies. But individuals die and it is the society that continues. Therefore, the value of the individual and his welfare lies in his function with respect to the Society. The needs of the family and society come before spiritual needs are attended. But Objective Reality, the Cosmos is a greater thing than the Society. Nations and Civilizations and even whole Species disappear while the Cosmos remains. The welfare of a Society depends on its adjustment to the Cosmos and its value depends on its cosmic function - in short, on conformity to the Will and plan of Allah.

The health, education, welfare and state of the family, and the leisure for spiritual exercises depend to an extent on adequate economic conditions. The economic conditions are depend on the relationship between three factors - the resources on which supply depends, the population numbers which creates both the supply and the demand, and the ingenuity of the people which coordinates supply and demand. E = RNI. The supply depends on the resources and how they are utilized, especially on the amount of energy that can be used. But the use of energy depends on technology, which depends on resources, organization, research, and ingenuity, and these depend on health and education. In fact, organization and natural resources also depend on human ingenuity - new materials (e.g. plastics) can be created and things that were of no use before can be made useful (e.g. sand can be turned into glass). All this depends on the existence of finance for investment that again depends on the economic conditions.

The human population supplies work, the quantity, quality and relationship of which depends on inherent or learnt skills, health, the number of workers, the nature of the organization, and environmental conditions such as the weather. But population also determines the demand, which depend on the value systems, the psychological state, and the social interactions, political and environmental conditions. The demand has not only increased because of the rise of population but also because wants and expectations per person have also increased. This is partly due to greed, partly due to expansion of knowledge and values, and partly because the social conditions create needs - e.g. because of stresses, disease, congestion, need to travel to work or shop and so on. The population also supplies the ingenuity, which depends on inherent factors, education, social values and stimuli.

There is interdependence between all these factors and a kind of gradually ascending or descending spiral or ladder.



Many Muslim countries are poor owing to an unfavorable resource-population-ingenuity ratio (RPI). Not much finance can be raised within the country to invest in industry. To produce investment Capital, methods have to be adopted to extract it from the people, either by taxation or by increased profiteering by Capitalists. This means an increase in the misery of the people. This is, in fact, what happened during the Industrial Revolution in England and later in the USSR when industrialization was forced on it by a Dictator. If money is invested to produce something new then there are few who can purchase the goods. One could argue that the investment creates the wages paid to the workers in the new industry, and this constitutes the purchasing power for the new goods. But the investment has bought foreign machinery, the cost of which is included in the price of the goods. The total price of the goods is, therefore, greater than the wages. The goods will have to be sold abroad to pay for these. This implies that the materials used in the goods, if not imported, are being exported, thereby impoverishing the country further. If imported then they have to be paid for also. Foreign money is invested only to make a profit, which must also leave the country together with the amount invested. How then can a poor country lift itself out of the poverty trap without oppression? If it borrows money then it must pay it back with interest and it is necessary that the money be used to produce greater value than the interest. This limits its utility. Often it means that the country falls into greater debt, especially when money falls into corrupt hands or into the inefficient hands of those who have no personal interest in its efficient use. More has to be borrowed just to repay the interest. The money is lent by the lender nations only on the condition that it is advantageous to them and this allows them to dictate policies.

One way round this problem is to offer cheap labour to nations where high wages exist. Labour would have to be cheap enough to overcome the cost of transporting raw materials to the factory and the goods to the market. But it also necessary that the labour force have the skills required. The incoming firm would have to undertake the training and as this adds to the costs, this would have to be reflected in the wages paid. It is these new wages which would improve the economic conditions. But obviously the control of affairs would be in foreign hands and the country would be merely a means to someone else's ends. It should be a requirement that the workers be organized and for foreign firms to recognize the organization and enter into a contract with it. The wages paid should always be a percentage of the Profit (Total Income minus expenditure).

Another method would be the creation of a completely self-sufficient community. Since all aspects of an economy are inter-dependent, all of them will have to be set up at the same time but on a small scale. This requires that a training scheme should be implemented to produce persons who can organize such communities. It also requires that money be collected from public charities and the donations of philanthropists to finance the scheme. These communities would set aside a percentage of their income to finance still other communities organized in the same way.



