The difference between Islamic and

conventional economics
Islamic Economics
According to Muhammad Abdullah Al-Arabi (1980: 11),
Islamic Economics is a set of general economic fundamentals
that we conclude from the Qur'an and As-Sunnah, and is an
economic building that we established on the basis of these
foundations in accordance with each environment and period.

Conventional Economics
Conventional Economics is events and problems related
to human efforts both individuals and groups in meeting the
unlimited needs with limited resources using economic theory
described by classical economic inventors such as Adam
Smith.
 The purpose of Islamic law itself (maqashid asy
shari'ah), which is to achieve happiness in the world and the
hereafter (falah) through a good and respectable life order
(hayyah thayyibah). Falah goals to be achieved by Islamic
economics include micro or macro aspects, including the
world time horizon or the hereafter.
There are 3 principles of Islamic economics, viz :
1. The Principle of Tauhid
2. The Principle of Khalifah
3. The Principle of Justice (Keadilan)
Besides having principles, Islamic economics also has several
characteristics, viz :
1. Treasure belongs to Allah. Humans are the caliph of the treasure
2. Economics is related to creed, law, and morals.
3. Balance between spirituality and materiality.
4. Individual freedom is guaranteed in Islam.
5. The main driving force of Islamic Economics is cooperation.
6. Usury violation
1. Realizing the integrity of a Muslim who kaffah, so that Islam is
no longer half measures.
2. Economic practices based on Islamic Sharia contain the value
of worship, because they have practiced the Shari'a of God.
3. Practicing Islamic economics through Islamic financial
institutions, means supporting the progress of Islamic economic
institutions.
4. Practicing Islamic economics by opening savings, deposits or
becoming customers of Islamic insurance means supporting
efforts to empower the economic community.
5. To practice sharia economy means to support the amar ma'ruf
nahi munkar movement.
Islamic Economics :
 not only the world but also
the welfare of the Hereafter
(falah).
 uses profit sharing.
 ownership is not only
intended for a handful of
people but a group of people.
to form an economic man
with Islamic character.
all wealth in the world
belongs to Allah SWT.
Conventional Economics :
 only prioritizes world
welfare.
 uses the usury system.
 recognizes private
ownership.
assume humans as rational
economics.
Each person is freed to own
all the wealth he has obtained.