Business Freedom vs Islamic Economics: Sweden, France, Japan, and Core Islamic Practices, Slides of Economics

Download Business Freedom vs Islamic Economics: Sweden, France, Japan, and Core Islamic Practices and more Slides Economics in PDF only on Docsity! Best to worst 1. Business freedom – Sweden France Japan 2. Time required to start business – France Sweden Japan 3. Economic Freedom – Japan Sweden France 4. Corruption – Sweden Japan France 5. Property rights – Sweden (Japan & France) 6. Corporate tax rates – Sweden France Japan 7. Openness to international trade – Sweden France Japan Docsity.com Other factors • In Sweden – Employers are faced with high non-salary and dismissing workers costs • In Japan – Costly to fire workers – Part-time workers are cheap • Unemployment rate from high to low – France Sweden Japan Docsity.com • Qur'an (Koran) = the holy book – Was revealed to Muhammad by God through the Angel Gabriel • Islamic law code covers commerce, marriage, property Docsity.com Two main branches of Islam Sunnis and Shi'as • Dispute started after Muhammad died over • who should succeed Muhammad – Shias say  his family – Sunnis say  his collegues • Split: Shia (Mostly in Iran, Iraq) and Sunni (over 85% of Muslims) Docsity.com 5 core aspects of Islam • Sunni Islam believe in them – Shi'a Muslims accept these but also add several other practices to form the Practices of Religion. • 3 have to do with economics 1. Zakat – Is giving charity to the poor and needy by able Muslims – based on the wealth that one has accumulated – Redistribution of income – Sadagah = A form of Zakat that is voluntary and is paid in addition to zakat – http://www.youtube.com/watch?v=8Q1Jbu281l8 Docsity.com • a Muslim who has made a pilgrimage to Mecca receive the title Hajji • a Hajji is honored in his or her community. • For some, this is an incentive to perform the Hajj. –Social / Economic status (order) –Economic power • http://www.youtube.com/watch?v=nL5gQwsMCY0 • Docsity.com A Shi'a article • Khums – One-fifth tax, which all adult Muslims who are financially secure and have surplus in their income normally have to pay on annual savings, net commercial profits, and all moveable and immovable property. – Redistribution of income Docsity.com Principles • Islamic law prohibits interest (riba) payments • http://www.youtube.com/watch?v=koVAWbe _dwE • interest-receiving rich become unproductive – leads to economic stagnation due to lower productivity of rich – reduces incentive for overexpansion of credit which may be inflationary – Replaced with profit sharing and mark-up trade Docsity.com