Originally, economics required only resources work and needs. People worked in order to satisfy their needs. They moved wherever the resources could be found. Having discovered that satisfaction of needs was connected with resources and that these were limited in relation to a growing population, competition increased and the idea of property and ownership came into being. A separation arose between need and desire, where the means become an end in themselves and association of experiences, habits and fantasies lead to attachments or greed. However, the development of the faculty for consciousness, conscience and will also led to the arising of value systems. The result is, therefore, that there are now two opposite forces at work in human affairs - those relating to the subjective interest, whims and desires of the individual and those concerned with more objective and universal matters. We now have a conflict between Secular (or Material) and Religious (or Spiritual) systems and ideologies, Between these a third force also exists which concerns itself with family, tribe, race or nation. These three motivating forces may be regarded as associated with the three basic urges that animate all organisms, and indeed all things - the self-preservative, the reproductive and self-extensive.

Later owing to the discovery that different territories yielded different resources and that different people had different talents, the idea of exchange came into being. Work was then no longer done to obtain direct satisfaction but to produce goods for exchange. This separated satisfaction of needs from the production of goods and services. The next step was the invention of money. It was so much more convenient to have something that could be exchanged for any goods or services whatever. Thus, though money mediated between work and satisfaction, it separated them and became an independent factor. The original unity, therefore, split into a kind of economic trinity, the lack of coordination between the members of which is responsible for economic and social malfunctions.

The Western or Secular economic system is based on the idea that each person has the right to maximize the satisfaction of his own desires and that things should be so arranged that he should be able to obtain this satisfaction by supplying the desires of others. The entrepreneur, therefore, tries to increase his resources at the expense of others and invests them where he can obtain maximum returns for himself. There is a pressure to increase the prices and reduce costs (which may decrease quality or increase efficiency), and increase demands and desires in order to raise prices and profits. This is done through advertisement, pressure salesmanship and other conditioning processes and business devices. It is not so much that the industry supplies what people want but that people are manipulated to want what industry produces, irrespective of whether things are needed or useful. The businessman is interested only in the profit - the quality or usefulness of the goods is irrelevant. The result is increasing pressure on resources, increasing wastage, pollution and ecological disruption.

Since the ownership of resources has fallen into the hands of the few, the need to increase profits also means a pressure to reduce the labour force or increase in its productivity. This may be done through the use of machines but also by increasing the hours of work or the speed or efficiency of work. The worker is, in fact, treated as a machine. This is made possible by the fact that the owners, directors and shareholders are remote from the work force. All these forces would lead to the reduction of the actual work to be done per person. But because the owners want to increase their profits per worker employed, each has to work a fixed amount for his wages. The reduction of work then means unemployment - wastage of human resources while reducing the over all satisfaction of needs. This leads to increases of disease inducing tensions and stresses which also distort human perceptions and motivations. It is not difficult to see that it is also this self-centered attitude which is responsible for cutthroat competition, crimes and violence. The richer the few get the less resources there are for the others and the more is wasted. Whereas the poor are deprived the rich suffer from psychological and physical diseases of over-indulgence. It is these results which have brought about different kinds of movements, including communism, designed to remove these harmful ecological, social and psychological consequences. The result is world wide ideological conflicts.

From the Islamic point of view, property is a trust. That is, each person is required to utilize it to the maximum benefit of the community. It is hoped that the most able and virtuous will also have the greatest control of these resources. It is obvious, however, that this attitude cannot run an economy unless the people are truly Muslim and have this kind of conscience and sense of responsibility which comes only from the belief in God, and devotion and responsibility towards Him.

However, it is possible to a certain extent to establish it by legislation. This requires the establishment of a department of Economics that provides licenses only to those businesses that can prove that they provide a useful service to the community and observe all safety measures. No false advertisements, propaganda, inducements and information manipulation, pressure salesmanship etc. would be allowed. Resources, use and quality, would be controlled. Information about goods, services and facilities would be provided by a catalogue similar to a telephone Directory which allows rational decisions to be made rather than by emotional techniques. The present practices of advertisement, shop displays and salesmanship are meant to encourage greed and materialism and to manipulating people for the personal profit of the investors. It causes people to buy what they do not need. It is wasteful of resources and also very costly; creating a lot of junk mail that goes into dustbins. In general these methods merely add to the cost of goods and cause people to take business away from each other. Controls, however, are liable to abuse by those who have the power. The Department would have to be under the control of an Economic Committee of a Democratic Assembly. But this kind of control would certainly be opposed by today's power holders. It is argued that the greater the demand for something, the more it is possible to apply methods of mass production, thereby making goods cheap enough to be afforded by a greater number of people. This would not be the case without advertisement. But this is no longer an excuse when communication and transport can reach a much greater market. A great number of companies producing the same thing divide the market and cannot do the mass production that makes things as cheap as larger ones. On the other hand larger companies have greater overhead costs because of a larger management team which is also more remote from both workers and customers. The human element is then replaced with formal rules.

