Methodology of Deriving the Islamic Economic System – Part One: Theoretical Presuppositions
Theoretical Presuppositions
The present discussion concerns the methodology of deriving the Islamic economic system. Within this subject, we hold three fundamental presuppositions, each of which merits an independent, extensive discussion; however, we present them here as general outlines.
First Presupposition: An economic system exists within Islam. If one denies the very existence of an Islamic economic system, our discussion becomes entirely moot.
Second Presupposition: This system is either only possible to derive, or it is mandatory to derive.
Third Presupposition: The derivation of the Islamic system requires a specific methodology. If one were to argue that deriving the Islamic system is identical to deriving the jurisprudential rulings for a traveler’s prayer (ṣalāt al-musāfir), there would be no need for a distinct discussion on the methodology of derivation.
Counter-Perspectives to Our Presuppositions
In contrast to these three presuppositions, there are competing perspectives that require elaboration. Against the first presupposition—that an economic system exists in Islam—there are two distinct groups. The first group believes that the fundamental purpose of Islam is not system-building, and that constructing a system falls entirely outside the domain of Sharia (Islamic law). When a prominent cleric asserts that in the entire realm of transactions (muʿāmalāt; chapters of Islamic jurisprudence that pertain to various economic or social interactions between members of society) we only possess the principle of “Neither oppress, nor be oppressed,” and nothing more, it implies that an economic system does not exist—at least if the logical implications of this assertion are accepted.
Others, however, maintain that we do not merely have the principle of “Neither oppress, nor be oppressed”; rather, we possess thousands of narrations (Hadiths). Yet, they argue that within these narrations, there is no such thing as a “system”! They contend that upon close examination, they have only found a series of discrete rulings, but have failed to discover anything resembling a cohesive system. Consequently, both the individual who perceives Sharia rulings in the economic sphere as minimalist (thin)—such as certain religious modernists—and the one who views them as maximalist (thick), share the mutual belief that a system does not exist. It is fascinating that although these two perspectives are antithetical to one another, they ultimately converge on the notion that we do not possess an Islamic economic system.
The second presupposition was that the economic system is either capable of being derived or is mandatory to derive. Conversely, some argue that while we do possess an economic system, it is automatically attained through the derivation of individual rulings. In other words, the system is emergent and consequential (ḥuṣūlī), not deliberately constructed (taḥṣīlī). This group does not deny the existence of a system but contends that it is a puzzle that autonomously assembles itself along the way. While someone might not explicitly articulate this view, our discussion is rooted in discourse analysis, not mere conversation. One who wishes to speak of the methodology of deriving an economic system fundamentally believes that the system exists and cannot be achieved automatically—that is, it cannot be attained through fragmented, siloed derivations.
The third presupposition was that the derivation of the Islamic system requires a specific methodology. In opposition, some individuals maintain that we do have an Islamic system and that it must be derived, yet they argue that existing methodologies are entirely sufficient. They believe there is no need to alter the principles of Islamic jurisprudence (Usul al-Fiqh), seek new sources of discovery, change current methods, or anticipate any particular methodological challenges ahead. Rather, they assert that the very same conventional methodology used to derive rulings in other areas is perfectly adequate for deriving the economic system, the family system, the political system, the cultural system, and the penal system.
Systemic Objectives and Conclusion
For instance, in an Islamic economic system, severe class disparity cannot exist: “…so that it does not merely circulate among the rich in your society” (Quran 59:7). If we assert that this is a foundational principle of the Islamic economic system, has anyone addressed the practical realization of this goal? I maintain that the higher objectives (maqāṣid) of the Islamic economic system serve as the clearest signifier of that system. If so, this dimension has remained largely unaddressed.
In summary: Islam possesses an economic system, this system must be derived, and doing so requires a dedicated methodology.