However, it is likely that the energy sources on earth will be exhausted especially as they are being wasted in enormous quantities. Advances in science and technology may not be fast enough to produce replacements. In order to save on transportation of workers, materials and goods, the emphasis will then be on small local industry rather than large centralized ones. Small scale but adaptable versatile machinery will have to be invented which skilful individuals or small communities could adapt from one use to another as demand fluctuates. The Do-it-yourself industry is already thriving. It would only be necessary to have central factories producing the parts for such machines. The sun and wind would supply the energy and even the thermal energy of the earth or the movements of the tides could be used. Because of the Internet, much office work can be done at home. Local communities would become much more independent of centralized power. A devolution of power will then take place making local communities increasingly more independent.

However, the progress of automation and computer control in Industry implies that less and less workers are necessary to run factories. This means that unemployment increases and all wealth and power fall into the hands of the few owners. This tendency can be reversed either by take over by the State, which also leads to dictatorship, or by the spread of share ownership.
edleh
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Re: Problems

Post by edleh »

Continued from page One
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Since money became independent of both work and satisfaction, supply and demand, certain things became possible:-

(1)Money became a commodity. Financial products could be created such as rights, capital and insurance etc. Money could now be lent and borrowed, and bought and sold. An increasing proportion of money gets locked up in such products instead of real products, services and facilities. It is used in gambling on the stock exchange where profits are made merely from buying and selling stocks and shares. Islam honoured the merchant - the Prophet himself was one - because he did provide a service by taking goods from places where they were easily made to places where they were needed. It encouraged craft and production. This made machinery useful and led to the Industrial Revolution. Trade also brought contact between people and broadened the mental horizons. Obviously the Merchant invested some capital in buying the goods in the hope of selling them for a profit. But profit from Usury and Gambling is forbidden in Islam.

(2) It allowed people to accumulate money and control many other people to the advantage of the few. Since everyone has needs which require money to fulfil, money is power and there is a tendency to seek ways and means to increase it, thus to deprive others and impoverish them. The same cannot be said for goods and services. People do not need and cannot consume more than a certain amount. Redistribution of wealth is, therefore, necessary to remove such control of one person by another. This requires a law by which no person can exploit another for his own profit. Islam requires all transactions to be done by mutual consultation. Though it is true that slavery did exist in Islam, it was a method of dealing with prisoners of war, and provisions were made for the freeing of slaves, who were to be treated with kindness in any case. If people had remained Muslim, slavery should have ended gradually without major political upheavals. The fact is that slavery under Islam was not very different from what is called employment today. Indeed it was better, because slaves could not be thrown on to the scrap heap as employees are today. Employment will have to be replaced with partnerships and contracts. Islam abhors hoarding, encourages spending and has inheritance laws that distribute wealth. Spending is encouraged either in charity or on consumer goods or in investments. In either case the circulation of money is ensured. All accumulating wealth is taxed and redistributed by Zakat.

(3) Usury allows the earning of interest proportional to time. Thus time itself has become a valuable commodity and this leads to an ever-increasing speed and pressure to life. The borrower is under compulsion to repay the loan with interest. Indeed, he has become a slave to the lender. The Banks make their profit by encouraging people to give their surpluses to them by paying them interest, but encouraging others to borrow this at a higher interest. There is, therefore, a pressure to lend that encourages consumerism, materialism and waste. There is a pressure for economic growth and expansion that intensifies competition. When growth stops, unemployment, deprivation and misery results. Competition itself creates greed and conflict but also increases stress and tension which tends to lead to physical, mental, and moral disease. Competition stimulates effort for excellence, efficiency, research and invention and development. But it also produces criminal malpractice and conflicts. Since Usury is forbidden in Islam all this would be reduced. Time and effort could then be used for the pursuit of higher values. But this may put Islamic countries at a disadvantage in relation to those where the pressure for economic growth is retained. On the other hand the advantages in the Islamic system may overcome the disadvantages if it leads to less crime and wastage of resources, better health, greater satisfaction and spiritual fulfilment, and therefore, greater ability. The reduction in wastage could also allow a greater portion of the income and effort to be diverted to development.

The purpose of economic competition is to obtain dominance and control. This certainly leads to practices designed to destroy and eliminate competitors or to take them over or form cartels. This results in ever fewer companies with ever increasing size and power. The power and significance of the individual is proportionally reduced leading to increasing injustices. This is particularly so because those at the top who have control and make the rules are remote from those at the bottom whom it affects and those in the middle who carry out the rules must act like unintelligent machines rather than human beings. There is a tendency towards the formation of monopolies. Governments try to stop this because competition leads to increased efficiency, innovation and fall in prices. But this is likely to stop the increase in efficiency. Firms combine in order to increase their profits by reducing overheads, the cost of multiple administrative structures. None of these problems arise if the workers, themselves are the owners.

(4) Money can be moved around from place to place, electronically. It is merely a question of entering figures in records. It is moved from places where profits are expected to be low to places where profits are expected to be high. But as this lies in the future which cannot be known, there is a risk. There is both the possibility of high profit and of losses. Since the two must balance out boom is followed by slump and economic cycles arise.

It is necessary to realize, however, that if no risks were taken no development would take place. There would be no new inventions if there were not people willing to financially back their manufacture. But there may not be sufficient demand and the product may not sell in sufficient quantities. Before any product is made there is the cost of setting up the factory, machinery, organization and raw materials. The cost of this must be distributed in the price of the goods. This means that a certain number must be sold before profits can begin. Later the cost of maintaining and replacing machinery and the wages of workers, and perhaps their training has to be taken into consideration. This is less than the initial cost. But the higher the price the less the demand. To make a profit the total price cannot be less than the cost of manufacture. The final price per item must be such that the demand is great enough to produce a profit. Usually new goods begin with a high price (and high profit) to serve a small demand and as the initial cost of setting up is recovered the price goes down increasing the demand. If the profit is low then the investors will tend to take their money to where the profit is higher. The greater the difference the greater the movement. This makes all businesses inter-dependent. Note that manufacture will stop when profit vanishes though demand still exists.

If, however, all the workers are the owners and partnership replaces employment, as Islam demands, then things are different. The Profit can be zero only if there is no payment to separate owners and all the income from sales becomes the wages of the working producers. The price can go down to a level that the workers will bear, but they will not be thrown onto the scrap heap. As the price goes down, the income of the workers goes down and this gives them the incentive to go to some industry where demand and, therefore, income is higher, or they can make new inventions or increase efficiency. Industries can be versatile rather than being limited. Changes become gradual rather than sudden and the economic cycles are smoothed out.

The problem with this kind of organization is that all workers are equal and responsible for themselves. There is no hierarchical organization run by the greedy and ambitious that forces them to do anything. They may, therefore do little and behave irresponsibly. A different kind of organization and ethic will be required and a sense of self-reliance, cooperation and responsibility inculcated.

Islam requires that people cultivate skill and perfection in their work - it is part of the personal developmental system. When ability, knowledge and virtue is valued then those who possess these are also respected, obeyed and emulated. It can be argued that self-interest itself will develop this. In the capitalist system the employee was given no chance to develop self-reliance. However, he is encouraged to develop several skills that are advantageous to the company through incentives and fear of being dismissed. But a more primitive behaviour pattern was also inculcated - it is not the quality or value of the work or product that counts but only the rewards one gets out of it. Anything that could increase these profits was good, and it mattered little how shoddy the work or useless the product as long as you could persuade others to buy it. To do this all kinds of persuasion and conditioning tactics became legitimate. Clearly the Islamic economic system will not work without an equivalent Islamic Ethic. It will be in the interest of the company that work is adequately and efficiently done. They will then set up rules and appoint a leadership that can enforce these rules. Those who do not like these can go elsewhere and set up their own organization.

In order to encourage risk taking it is necessary, in the Western system, to arrange that there are high rewards for success and low relative losses. This happens if the entrepreneur is rich enough so that what he invests is relatively small in proportion to his total wealth. Thus Capitalism requires rich people and they get rich by taking a proportion of the wealth earned by the workers they employ. This is considered fair because the Capitalist is providing employment - he is renting the machinery etc. used by the dispossessed (dispossessed by this economic system itself). The difference between what the employee produces and what he gets is equal to the rent charged by the employer. The ordinary worker, it is supposed, is not prepared to take risks and seeks security. Therefore, he looks for employers who take the risk, and his reward is low. In fact, however, the employee does not have the resources to take risks, and employment is not without risk because he can be dismissed at the whim or interest of the employer. He has to obey and sell his self-respect and conscience too.

Now if wealth were more evenly distributed, then the investment could still be found because a greater number would be able to provide a smaller amount each. Instead of one man providing 100 units, 10 could provide 10 units each. But this does not always work. Those who have less tend to use it for consumer goods rather than investment. It is said that Capitalism was encouraged because of the Protestant Ethic. This requires that people should curb their appetites and greed and be frugal while at the same time they were required not to waste or hoard but use and multiply their talents and properties (Matthew 25:14-30) and they would be judged accordingly. This is also part of Islamic Ethics. The Quran likewise discourages greed, hoarding and wastage and encourages useful effort and spending. Man is not judged only by what a person does with property, but with everything he has been given by God - his talents, faculties, time, opportunities, environment, family, and friends. Indeed, the real meaning of "property" is the characteristics he has and what is normally called "property" is never part of the individual. Clearly an ethic is required if wealth is to be more evenly distributed while retaining a high level of investment. The Islamic system will not work without it. In particular the greed that leads to accumulation of large surpluses must be regarded as a kind of sickness.

But money often accumulates automatically because the economic system is an unintelligent machine. This is because people are paid irrespective of needs and they put their money in banks. In order to prevent economic malfunctions it becomes necessary to desperately find places to invest the money. The Quran encourages spending. Spending can take three forms :- charity, consumer goods, investment. The ideal would be that each individual adjust his work and earnings to his needs and aims. This can only be done if individuals are self-employed. When employed by others they have to work a certain number of hours at a certain salary according to the convenience of the employer and not the needs of the employee. Thus when there is economic slump money accumulates in banks, goods in shops and workers on the unemployment heap. The needy are separated from the products by the useless accumulation of money. The reason for this is that some people work or earn more than they need while others work or earn less than they need.

Some governments, in order to increase investments in industry, arrange matters so as to increase the surpluses of the rich, hoping that this will find its way into industry. But it may simply be used in gambling or buying already existing property - the increase in demand increases its prices. Or it is sent abroad. There may be no new invention or expected returns on it may be low.

When money is transferred from country A to country B because interest or profits are higher there, then owing to the decrease of money in A, demand may fall, and so prices also fall which may discourage further investment. But in B the increase of money increases prices, and this may also increase investment. Unless the money is used to buy goods in A, then the case is reversed. There is also an inverse relation between expenditure on consumer goods and on investments. The more one spends on the one the less one has for the other. But in either case the money goes to pay wages or this increases the money available to produce demand, causing prices to rise. Some products are linked so that increase in demand for one causes increase in demand for the others - e.g. parts of a system. Others are inversely linked so that increase in demand for one will decrease demand for the others - e.g. similar things in competition. In so far as income is limited, it is also true that all things are linked - when one spends on one thing, then it cannot be spent on another. Notice, however, that though all kinds of demand are inter-linked, production is not. We have separate industries and factories between which there are no links. Indeed, the whole of national life is compartmentalized and little coordination exists. This situation will have to be counteracted, and some kind of unity restored through mobility of labour and versatility of industries. There are, therefore, complex relationships between all these factors that are not always predictable or controllable. Things can be arranged to produce automatic compensation and balance, or institutions can be created which keep a check on these things and control them in an intelligent manner. This requires that the economy is taken out of the hands of the self-interested, be they business people or politicians.



The Economic system is not independent of the political system. It is not only the case that the economic system is governed by laws created by Political masters, but that those who benefit most from the economic system also have the political power to manipulate information and the influence the law. There is, therefore, a political struggle between groups, and the strategies, expediencies and vagaries of this power struggle determines events and policies. There can be no long-term planning but only short term ones that can be reversed by the next government. However, multi-national companies have become so large and powerful that they are able to dictate policies to nations. This is because they can take their money and industries out of the country which does not conform to their wishes and put it in another which does. This relative weakness encourages nations to amalgamate to form greater units. The result is that the power of the people in comparison with governments and other organizations diminishes and formal, complex, unintelligent bureaucratic machinery takes increasing precedence over humanity.

An Islamic political system does not, or ought not to have political parties. All citizens are considered responsible for the affairs of the community. The mosque should not just a place for worship as ordinarily understood, but a community centre. It is part of worship to discuss and plan communal affairs. The leaders forming the Assemblies that run affairs are chosen by the people in these centres and cannot canvass for power. They are those who are honoured for their ability, knowledge and virtue. They are required not to argue but to discuss intelligently on the basis of knowledge and research. This requires an altogether different kind of interaction between people. These leaders can be replaced at any time and must, therefore, give a good account of their actions and inform and educate the people. This would create greater stability and allow long term planning. But there is a danger of stagnation due to habit formation while human activity, itself, causes changes in conditions which require new ideas and actions. In the Western Democratic system it is always possible to remove a government which has become stagnant and replace it with another one which has had time to reform itself and acquire fresh ideas and modes of action. One gets revolutions without bloodshed. But it does involve much stress and strain in the population. There is, however, no theoretical reason why these changes cannot also take place in an Islamic system. The change is likely to be much smoother owing to the fact that the members of the Assemblies can be replaced gradually, one by one, by those who elect them.

There is, however, a problem of apathy and irresponsibility. The experience of voluntary organizations all over the world shows that few people turn up for meetings. The membership is usually quite content in leaving all the real work to the few. There are usually just a few who are most vociferous and tend to push themselves forward to take control. Most people have to be bribed by payments to do anything, including their duties and that which is to their own advantage. There are very few leaders and the majority look for them, being quite satisfied to be led owing to insecurity feelings, lack of confidence, laziness or sheer apathy. The result of this is inevitably that power passes into the hands of the few, who, of course, make it worth their while to make such efforts. Things degenerate into a dictatorship.

Another problem, probably the greatest in Islam is sectarianism. This is based on ignorance, prejudice and sheer arrogance. The members of each sect are convinced that their opinions are not only true, but also the whole and only truth, though they have acquired them from others without examination and without any effort at understanding on their own part. It is supposed that the opinions of other people, who are equally convinced, are stupid, dangerous and wholly evil. Dogma is repeated parrot fashion or slogans control reactions. No humility is admitted that they might have inadequate qualifications to judge or that they might have only partial knowledge or that opinions cannot equal truth. The result is an inability to discuss, or even to seek and see truth, or to cooperate. There is only division, stupidity and controversy, even to persecution and armed conflict. The curses of Allah are on them but they realize it not. This should not occur among true Muslims who are forbidden sectarianism and exhorted to seek only truth. In the past humility impelled them to qualify an opinion with "Allah knows best". Those who are on the Straight Path know that the path is not the destination but leads there.

Both problems have been solved in the West by creating competing political parties, consisting of professional politicians. Each has its own philosophy, values or policies to which all its members are required to conform. These parties make all the policies. The citizens need do nothing but vote once in several years to choose between the parties. As the elected politicians are paid a salary, it is in their interest to be elected, irrespective of the method they use. It is also in their interest to obey their leader whatever the policy and irrespective of their conscience. The people are unable to understand or judge the policies and newspaper and magazines form their opinions. The political parties, therefore, manipulate information and usually serve the rich and powerful who remain hidden in the background. All this is certainly incompatible with Islam where Truth and Goodness are expected to be paramount. Again we see that it is impossible for an Islamic system to exist unless people are Muslim and take their responsibilities as vicegerent seriously.

Another problem is the educational system Muslims have created. Either they adopt a Western educational system from which religion or values are banished, though hidden, unconscious, implicit, foreign values are nevertheless propagated, or it is based on religion and ignores all recently acquired knowledge and techniques. Religion is inculcated through regimentation and is learnt by rote as dogmatism and ritualism without understanding. Many memorize the whole Quran in Arabic, but do not know the language and cannot explain what the words mean. They might a well be taught gobbledygook, and they will not know the difference. This ignorance also deprives them of the standards with which they can judge any economic, political or cultural system or any ideas, institutions, suggestions or events whatever, leaving them entirely vulnerable.

There are a number of other problems connected with the cultural and social system. The fact that technological and organizational conditions allow greater professional and economic equality between the sexes has already been mentioned. It creates competition rather than cooperation and tends to destroy the family, bringing about a host of social and psychological problems, many of which are well known. Though it gives women financial independence and greater power, it produces widespread adultery, fornication, sexual perversions, sensuality, irresponsible self-indulgence, divorce, abortion, illegitimate children who are inadequately brought up. Since both parents are at work, it leaves the children to strangers who can only provide intellectual and physical education but no emotional, moral or spiritual education and to the pressure from their own immature peers. The new generation grows up unguided and there is a conflict between the generations. Children are disobedient, disrespectful and rebellious with regard to their elders and all authority. They are given more pocket money instead of affection and wisdom, and this gives them some economic power. Magazines, record companies, clothing manufacturers and so on, in order to make a profit, have to supply what they want rather than what is educationally good for them. There is, therefore, a reversal of values - the culture ceases to develop them, they corrupt the culture.

In Islam the welfare and development of the Umma or Community is the focus. It is a network of families and the family is the unit within which the true development of the individual should take place. The sexes are equal but have different functions, though men have charge of the welfare of women. There is nothing in the Quran that forbids women from gainful work. An Islamic system can probably only be maintained if each of the sexes has its own organization and national role, though there must obviously be some inter-action and coordination. There is, for instance, no reason why the whole of what is called the Social Service, Health Care, Welfare Systems, Charities and Primary Education should not be run by women's organizations. They can be regarded as the extended family. The role of these can be extended so that wives and mothers, for instance, can obtain support and help from each other.



Other problems concern the relationship between freedom, control, responsibility and license. In Islam rights, duties and privileges are inter-dependent. Man, though he is to be self-regulating, is also to be self-controlled and socially responsible. Because of this it is not possible to accept the Western ideas of human rights which assume that man is an independent individual. This is clearly false, and it leads to mere self-indulgence and license. Generally speaking in so far as people are inter-dependent the freedom of one impinges on that of another. Freedom turns into license and has to be curbed unless there is a sense of responsibility. Otherwise it leads to detrimental social consequences. There is an entire context or system within which rights, duties and privileges are defined. If this context is not understood then none of these have any meaning. It is only within an Islamic system that Islamic rights, duties and privileges can be understood and these are inter-dependent.

This concerns not only action but also knowledge and information. Here again the importance of ethics is evident. Since knowledge is power and bestows the ability to adjust, control and obtain self-fulfilment, then it must be available to all. The power of governments or journalists to manipulate and distort information must be severely curtailed. But freedom of information cannot be equated with freedom from ethics. The distortions, propaganda, scandal mongering, rabble rousing, hysterics, propagation of perversions etc. cannot be allowed. It is necessary to discover by objective research what is, in fact, beneficial or harmful, and legislate accordingly.



It should now be clear that no Islamic economic or political system can be established unless the people are themselves sincerely Muslim and abide by the Islamic discipline. In so far as a substantial number of people within the nation are not Muslim there are likely to be great tensions leading to turmoil. To avoid this it would be necessary to have an agreement between the various parties that they all accept a common ethical system and that the inculcation of this system is integral to the educational system. No longer can the educational system confine its attention to facts and skills alone, but it must give priority to the education of motives and feelings and cultivate character, conscience, consciousness and will. Since the Social and Cultural system also depends to a large degree on the Economic and Political System, the Islamic form of these cannot be maintained without them. The general spiritual condition of a people depends on their Social and Cultural system. The Islamic spiritual system cannot be maintained unless the Islamic Social and Cultural system is maintained.

However, it is evident that the present condition of the Muslim world is far from the Ideal in all respects, Spiritually, Socially, Educationally, Culturally, Economically and Politically. It needs to be altered in any case. Can it and will it be altered in an intelligent manner or will it simply drift into complete destruction, or will it be forced to change in imitation of the West. These are the only alternatives.


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Taken from: http://www.altway.freeuk.com/
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